Cushing, OK chosen as new site for $5.6-B oil refinery project
Originally reported by Leo Bertucci for the Victoria Advocate
El Campo-based Prairie Energy Partners has chosen Cushing, Oklahoma as the location for its proposed $5.6-B oil refinery project, despite property tax incentives offered by Victoria County officials in Texas. Prairie Energy Partners plans to build the first new American refinery in more than 40 years in Cushing, which was once home to multiple refineries. The facility aims to refine 250,000 bpd, with a total of 91 MMbbl annually. The refinery will primarily use blue hydrogen as a fuel source, significantly reducing greenhouse gas emissions.
Victoria County officials had offered Prairie Energy Partners a generous property tax rebate of 100% for 10 years, followed by 50% for five years and 25% for years 16 to 20. However, they did not agree to the additional request for a 75% sales tax rebate during the construction phase. Prairie Energy Partners found the tax incentives offered in Cushing, along with its status as the "Pipeline Crossroads of the World," more appealing than the location in Texas. Cushing's proximity to major cities like Oklahoma City and Tulsa also provides a favorable quality of life for the refinery's estimated 423 permanent workers.
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