Latest news with #oilrefineries
E&E News
10-07-2025
- Health
- E&E News
Enviros sue to compel crackdown on use of refinery chemical
Environmental groups want a federal judge to order an EPA crackdown on the risks posed by oil refineries' reliance on hydrogen fluoride, a potentially lethal compound used in making high-octane gasoline. Hydrogen fluoride 'is so acutely toxic that exposing just 1% of skin to liquid HF — about a hand's worth — can be a death sentence,' the Clean Air Council and two other organizations wrote in a lawsuit filed Tuesday in U.S. District Court for the Central District of California. At least 40 refineries around the United States still use the chemical, the suit says, adding that a worst-case accident at some of them could lead to a toxic cloud threatening hundreds of thousands of nearby residents. Advertisement 'Because HF is hazardous to all life, a refinery-related release could destroy crops, livestock, wildlife, and natural areas,' the challengers added, noting that a 2019 explosion at the now defunct Philadelphia Energy Solutions facility released more than 5,000 pounds of hydrogen fluoride and injured five workers.
Yahoo
30-06-2025
- Business
- Yahoo
Miliband eyes refinery support after Lindsey collapse
Ministers are exploring ways to hand state support to Britain's remaining oil refineries as they scramble to deal with the fallout from the collapse of the Prax Lindsey site in Lincolnshire which has cast a shadow over hundreds of jobs. Sky News understands that Ed Miliband, the energy security secretary, wants to devise a mechanism for refineries to become eligible for the Energy-Intensive Industries Compensation Scheme - from which they are currently excluded. Energy costs were at the heart of the government's industrial strategy launched last week. Money latest: Such a move would hand a welcome financial boost to the sector by assisting them with energy costs amid a slew of challenges which culminated in the appointment of compulsory liquidators over the Prax Lindsey refinery on Monday. The site's insolvency - revealed by Sky News - has drawn strong criticism from the government, with energy minister Michael Shanks calling the development "deeply concerning". "There have been longstanding issues with this company and workers have been badly let down," he said. "The secretary of state is today writing to the Insolvency Service to demand an immediate investigation into the conduct of the directors, and the circumstances surrounding this insolvency. "The government will ensure supplies are maintained, protect our energy security, and do everything we can to support workers and the local community, including engaging with trade unions and industry bodies. "The company has left the government with very little time to act." Prax Group is owned by Sanjeev Kumar Soosaipillai, who also acts as its chairman and chief executive and is the sole director of the refining subsidiary. The crisis at the Lindsey refinery, which is located on a 500-acre site five miles from the Humber Estuary, echoes that at Britain's dwindling number of oil refineries. According to the company, the site has an annual production capacity of 5.4 million tonnes, processing more than 20 different types of crude including petrol, diesel, bitumen, fuel oil and aviation fuels. The refinery, which was bought from France's Total in 2020, is understood to have become a growing drain on cash across the wider Prax Group, with which it has cross-guarantees. About 180 people work at State Oil Ltd, Prax Group's parent entity, while roughly 440 more are employed at the Prax Lindsey Refinery. Read more from Sky News: The rest of the group, which includes oilfield assets in the Shetland Islands and hundreds of UK petrol stations, employs hundreds more people. The other assets are not in administration themselves but are expected to be sold as part of the reorganisation of the group.
Sky News
30-06-2025
- Business
- Sky News
Miliband eyes refinery support after Lindsey collapse
Ministers are exploring ways to hand state support to Britain's remaining oil refineries as they scramble to deal with the fallout from the collapse of the Prax Lindsey site in Lincolnshire which has cast a shadow over hundreds of jobs. Sky News understands that Ed Miliband, the energy security secretary, wants to devise a mechanism for refineries to become eligible for the Energy-Intensive Industries Compensation Scheme - from which they are currently excluded. Energy costs were at the heart of the government's industrial strategy launched last week. Such a move would hand a welcome financial boost to the sector by assisting them with energy costs amid a slew of challenges which culminated in the appointment of compulsory liquidators over the Prax Lindsey refinery on Monday. The site's insolvency - revealed by Sky News - has drawn strong criticism from the government, with energy minister Michael Shanks calling the development "deeply concerning". "There have been longstanding issues with this company and workers have been badly let down," he said. "The secretary of state is today writing to the Insolvency Service to demand an immediate investigation into the conduct of the directors, and the circumstances surrounding this insolvency. "The government will ensure supplies are maintained, protect our energy security, and do everything we can to support workers and the local community, including engaging with trade unions and industry bodies. "The company has left the government with very little time to act." Prax Group is owned by Sanjeev Kumar Soosaipillai, who also acts as its chairman and chief executive and is the sole director of the refining subsidiary. The crisis at the Lindsey refinery, which is located on a 500-acre site five miles from the Humber Estuary, echoes that at Britain's dwindling number of oil refineries. According to the company, the site has an annual production capacity of 5.4 million tonnes, processing more than 20 different types of crude including petrol, diesel, bitumen, fuel oil and aviation fuels. The refinery, which was bought from France's Total in 2020, is understood to have become a growing drain on cash across the wider Prax Group, with which it has cross-guarantees. About 180 people work at State Oil Ltd, Prax Group's parent entity, while roughly 440 more are employed at the Prax Lindsey Refinery. The rest of the group, which includes oilfield assets in the Shetland Islands and hundreds of UK petrol stations, employs hundreds more people.
