Hilcorp Might Purchase Phillips 66 Refinery in Belle Chasse
This can be both good news and bad news for Belle Chasse and Plaquemines Parish. Phillips 66, which is based out of Houston wants to sell its Alliance Refinery in Belle Chasse. The good news is that Hilcorp Energy Co. is considering purchasing the refinery but the bad news is over 850 workers and contractors who are employed at the current refinery will be out of a job.
Hilcorp would have to shut down Alliance to be able to convert the refinery which is located on the lower Mississippi River into an oil export terminal. Hilcorp feels the refinery is a possibility to be incorporated into Hilcorp’s growth strategy. In 2020 the company acquired BP PLC’s in all of Alaska adding it to the already huge Hilcorp Alaska private oil and gas operator.
Hilcorp is also based out of Houston and was founded in 1989. It is the largest privately-owned oil and natural gas producer in the country. They provide oil, petrol and natural gas.
The Alliance Refinery is about 25 miles south of New Orleans. The refinery gets its crude oil from the Gulf of Mexico by pipeline and U.S. tight oil by barge. Most of the refined products from the refinery are distributed around the eastern United States. It is distributed through the major common-carrier pipelines and by barge.
The refinery, built in 1971, sits on 2,400 acres in Belle Chasse and has a capacity to process 255,600 barrels of crude oil each day, most of which is refined into gasoline. This sale could see a potential of $500 million.