New York — Shell Oil will shut its 211,146 million b/d Convent, Louisiana, refinery in mid-November as efforts to sell the plant have not yielded a buyer, a company spokesman said Nov. 5.
Receive daily email alerts, subscriber notes & personalize your experience.Register Now
Shell's announced closure of the Convent refinery -- one of two of its Louisiana plants -- is the latest in a spate of refinery rationalizations across North America.
According to S&P Platts Global estimates, closure of almost 1.2 million b/d of North American refining capacity has been announced since the coronavirus pandemic cut demand for refined products across the continent.
"In July of 2020, we shared with staff that the Shell Convent Refinery was being marketed. Despite efforts to sell the asset, a viable buyer was never identified. After looking at all aspects of our business, including financial performance, we made the difficult decision to shut down the site," said Curtis Smith in an email.
Smith said the shutdown process will begin mid-November.
"The decision is part of the company's global strategy to invest in a core set of uniquely integrated manufacturing sites that are also strategically positioned for the transition to a low-carbon future," Smith said.
Shell has said previously it wanted to maintain facilities with chemical manufacturing capability. Its 227,400 b/d Norco, Louisiana, refinery complex also has two crackers, with capacities of 560,000 mt/year and 855,000 mt/year
Announced North American Refinery Rationalization
Capacity impacted (b/d)
North Atlantic Refining
Come by Chance, NL
Philadelphia Energy Solutions
Lake Charles, LA
Santa Maria, CA