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BP to Invest $130 Million on Clean Fuels Production

BP has announced plans to invest more than $130 million on new clean diesel facilities at its Whiting, Indiana refinery.

With the addition of a new Distillate Hydrotreater (DHT), the refinery will produce additional supplies of ultra low sulfur diesel fuel that meets or exceeds all on-road diesel regulations. The new unit will have the capacity to produce approximately 36,000 barrels per day of the ultra low sulfur diesel product.

"BP remains committed to leading the industry in the production of cleaner fuels and remaining the leader in making our products safer for the environment," said Dan Sajkowski, BP Whiting Refinery Business Unit Leader. "We are pleased to be able to make this investment, which will increase the quantity of cleaner diesel product available in the Midwest."

"BP's low sulfur fuels are cleaner burning fuels," said Brad Johnson, BP clean fuels project manager based at the Whiting refinery. "The lower sulfur enables new diesel engine technology to reduce fine particulate emissions along with sulfur emissions. These new diesel engines can only work with the ultra low sulfur diesel fuel. Ultra low sulfur diesel will also help existing engines reduce undesirable emissions,"

Locally, the project will employ approximately 400 skilled workers during the peak construction period. BP has already begun preliminary work on the project and expects to complete construction in mid-2006.

BP is the largest oil and gas producer and one of the largest gasoline retailers in the U.S. and has more than $40 billion in fixed assets with operations in almost every state and over 43,000 employees. In 2003, BP invested more than $7 billion in its U.S. businesses.

The BP Whiting refinery is the fourth largest refinery in the U.S. based upon refining capacity and the largest in the Midwest region. It is the only operating refinery in the State of Indiana

The U.S. EPA will require 15 ppm sulfur on-road diesel production beginning in June 2006 at which time 80% of the BP Whiting refinery's on-road diesel fuel must meet the new EPA specification

By January 2010 all on-road diesel must contain no more than 15 ppm sulfur. Off road diesel transitions to the 15 ppm specification in 2010, and locomotive and marine diesel follow in 2012

The Whiting refinery produces approximately 3.4 million gallons of diesel fuel per day

The refinery currently produces limited quantities of ultra low sulfur diesel fuel and supplies the fuel to the Chicago Transit Authority and a limited amount of other valued customers

The BP Whiting refinery produces approximately 16 million gallons of product daily. Half of it is gasoline. Other major products produced beside diesel fuel include, furnace oil, asphalt, propane, xylene and petroleum coke

The refinery has more than 1200 employees.

The refinery is one of the single largest taxpayers in Lake County and in the State of Indiana.

http://www.bp.com

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