18-02-2015
Tesoro to enhance clean products production at its Anacortes refinery
Tesoro Corporation today announced that its Board of Directors has approved two complementary projects to enhance clean products production at its Anacortes, Washington refinery. These projects include a $90 million naphtha isomerization project, which is designed to comply with upcoming reduced-sulfur gasoline regulations while simultaneously reducing gasoline production costs, and the previously announced $300 million mixed xylenes project, which upgrades and diversifies the value of the facility's product slate.
"Tesoro is pleased to announce this strategic commitment to our Anacortes facility and to the local community. These high-return capital projects are expected to produce cleaner fuels at a lower cost, while diversifying Tesoro's product mix and enhancing our gross margin," said Greg Goff, Tesoro's Chairman, President and CEO. The isomerization project is expected to generate competitive returns of approximately 25% and the mixed xylenes project is expected to generate competitive returns of approximately 20%, both based on Tesoro's market outlook. Startup of the mixed xylene project is expected in 2017 and startup of the isomerization project is expected in 2018, both dates subject to permitting.
These projects are expected to improve our capability to efficiently deliver both local transportation fuels and global feedstocks, making Tesoro a stronger member of the communities the Company serves, and further demonstrating Tesoro's commitment to the state of Washington. The Company expects multiple benefits to the state including increased tax revenue, positive local economic impact, and high-paying temporary and permanent jobs which, at peak construction workforce, is estimated at 500 workers, with an ongoing permanent staff increase of approximately 20. According to the Washington Research Council, each permanent petroleum job adds $880,000 per year of state personal income through additional employment and commerce.
On a global scale, the logistics-enabled Asian trade possibilities associated with the mixed xylenes project are quite significant, based on increased naphtha sales to Asia, reduced freight costs on shipments of valuable products from Asia to the US, and expansion of Tesoro trading activities in Asia. This aspect of the project should increase the competitiveness of the Anacortes refinery and support additional ongoing growth in Tesoro's Washington-based business.
News Category:
-
Beyond processbook & PI vision: Exploring today’s industrial analytics tools
(Webinar) - In the Manufacturing 4.0 era, industrial organizations have more data at their fingertips than ever, offering the promise of higher production rates, more ...
04-06-2024
-
Sasol provides state of the art catalysts to INERATEC for the production of sustainable e-fuels
The catalysts will be used, among others, in the first large-scale industrial Power-to-Liquid (PtL) plant that INERATEC is currently building in Frankfurt, Germany, which ...
24-04-2024
-
Baker Hughes to supply 17 centrifugal compressors to Saudi Master Gas System project
Baker Hughes, an energy technology company, announced Tuesday that it has received an order by Worley, for and on behalf of Aramco, to supply gas technology equipment ...
23-04-2024
-
SABIC Fujian Petrochemicals select Phenol yechnology from KBR
KBR announced today it has been awarded a contract by SABIC Fujian Petrochemicals to license KBR's market-leading phenol technology in China. Under the terms of the ...
22-04-2024
-
Lummus Expands R&D capabilities to enhance innovation and water and wastewater technologies
Lummus Technology, a global provider of process technologies and value-driven energy solutions, announced the opening of its cutting-edge research and development (R&D) ...
17-04-2024
-
Clariant launches new CATOFIN® 312 propane dehydrogenation catalyst
Clariant, a sustainability-focused specialty chemical company, today announced the launch of CATOFIN 312, its latest propane dehydrogenation catalyst. The new catalyst ...
16-04-2024
-
Yokogawa and GridBeyond conclude investment and strategic partnership agreements
Yokogawa Electric Corporation and energy IT solutions provider GridBeyond of Ireland announce that they have concluded a strategic partnership agreement. Furthermore, ...
16-04-2024
-
Heraeus Precious Metals launches Circlear
Heraeus Precious Metals, a globally leading company in the precious metals industry and one of the largest recyclers of precious metals, has introduced its new offering ...
16-04-2024
-
EMA and JERA to cooperate on LNG procurement and supply chains
The Energy Market Authority and JERA Co Inc, have signed a Memorandum of Understanding to cooperate on mutually beneficial areas in liquefied natural gas procurement ...
16-04-2024
-
Hexagon and Dragos unveil technical partnership to strengthen industrial cybersecurity
Hexagon’s Asset Lifecycle Intelligence division today announced a strategic partnership with Dragos, a global leader in cybersecurity for operational technology (OT). ...
16-04-2024