Valero Energy said Monday that due to unfavorable refinery
economics and the outlook for continued unfavorable refinery
economics, refining operations will be
suspended by the end of the month at its 235,000 bpd refinery
The refinery has been operating at
reduced rates because of inadequate margins resulting in
Over the past two years, Valero has thoroughly evaluated all of
its alternatives for the refinery and is now considering the
possibility of operating a terminal and storage operation at
For the immediate future, Valero will maintain the refinery
in a state that would allow a restart.
"We appreciate the diligent and incredible efforts of Prime
Minister Eman and his government in helping Valero find an
economic alternative that would allow continued operation of
the refinery," said Valero CEO Bill Klesse.
"If it had not been for the efforts of the Prime Minister,
the refinery would not have restarted in
late 2010 and operated over the past 15 months. Our discussions
with interested parties, including those facilitated by the
Government of Aruba, will continue."
Cover photo by David Stanley