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Port Arthur oil refinery may expand
Houston Chronicle ^ | TOM FOWLER and LYNN J. COOK

Posted on 09/21/2005 11:56:05 PM PDT by Cincinatus' Wife

Oil refiner Motiva is moving forward with a $3.8 billion plan to double the capacity of its Port Arthur refinery, city officials say

Port Arthur Mayor Oscar Ortiz said he received word of the plan Wednesday. That would increase the refinery's capacity from 285,000 barrels per day to as much as 570,000 barrels, making it larger than Exxon Mobil's Baytown refinery, which is currently the biggest in the country. A Motiva spokesman couldn't confirm what the mayor had heard, but he said the company is starting a process engineering study to find a Gulf refinery to expand.

Motiva is a joint venture between Royal Dutch Shell and Saudi Aramco.

Saudi Arabia's Foreign Minister Prince Saud Al-Faisal spoke of refining at Rice University's Baker Institute for Public Policy on Wednesday, although he did not confirm Motiva's plan for expansion.

He did say that earlier Wednesday he received word that the kingdom will be building two new refineries in Saudi Arabia with a capacity to process 800,000 barrels of oil a day.

"Every tragic incident in the Middle East has become an opportunity for traders to put a bigger premium on oil," he said.

The real problem, he said, is not crude oil supply, but the world's capacity to refine it into useful fuels, including gasoline.

The prince also said Saudi Arabia would join the World Trade Organization, which would allow a private company to own a refinery in the kingdom outright, without partnering with a Saudi company.

tom.fowler@chron.com


TOPICS: Business/Economy; Culture/Society; Extended News; News/Current Events; Politics/Elections; US: Texas; War on Terror
KEYWORDS: cary; energy; oil; refinery
Port Arthur is near the TX-LA border.
1 posted on 09/21/2005 11:56:06 PM PDT by Cincinatus' Wife
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To: Cincinatus' Wife
We haven't built a new refinery in 40 years, but we have expanded the ones we got.
2 posted on 09/22/2005 12:00:42 AM PDT by oyez
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To: oyez

Yes.

We need to start drilling on U.S. soil for oil.

_________________________________________
Companies seek oil-shale leases

Shell and Exxon Mobil are among the concerns applying for federal land to research production.

By Mike Soraghan
Denver Post Staff Writer


Washington - Shell, Chevron and Exxon Mobil are among the companies that have asked for 19 federal leases to research turning oil shale into oil in Colorado and neighboring states, the Bureau of Land Management said Tuesday.

Of the 19 requests, 10 are for parcels on Colorado's Western Slope, eight are for Utah sites and one is for a Wyoming site.

Other companies that have applied for research leases in Colorado are EGL Resources Inc., Independent Energy Partners, Kennecott Exploration Co., Natural Soda Inc. and Phoenix Wyoming Inc.

The 160-acre research tracts on federal lands could be converted to 5,100-acre production leases if companies prove they can turn rock into fuel.

"We recognize the importance of making public lands available to promote all forms of energy, including oil shale, but in a way that provides for prudent site selection and sound environmental management," BLM Assistant Director Tom Lonnie said.

A BLM team will start in late October to evaluate each proposal on its potential to advance shale technology, economics and environmental effects, then make recommendations about awarding leases.
Geologists say up to 1 trillion barrels of oil lie bound in the 1,000-foot-thick shale formations of western Colorado, Wyoming and Utah.

That's as much as the rest of the world's proven oil reserves combined.

Currently, Shell is working on private land to perfect a process in which oil is cooked out of the rock while it is still in the ground.

Staff writer Mike Soraghan can be reached at 202-662-8730 or msoraghan@denverpost.com.


http://www.denverpost.com/nationworld/ci_3047162


3 posted on 09/22/2005 12:09:20 AM PDT by Cincinatus' Wife
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To: Cincinatus' Wife
We need to start drilling on U.S. soil for oil.

We certainly do. I'd just love to see OPEC get a pinch in its side.

4 posted on 09/22/2005 12:13:19 AM PDT by oyez
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To: oyez
It's time for ethanol! Just check out Brazil. They have dual fuel engines and ethanol is 1/2 the price of gas, even with more taxes. We could import sugar cane from all over the world, even Haiti and Dominican Republic. Africa, South and Central America, Idaho potato's and beets, etc.

Brazil did this once before until Reagan deregulated and oil went back to $11 a barrel. At $25 a bbl or more, ethanol works.

5 posted on 09/22/2005 12:23:00 AM PDT by chuckles
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To: oyez; Cincinatus' Wife
We need to start drilling on U.S. soil for oil.

Don't forget offshore of the US from Florida to Maine and California to Washington.

6 posted on 09/22/2005 1:00:05 AM PDT by Paleo Conservative (France is an example of retrograde chordate evolution.)
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To: Cincinatus' Wife
Port Arthur is near the TX-LA border.

