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Exxon delays expansion in Beaumont due to lower demand

Exxon Mobil recently announced that its refinery expansion under construction in Beaumont, Texas would be delayed as the company seeks to curb spending during pandemic conditions.  This expansion is now expected to begin in 2023 instead of the previously scheduled 2022 startup.

This expansion is being built with a capacity for approximately 250,000 barrels per day (bpd) and would add to the current Beaumont refinery capacity of 366,000 bpd.  Once complete, this would make Beaumont the largest refinery in the United States, with a total capacity of approximately 616,000 bpd, ahead of the 607,000 bpd refinery owned by Motiva in Port Arthur, Texas.

This expansion is intended to access an increase in production from the Permian Basin, but the current pandemic driven loss in demand has reduced the need for this capacity increase over the short term.  Construction is being carried out by TechnipFMC and is continuing onsite, and is expected to pick up the pace in January as demand is expected to increase.

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From the April 2018 issue of Hydrocarbon Processing

 

 
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