Valero's Benicia Crude Rail Project Facing Potential Delay
09.12.2013 - NEWS

September 12, 2013 [OPIS] - Valero is facing potential delays for a crude rail logistics project at its 170,000-b/d Benicia refinery in Northern California due to extra time needed to complete an Environmental Impact Review.


Valero expects an Environmental Impact Review for a crude rail transportation project at its Benicia refinery to take a couple of months, a company spokesman told OPIS on Wednesday.

“Valero agrees with the city that a full environmental impact review is a good idea to help alleviate community concerns about the rail facility. The EIR may take a couple of months, and then we will move forward from there,” he said.

The spokesman declined to comment on the project’s timetable even though the EIR
is likely to push back the first operation date of that rail project, which was originally scheduled for the fourth quarter of 2013.

A public meeting is scheduled on Thursday in Benicia to help map out the environmental impact report for Valero’s crude rail project. This meeting aims to address potential issues raised by the public about the project.

The rail project was to allow Valero to deliver up to 30,000 b/d to 50,000 b/d of crude to its Benicia refinery in fourth quarter of 2013.

While the project would create more jobs and allow Valero to increase its competitiveness, the public was concerned about train spills, traffic jams at crossings and use of “dirtier” crude stocks from Western Canada.

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