Press Releases

Shell issues Bakersfield Refinery sales process update #2

12/06/2004

Shell is set to achieve emission reductions more than three years ahead of schedule

Shell Oil Products US today announced that it has reached an agreement with the U.S. Environmental Protection Agency and the Department of Justice on modifications to a consent decree that would allow the Shell Bakersfield Refinery to operate through March 31, 2005.  In the modification, Shell agrees to achieve certain overall emission reductions more than three years ahead of the original timetable.

Specifically, Shell agrees to an additional reduction of 62 tons of nitrogen oxide emissions per year by March 31, 2005. Originally, that amount was part of the reductions expected to be achieved by December 31, 2008. Also, Shell would be allowed to go slightly under its original nitrogen oxide emission reduction target for this year by seven tons, due to not closing the Bakersfield refinery on October 1 as originally planned. The agreement now will go through a public comment period and must have court approval to be finalized.

“We’re pleased to be in a position to extend operations at the Bakersfield facility, while we also deliver overall emissions reductions earlier than scheduled,” said Lynn Laverty Elsenhans, President of Shell Oil Products US. “Extending operations at the Bakersfield plant would help with transition issues, should a new owner emerge from the sales process, which is still ongoing.”

Shell continues discussions with a short list of bidders on the potential sale of the refinery. If no agreement on a sale is reached, Shell plans to close its Bakersfield refinery by March 31, 2005 per previous announcements.