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Released September 24, 2018 | GALWAY, IRELAND
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Written by Martin Lynch, European News Editor for Industrial Info (Galway, Ireland)--Exxon Mobil Corporation (NYSE:XOM) (ExxonMobil) is planning to invest up to £500 million ($660 million) at the U.K.'s largest refinery in Fawley.
The company has started the planning process and said it is preparing the "business case for a multimillion-pound Fawley investment," which will see significant upgrades. The company said that the investment will help meet demand in the U.K. market for high-quality fuels, reduce the need for diesel imports and allow the site to process a wider selection of crude oils. The expansion will, it said, "help secure future employment for 1,000 employees at the site."
The Esso refinery at Fawley, located on Southampton Water, has prime access to southern England and other markets in Europe and approximately one in six cars in the U.K. run on fuel produced there. The proposed project would include a new hydrotreater unit that would be supported by a new hydrogen plant. The expanded plant will allow Fawley to produce ultra-low sulphur diesel.
"If this project is approved, it would be a major investment in the site amounting to hundreds of millions of pounds, and a bold statement of confidence in Fawley and its ability to produce high-quality fuels for the U.K. economy," explained Simon Downing, Fawley Refinery manager. "This is not a paper exercise--we already have a big team working on this. This is an exciting time for everyone at Fawley. I congratulate the project team for all their hard work in getting us to this point. We hope to make our final investment decision in the first half of 2019." The decision will depend on regulatory approvals, market conditions and economic competitiveness.
Fawley has a mile-long marine terminal that handles around 2,000 ship movements and 22 million tonnes of crude oil and other products every year. The refinery processes around 270,000 barrels of crude oil a day and provides 20% of U.K. refinery capacity. The site is home to Esso Petroleum Company and ExxonMobil Chemical.
In March Industrial Info reported that ExxonMobil had earmarked $24 billion for capital expenditures in 2018 and planned to ramp that up to an average of $30 billion during 2023 to 2025, when it aims to double earnings. Industrial Info is tracking nearly $44 billion in active ExxonMobil projects. For additional information, see March 8, 2018, article - ExxonMobil Expects to Double Earnings by 2025 as it Pours More into Capex.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Our European headquarters are located in Galway, Ireland. Follow IIR Europe on: Facebook - Twitter - LinkedIn For more information on our European coverage send inquiries to info@industrialinfo.eu or visit us online at Industrial Info Europe.
The company has started the planning process and said it is preparing the "business case for a multimillion-pound Fawley investment," which will see significant upgrades. The company said that the investment will help meet demand in the U.K. market for high-quality fuels, reduce the need for diesel imports and allow the site to process a wider selection of crude oils. The expansion will, it said, "help secure future employment for 1,000 employees at the site."
The Esso refinery at Fawley, located on Southampton Water, has prime access to southern England and other markets in Europe and approximately one in six cars in the U.K. run on fuel produced there. The proposed project would include a new hydrotreater unit that would be supported by a new hydrogen plant. The expanded plant will allow Fawley to produce ultra-low sulphur diesel.
"If this project is approved, it would be a major investment in the site amounting to hundreds of millions of pounds, and a bold statement of confidence in Fawley and its ability to produce high-quality fuels for the U.K. economy," explained Simon Downing, Fawley Refinery manager. "This is not a paper exercise--we already have a big team working on this. This is an exciting time for everyone at Fawley. I congratulate the project team for all their hard work in getting us to this point. We hope to make our final investment decision in the first half of 2019." The decision will depend on regulatory approvals, market conditions and economic competitiveness.
Fawley has a mile-long marine terminal that handles around 2,000 ship movements and 22 million tonnes of crude oil and other products every year. The refinery processes around 270,000 barrels of crude oil a day and provides 20% of U.K. refinery capacity. The site is home to Esso Petroleum Company and ExxonMobil Chemical.
In March Industrial Info reported that ExxonMobil had earmarked $24 billion for capital expenditures in 2018 and planned to ramp that up to an average of $30 billion during 2023 to 2025, when it aims to double earnings. Industrial Info is tracking nearly $44 billion in active ExxonMobil projects. For additional information, see March 8, 2018, article - ExxonMobil Expects to Double Earnings by 2025 as it Pours More into Capex.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Our European headquarters are located in Galway, Ireland. Follow IIR Europe on: Facebook - Twitter - LinkedIn For more information on our European coverage send inquiries to info@industrialinfo.eu or visit us online at Industrial Info Europe.
