Page 4 - LatAmOil Week 19 2021

LatAmOil COMMENTARY LatAmOil

(Photo: Limetree Bay Ventures)
Limetree Bay Ventures

comes under pressure

The owner of the US Virgin Islands’ only refinery is under pressure from environmental

groups – and also from local officials who want the plant to resume operations

LIMETREE Bay Ventures, the owner of the Partners of the US, had been trying to restart it
Limetree Bay refinery near St. Croix in the US for about five years.
WHAT: Virgin Islands, is in a difficult position. On the other hand, the company is also
The Limetree Bay On the one hand, the company has been under pressure because of concerns about
refinery near St. Croix under a certain amount of pressure to bring pollution. Since February 1, there have been
is under scrutiny for the refinery back online. The facility, which multiple reports that the newly reactivated
contaminating nearby has a design capacity of 350,000 barrels per day refinery is having a negative effect on the local
neighbourhoods.
(bpd), plays a key role in the local economy. It environment.
is one of the largest private employers in the US Some residents of nearby neighbourhoods
WHY: Virgin Islands, and it is also one of the biggest have complained about noxious odours emanat-
The pollution reports rep-
resent another setback taxpayers. ing from the facility, reporting that the smells are
for the plant, which has The 350,000 barrel per day (bpd) oil-pro- making them feel sick – and forcing the closure
been off line since 2012. cessing plant – formerly owned by Hovensa, a of local schools and government offices. Others
joint venture between the US independent Hess have said that the release of steam, feedstocks
WHAT NEXT: and Venezuela’s national oil company (NOC) and various chemicals is contaminating their
Work to restart the re- PdVSA – was idle for nearly a decade. That is, homes and water supplies.
finery is likely to remain it was shut down in 2012 and did not resume
behind schedule. operations until February 1, 2021. By that date, Latest incident
Limetree Bay Ventures, a company set up by EIG The latest such incident occurred earlier this
Global Energy Partners and ArcLight Capital week, when fire broke out at the refinery.

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