Shell Puts Two US Refineries up for Sale



Shell Puts Two US Refineries up for Sale
The move is in line with the company's plans to reshape its global refining portfolio.

Equilon Enterprises LLC, doing business as Shell Oil Products U.S. (a subsidiary of Royal Dutch Shell plc), is marketing two of its refineries in the United States.

The move is in line with the company’s plans to reshape its global refining portfolio.

“We are refocusing our global presence in line with that of our customers, trading operations, and chemicals plants. This will result in a more valuable, integrated downstream business,” Robin Mooldijk, EVP Manufacturing, said in a statement.

If the marketing process does not result in a finalized sales transaction, Shell plans to continue operating the refineries, the company noted.

“Both refineries have done an excellent job over the last number of years and have made several notable achievements in safety, reliability and performance,” added Mooldijk.

According to the company, the U.S. Gulf Coast will remain a key manufacturing hub for Shell, along with Rotterdam and Singapore. It will also maintain its marketing presence and honor branded wholesale agreements within both the West and Gulf Coast regions.

Mobile is near the U.S. Gulf Coast, at the north end of Mobile Bay. The refinery can process about 90,000 barrels per day of oil producing LPG, diesel fuel, jet fuel and gasoline. It also produces low-sulfur VGO/heavy olefin feed and benzene. It has the optionality to run as a stand-alone refinery, to produce base oils or chemicals feedstock.

Separately, Puget Sound is located on March Point near Anacortes, WA, and can process about 149,000 barrels per day of crude oil. Feedstocks primarily arrive from Alaska’s North Slope and central and western Canada, and the refinery produces multiple types of gasoline in addition to fuel oil, diesel fuel, propane, jet fuel, butane and petroleum coke. It also produces nonene and tetramer--chemicals used in plastic products.

To contact the author, email bertie.taylor@rigzone.com.



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