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UPDATE 1-New Motiva Port Arthur crude unit out -sources
June 4, 2012 / 5:21 PM / 5 years ago

UPDATE 1-New Motiva Port Arthur crude unit out -sources

* Unit taken out of production after vapor releases
    * Gulf Coast gasoline after CDU taken out of production
    * Unit was formally commissioned by refinery officials
Thursday


    HOUSTON, June 4 (Reuters) - Motiva Enterprises 
newly commissioned 325,000 barrel per day (bpd) crude
distillation unit at the 600,000 bpd Port Arthur, Texas,
refinery was taken out of production following a malfunction
early Monday, according to sources familiar with refinery
operations.	
    The unit was placed on circulation following vapor releases,
the sources said. It could be returned to normal operation later
on Monday.	
    Gulf Coast gasoline differentials rose Monday morning as
news of the Motiva outage permeated the market. Conventional M2 
gasoline gained 2.00 cents per gallon to 9.50 cents under July
RBOB futures on the New York Mercantile Exchange.	
    A2 CBOB iniitally climbed 2.50 cents to 11.00 cents under,
but later retreated to 12.00 cents under, up by 1.50 cents per
gallon from Friday's levels.	
    At ceremonies on Thursday, officials from joint venture
Motiva and its owners Royal Dutch Shell Plc and Saudi
Aramco formally commissioned the 325,000 bpd crude
unit, which began production in late April.	
    The crude unit, a delayed coking unit, hydrocracking and
hydrotreating units and other ancillary units cost about $10
billion to build over five years.	
    The new crude unit boosted the Port Arthur refinery to a
crude oil refining capacity of 600,000 bpd, making the refinery
the largest in the United States. 	
    A crude distillation unit does the initial refining of crude
oil coming into a refinery and provides feedstock to all other
units.

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