11.17.11

Tesoro CEO Goff Meets with Hoeven to Discuss Company's Expansion Plans

Company Plans Expanded Production in Mandan, New Rail Project To Ship ND Crude

WASHINGTON – Senator John Hoeven today met with Tesoro CEO Greg Goff to review the company’s major expansion plans in North Dakota, including a $35 million, 10,000-barrel-per-day expansion of its Mandan refinery and a new rail project to ship North Dakota crude to its Anacortes, Washington facility.

 

The refinery expansion will push refinery capacity to 68,000 barrels-a-day, which will be supplied by Bakken oil through its High Plains Pipeline system. Construction is expected to be completed in the second quarter of next year.

The company is also planning a new rail shipping project to transport crude oil produced from the Bakken oil fields in western North Dakota to its refinery in Anacortes, Washington. The $60 million project will include unloading facilities, capable of receiving 30,000 barrels of oil per day via unit trains. Tesoro has completed a long-term agreement with Rangeland Energy to use its crude oil loading terminal in Williams County which is connected to Tesoro’s High Plains Pipeline System.  Unit train deliveries to Anacortes are scheduled to begin  in the fourth quarter of next year, pending the receipt of applicable permits.

 

The company will now have the option to send crude oil to both its Mandan refinery via pipeline and its Washington state facility via rail.

 

“Over the years, we worked to create an environment that attracts the kind of major investments Tesoro is making in North Dakota,” Hoeven said. “Between the company’s Mandan expansion and its new rail project, Tesoro is planning an investment of nearly $100 million that will directly benefit North Dakota. That translates into jobs and increased economic opportunity for our state and our people.”