UDS says Sahara project has improved fuel quality at Quebec refinery

Ultramar Diamond Shamrock Corp. said Friday its Quebec refinery has met tighter low-sulfur fuel requirements 9 months ahead of the Canadian government's deadline.

Nov. 9, 2001

2 min read

By the OGJ Online Staff

HOUSTON, Nov. 9 -- Ultramar Diamond Shamrock Corp. said Friday its Quebec refinery has met tighter low-sulfur fuel requirements 9 months ahead of the Canadian government's deadline.

It attributed the milestone to the company's "Sahara project," a 7-year agreement with Algeria's Sonatrach for a supply of an additional 35,000 b/d of light, low-sulfur crude.

UDS said the Sahara project made possible the construction of a 30,000-35,000 b/d "mini-refinery" at Quebec (OGJ Online, May 1, 2001).

"With the new Sahara refinery unit, the additional supply of low-sulfur crude oil, which broadens our range of crude oil, and the improvements made to our refinery units, Ultramar is able to meet new federal government standards for the marketing of cleaner-burning fuel and to do so 9 months ahead of schedule," Ultramar said.

Canada's limit on the sulfur content in gasoline is 1,000 ppm but will drop to 150 ppm between July 1, 2002, and Dec. 31, 2004.

Ultramar said recent maintenance work and the addition of new technologies has allowed it to reduce air emissions from the cracking plant and boost refinery throughput capacity of to 200,000 b/d.

The company said capital improvements at the refinery have averaged $20 million (Can.)/year for the past 3 years.