22-02-2012
MDU resources & affiliates of Calumet specialty products plan to study diesel refinery JV
MDU Resources Group, Inc through its wholly owned subsidiary, WBI Holdings, Inc. and Calumet Refining, LLC, an entity owned by the existing owners of the general partner of Calumet Specialty Products Partners, L.P. today announced they have signed a nonbinding letter of intent to explore the feasibility of jointly building and operating a 20,000 barrel per day diesel refinery in southwestern North Dakota. The facility would process Bakken crude and market the diesel within the Bakken region.
Site selection, permitting, crude oil feed procurement, marketing and engineering studies are currently underway. Upon successful completion of the project, Calumet Refining, LLC expects to contribute its interest in the joint venture to Calumet in exchange for cash and/or partnership interests.
“This project will capitalize on the capabilities and expertise of two strong companies to develop a facility that will serve demand for diesel by agriculture and industry in the rapidly developing Bakken play,” said Terry D. Hildestad, president and chief executive officer of MDU Resources. “We believe this joint venture will add value to Bakken crude. It will provide value to southwestern North Dakota communities by providing steady, good-paying, long-term jobs and through the two companies’ longstanding commitment to the communities in which they operate and serve.”
“We are excited that the owners of our general partner are partnering with MDU Resources and WBI to explore refining opportunities in the Bakken,” said Jennifer G. Straumins, president and chief operating officer of Calumet’s general partner. “We believe that our refining capabilities and their operating experience in the Bakken would be a strong combination. Both companies provide operational expertise and capability vital to the success of a large industrial project similar to this planned facility.”
Hildestad said the project exemplifies the potential that exists for all of the major subsidiary companies within MDU Resources to participate in a value-added project in the Bakken region and elsewhere.
“Bakken crude is expected to be sourced, in part, by our oil and natural gas production company, Fidelity,” he said. “There may be opportunities for the facility’s natural gas and electric generation needs to be provided by Montana-Dakota Utilities. The company’s construction companies are also capable of providing materials and services required to build the facility.”
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
-
MOL inaugurates its polyol complex in Tiszaújváros
MOL's EUR 1.3 billion polyol complex in Tiszaújváros, boasting a capacity of around 200,000 tonnes of polyol per year, has been inaugurated. The ceremony, addressed ...
15-05-2024
-
NEXTCHEM completes the acquisition of GasConTec
Further to the announcement made on 4 March 2024, MAIRE announces that NEXTCHEM has finalized the acquisition of 100% of GasConTec GmbH, an innovative company specialized ...
15-05-2024
-
KBR awarded digital solutions contract by OCI
KBR announced today it has been awarded a contract by OCI Global to design and deploy its proprietary operator training simulator for OCI's 3,000 metric tonnes ...
13-05-2024
-
Worley awarded Bayou Bend CCS carbon capture and storage facility contract
We’ve been selected to design and evaluate CO2 gathering, handling and sequestration facilities located along the Gulf Coast in Southeast Texas. Bayou Bend ...
13-05-2024
-
Black & Veatch delivers feasibility study for Andes Energy LNG Terminal
Global liquefied natural gas (LNG) infrastructure solutions leader Black & Veatch has completed a feasibility study for the planned Andes Energy Terminal, LNG regasification ...
09-05-2024
-
Shell to sell interest in Singapore Energy and Chemicals Park to CAPGC
Shell Singapore Pte Ltd, a subsidiary of Shell plc, has reached an agreement to sell its Energy and Chemicals Park in Singapore to CAPGC Pte. Ltd., a joint venture company ...
08-05-2024
-
Integrated Global Services recognized for role in mega turnaround
Integrated Global Services has been recognized as a major contributor to the successful Ras Tanura Refinery 2024 Mega Turnaround and Inspection for Saudi Arabian Energy ...
08-05-2024
-
Ebara Elliott Energy to provide compressor for SAF project in Thailand
Ebara Elliott Energy, formerly Elliott Group, announces it has been contracted to provide a motor-driven recycle compressor with a variable frequency drive (VFD) for ...
07-05-2024
-
ETH Zurich select hte to provide high throughput test system designed for CO2 electroreduction
hte – the high throughput experimentation company was awarded a contract by the technical university ETH Zurich to provide a high throughput test system designed for ...
07-05-2024