The oil producer is aiming to triple its daily production of crude in the Permian Basin located in western Texas and New Mexico to 600,000 barrels of oil equivalent by 2025.
Exxon Mobil Corp. has reportedly given a final approval for expansion plans which would almost double the size of the company’s Beaumont refinery in Texas, currently having a production capacity of 365,000 barrel-per-day (bbl/d). According to two people familiar with the matter, this move could make this refinery the largest in the U.S.
Further from the reports, the largest oil producer of U.S. had been considering adding a third processing unit at the plant since at least 2014. The approval for adding 250,000 to 350,000 bbl/d of new refining capacity seemingly authorizes the financing for equipment required for converting shale crude from the West Texas oil fields of Exxon Mobil into precursors for jet fuel, diesel, gasoline as well as other refined products.
Exxon Mobil is purportedly aiming to triple its daily production of crude in the Permian Basin located in western Texas and New Mexico, raising it to 600,000 barrels of oil equivalent by 2025. In the previous year, the company had agreed to forming a joint venture with Plains All American Pipeline LP, which will be building a pipeline capable of carrying 1 million bbl/d oil to its refineries in Beaumont and Baytown.
Sarah Nordin, spokeswoman of Exxon Mobil, said in a statement that she has no update about the status of the project. She had confirmed, earlier in October, that the site preparation work had been commenced in advance of the final decision.
According to Exxon Mobil, the company boasts of having a significant presence in and around Beaumont, where it employs 2,100 people. The company is headquartered in Irving, Texas, and anticipates creation of about 1,850 jobs from the construction of the refinery’s expansion, besides adding 40-60 jobs in the area after the project is completed. The expansion apparently forms part of over $20 billion worth investments the company has made to grow its presence on the Gulf Coast.