Bakersfield location to handle and process Bakken crude
Alon USA Energy Inc. has been approved to begin a rail and refinery upgrade project at a Bakersfield, California refinery aimed at utilizing Bakken crude. The Dallas-based independent refiner first began formulating the refinery expansion plan in October 2013, according to a company spokesperson. The upgrades will expand the site’s railcar unloading and oil storage capacity along with other equipment modifications that will allow the Bakersfield location to handle and process Bakken crude. A double rail loop will be constructed to handle two-unit trains per day. Construction of the facility is expected to be complete by 2015, according to the company.
In 2008, the previous owner of the facility went bankrupt, causing the closure of the site But, in 2011, the refinery restarted. The current refining capacity is roughly 70,000 barrels of oil per day (bopd), including a mix of gasoline, diesel and other hydrocarbon-based products. Because the new rail line expansion will bring in roughly 150,000 bopd, the site intends to add additional storage capacity.
According to the company, Bakken crude will be blended with other heavier crudes at the facility prior to refining. The site currently has rail infrastructure on the BNSF line, along with existing storage capacity.
Although the city has grown up around the refinery since it was first built, the city approved the expansion of the refinery. “We are very pleased to receive the permit for our Bakersfield crude flexibility project and grateful for the community’s support of this initiative. With this approval in hand, we are ready to start detailed engineering,” said Paul Eisman, CEO and president of Alon.