Valero to expand McKee refinery

By OGJ editors
HOUSTON, Mar. 16
-- Valero Energy Corp. plans to expand the crude unit capacity of its McKee refinery in Sunray, Tex., by 25,000 b/cd to increase total capacity to 195,000 b/cd.

West Texas Intermediate crude oil from Midland, Tex., will supply the additional oil after the scheduled expansion is completed in 3 years, Valero said.

The crude unit expansion plans follow a previously announced gathering system expansion to bring more Texas Panhandle oil to the refinery.

That project involves looping an existing pipeline from Valero’s storage facility in Perryton, Tex., as well as building additional pump stations and storage.

“These expansion plans will enable Valero to capitalize on the production of West Texas and locally produced crudes,” said Joe Gorder, Valero’s executive vice-president.

The two expansion projects will give the McKee refinery more flexibility and more options, Gorder said.

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