Bloomberg
12-05-2025
- Automotive
- Bloomberg
California Drivers Are Paying Up as Refineries Disappear
Welcome to our guide to the commodities markets powering the global economy. Today, reporter Nathan Risser explains why California drivers are likely to keep paying more at the pump than other Americans. For analysis on US President Donald Trump's trip to the Middle East, read this. Californians are accustomed to paying the highest gasoline prices in the US. That trend likely will continue because of the state's reliance on a dwindling fleet of oil refineries.
CBS News
09-05-2025
- Business
- CBS News
California gas prices could reach $8 by end of 2026, report says
SACRAMENTO — Gas prices in California could reach more than $8 per gallon by the end of 2026, marking a potential 75% increase over current rates, according to a new report. The study, led by Michael A. Mische of USC's Marshall School of Business, projects that regular gasoline could cost between $7.35 and $8.43 per gallon — up from the statewide average of $4.82 as of April 23, 2025. While the exact price point depends on market variables, Mische says there is a clear trend: "The models all indicate the same thing — the price of gas is going up." A major contributor to the projected price spike is the scheduled closure of two key oil refineries: Phillips 66 in Los Angeles and Valero in Benicia. According to the report, these closures would reduce California's refining capacity by 21% over the next three years, potentially removing 6.6 million to 13.1 million gallons of gasoline per day from the state's fuel supply. California currently consumes over 13.1 million gallons of gasoline daily, while producing less than 24% of its crude oil needs. "We're not going to see a 20% drop in demand to match that reduction," Mische said. "That creates a significant supply shortfall." California is also losing about 20% of its refinery production, a reduction Mische says is equivalent to over half the total production capacity of the state of Washington. "We're not going to see a 20% drop in demand to match that reduction," he said. Mische highlighted points from the study in an interview with CBS13 that create a mix of factors driving up prices: Increasing state excise and sales tax, expanding cap-and-trade program costs, a pending change to the Low Carbon Fuel Standard, declining in-state oil production and refinery capacity, the state's lack of incoming fuel pipelines, and increasing reliance on costly maritime transport. The logistics challenges extend to global instability. "Any disruption to maritime transport—geopolitical events, a hurricane in the Gulf, labor disputes—could cause major problems," Mische said. "We're putting ourselves in a vulnerable position." The LCFS alone, if passed in its current form, could raise prices by nearly 10%, according to estimates Mische cited — though he noted that the California Air Resources Board has since removed specific price projections from its website. Other hidden costs include transportation, since gasoline may now need to be shipped in from the Gulf Coast or Asia, as well as storage reserves. "Refiners are required to hold 14 to 16 days' worth of gasoline on reserve," said Mische, "and the cost of maintaining that reserve will be passed on to consumers." Mische noted that the data used in the study were provided by the State of California through publicly available data, as well as data from the Federal Government, which was also publicly available. Mische emphasized that the study isn't a doomsday prediction—it's a risk assessment. "We layered in a wide array of variables—from refinery capacity and seasonal blends to global spot prices and consumer demand elasticity," he said. "It's not about whether the price hits exactly $8. It's about understanding the trajectory and being prepared." Stockton gas station raises prices Ernie Giannecchini has owned and operated Ernie's General Store and Deli in Stockton for forty years. Typically, he's the cheapest gas in town with his cash price coming in under $4, at times. He told CBS13 this is his way of turning the tables on big oil companies and saving some pain at the pump for his customers. Over the holidays, he's dropped the cash price for a gallon and customers have responded by showing up and showing out, supporting the small business. A week ago, Giannecchini said the price was $3.99, but on Thursday, he was forced to go up to $4.49. It's still below the state average per gallon, but it's not the lowest for his customers, something he says he wishes he could change. "My prices have to go up because I'm at rock bottom prices, I'm just basically at my cost right now, and I usually try to be the lowest price in the area, in Stockton... I have a lot of loyal customers," Giannecchini said. He told CBS13 he hopes that the price can go back closer to what it usually is for customers, the lowest in town. But as of now, he explained, there's "no end in sight" for the price going up. Governor's office responds In a statement to CBS13, a spokesperson for the Governor, Daniel Villasenor, noted that in March, Gov. Gavin Newsom directed the state to redouble efforts to work with refiners to ensure a safe, affordable, and reliable supply of gasoline. The statement read: "In the two years since the Governor signed California's gas price gouging law, the state has avoided severe gasoline price spikes like the historic 2022 spike, saving Californians billions of dollars at the pump. The law established the nation's first state-level independent petroleum watchdog to hold Big Oil accountable, and the state has more transparency from the industry than ever before. Governor Newsom will keep fighting to protect Californians from price spikes at the pump." California Republicans demand action In a statement, Senate Minority Leader Brian W. Jones (R-San Diego) warned of a looming "energy and economic crisis", citing the same study by Mische. In a letter to Governor Gavin Newsom, Jones urged immediate action to halt the shutdowns, calling them a threat not only to fuel prices, but also to thousands of good-paying jobs and California's energy security. He blames state policies and excessive regulations for pushing refineries out of operation. "We're not just losing gas. We're losing jobs, losing local economies, losing our grip on affordable living in California, and losing a critical layer of our national security," Jones said.