Oh great.... Well, they may have plenty of need for construction equipment there soon anyway.

7 posted on 09/22/2005 3:16:32 AM PDT by IMRight
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To: chuckles

I think--and don't have the citation this early, but will try later--that ethanol was just shown to be a major scam by a major, unbiased analysis. It seems that there is more energy put into growing, harvesting, and transporting the crops, in addition to producing the ethanol, than ethanol produces. There is actually an energy loss in using ethanol. The only justification now is emissions--and, of course, political pork.


8 posted on 09/22/2005 3:35:24 AM PDT by jammer
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To: oyez

I know this is probably out of the question but, How about Hemp oil. Hemp plants supposedly yield more oil per bushel than any other crop and take up less space.


9 posted on 09/22/2005 3:49:54 AM PDT by wolfcreek
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To: Cincinatus' Wife
Stupid, stupid, stupid!!!

Good news that they plan a refinery---real BAD news on the location. Port Arthur is just about as vulnerable to a "Katrina type" storm surge event as St. Bernard Parish.

10 posted on 09/22/2005 4:10:47 AM PDT by Wonder Warthog (The Hog of Steel)
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To: Cincinatus' Wife

>>>The real problem, he said, is not crude oil supply, but the world's capacity to refine it into useful fuels, including gasoline.

Very true. Also, the upside to our recent hurricane problems is that this refinery should find plenty of people looking for well paid work in that area of the country.


11 posted on 09/22/2005 4:11:56 AM PDT by .cnI redruM ("They're thin and they were riding bicycles" - Ted Turner on NK malnutrition.)
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To: wolfcreek

Just think of the byproducts.


12 posted on 09/22/2005 6:03:50 AM PDT by oyez
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To: jammer
...."shown to be a major scam"....

No, the scam is the opposite. The scam is trying to get it in everybody's mind that ethanol doesn't work. It's been proven to work in Brazil, for YEARS! I can produce ethanol in my back yard for less than a dollar a gallon using refined sugar. It's even cheaper if you use raw feed stock.

The scam is the same as trying to say raising taxes helps the deficit. It has been proven over and over that cutting taxes helps and raising them hurts. But right now, as we speak, half the country believes we have to raise taxes to fix all our problems.

Ethanol is probably the closest thing to perfect we have right now. Exxon doesn't want it, you can guess why. The gubmint doesn't want it because they are afraid you will take a slug without paying the tax, simple as that. The gubmint will always say it has to be mixed with gas, or some other chemical to make it non drinkable. Also you will hear the name "Archer Daniel Midland" mentioned over and over as they spit as if Exxon was somehow a better alternative. Just look at what people have done to the name "Halliburton". ADM is into corn ethanol mostly. ADM couldn't control it because anybody can make it in their back yard. Just say use everything but corn if you want to, it doesn't matter. Sugar is the easy way and you can get it from nearly any carbohydrate.

13 posted on 09/22/2005 6:55:35 AM PDT by chuckles
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To: chuckles
Well, you sure answered--emphatically--a hell of a lot of arguments I never made.

The argument I made remains unrefuted: ethanol costs more in energy expenditure than it affords. It is a major scam, no matter how loudly you decry that description.

14 posted on 09/22/2005 7:27:43 AM PDT by jammer
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To: chuckles
Cane is great(grass juice), but ADM has us stuck with corn.

With ethanol you might get 220,000 btu's per bushel if you spend twice that much energy to make it.

Ironically, if you just burn the original bushel of corn, you get 465,000 btu's.

15 posted on 09/22/2005 7:38:42 AM PDT by norraad ("What light!">Blues Brothers)
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To: Cincinatus' Wife
Port Arthur oil refinery may expand

Why expand now, when you can wait a couple of days and rebuild entirely.

16 posted on 09/22/2005 7:42:22 AM PDT by TheRightGuy (ERROR CODE 018974523: Random Tagline Compiler Failure)
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To: jammer
To crack oil you need to heat it to over 900 deg F. Ethanol takes 172 deg. You can use the stalks for heat. How much energy does Haiti use to grow sugar cane? Not much you can bet. Sugar is less than 10 cents a pound to produce. At 10 ponds per gallon of 190 proof, thats a dollar a gallon of refined sugar. If it cost so much to produce, why doesn't it cost more? Read up on the facts before trying to make an argument that you can't remember who wrote.

There's no such thing as an unbiased analysis. They will always spin their point of view. If it was impractical, Brazil would give up.

17 posted on 09/22/2005 7:42:56 AM PDT by chuckles
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To: chuckles

You're right--unbiased analyses are few and far between. That's why we publish the numbers so that they can be reviewed, criticized, and, if possible, replicated (or not).


18 posted on 09/22/2005 7:54:20 AM PDT by jammer
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