Shell considers halting U.S. refinery plans

[Strelnikov_]

An 'A' for creativity. Can't have anything to do with KSA's production crashing, can it, or trolling for a Government handout.


Shell considers halting U.S. refinery plans
Bloomberg News
May 21, 2007

http://www.iht.com/articles/2007/05/21/business/shell.php

SAN FRANCISCO: Royal Dutch Shell, the biggest European oil company, may shelve a joint venture plan to create the largest U.S. refinery because of President George W. Bush's efforts to reduce gasoline use, a Shell executive said Monday.

"If you're an investor getting ready to put several billion dollars into expanded capacity, would you do that when the president himself says we want less gasoline?" John Hofmeister, Shell's top U.S. executive, said at a conference in Santa Clara, California.

At stake is a $3 billion plan by Shell and Saudi Arabia's state oil company, partners in the Motiva Enterprises venture, to more than double the processing capacity of a refinery in Port Arthur, Texas, to 600,000 barrels of crude a day. Bush called in January for the country to increase use of renewable and alternative fuels to curb reliance on imported oil, seeking a 20 percent reduction in gasoline use by 2017.

Motiva in April 2006 said it planned to begin the expansion in 2007 and complete it in 2010. The expansion would vault the Port Arthur refinery past Exxon Mobil's plant in Baytown, Texas, currently the largest in the United States.

[Robbien]

1. Your translation is right

Shell wants the US taxpayer to fund all or a good part of the building of the refinery expansion.

And while these negotiations are worked out, any actual work on the expansion will be put on the back burner.

[FogerRox]

2. Catalytic crackers will be required to handle the heavier & more

sour crude that the world has left. More refineries will not be needed since it appears world oil production has peaked.

[Strelnikov_]

3. ..