BP signed a letter of intent with Marsulex Inc., Toronto, under which Marsulex would provide long-term environmental compliance services to BP's refinery in Whiting, Ind. Marsulex will design and build a new facility at the refinery to reduce site emissions and remove spent acid from the refinery's 34,200 b/d sulfuric acid alkylation unit. The acid will be regenerated at Marsulex's regeneration plant in Toledo, Ohio.
Marsulex will own the emissions facility and provide the services under a multiyear agreement. The capital cost of the project was not disclosed.
Operations at the new on-site facility will begin in early 2002. The unit will use Marsulex's proprietary technology�also licensed by Petro-Canada and Shell Canada Ltd.�to remove and recover sulfur emissions. The process produces sodium bisulfite as a by-product.
The spent acid regeneration service will begin later this year.
Total revenue of more than $275 million is expected from the contract, two-thirds of which will be generated from the new services at Whiting, said Marsulex. The services are subject to reaching definitive agreements and gaining approval from both companies' boards.
Marsulex and BP also signed a long-term extension to their existing agreement encompassing services for BP's Toledo refinery. And an agreement with BP Chemicals in Lima, Ohio, has been extended.
