Home › Forums › Refining Community › Refinery News › Penzoil-Quaker State Agree Clean up Clendenin Site – Cautionary tale Refinery to Terminal sales
This topic contains 1 reply, has 1 voice, and was last updated by Charles Randall 11 years, 3 months ago.
December 27, 2011 at 11:46 am #2004
W.Va – Penzoil-Quaker State Ink Agreement to Clean up Clendenin Site
Posted Dec 20, 2011 / Updated Dec 27, 2011
West Virginia has reached an agreement with an oil company to clean up an old refinery site in Kanawha County.
The state Department of Environmental Protection and Pennzoil-Quaker State Co. have signed an agreement for the 44-acre site, which is located at 100 Reamer Road, Clendenin, according to a news release from the DEP.
The site was home to the Elk Refining Co. from 1913 to 1982, the news release states. Starting in 1983, Hannah Lumber Co. operated a wood chipping facility on part of the site.Under the agreement, Pennzoil-Quaker State will address environmental conditions at the site, the news release states. The company and the department’s Office of Environmental Remediation have negotiated a Voluntary Remediation Agreement, which has provisions for finding human health and ecological risks at the site.
The company and OER will work to develop a cleanup plan for the site, according to the news release.
December 27, 2011 at 11:47 am #4789
Here is update on W. Va Clendenin site cleanup – Even though it was sold more that 20 years ago to Lumber Co for Wood Chipping site, responsibility cleanup followed the trail of Elk Refinery ownership for responsibility. When Penzoil (merger of Zapata Oil, South Penn & Midland Stetco Petroleum) was formed in 1960’s three of its early acquisitions were Wolf’s Head Oil, Elk Refining Co & Refining Company. As article indicates Elk Refinery was closed /sold off to Hannah Lumber in 1983.
Normally converting a refinery to terminal is way to close the plant and not have to absorb the huge cleanup cost on top of the write-off of plant assets. But it is only temporary fix and if the company does not undertake the cleanup or have professional group like Koch Carbons do restoration – whenever an environmental issue is exposed the cost and fines follow the ownership trail back to Oil companies in that chain.
And often the refinery clean up fines and cost are many times what they would have been at the time of closure/terminal conversion.
So the East Coast, West Coast & Midcontinent US Refineries becoming terminals or closing would be wise to review examples like Elk Refining.
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