The Governor’s Office of Economic Development on Wednesday cleared the way for the first oil refinery to be built in the U.S. in almost 40 years when its board gave a large tax credit to a joint venture of two investment firms for a project in Utah.
By a unanimous vote, GOED’s board agreed to a $12.7 million post-performance credit for Emery Refining LLC, funded by London-based finance firm Bridgehouse Capital Ltd. and Woodrock & Co., a Houston-based investment bank.
It isn’t clear how the crude will be transported from wells in the Paradox and Uinta basins in Colorado and Utah. Given that there are no pipelines in the area, trucks would be an option. Nor is it certain how the refinery will affect the five refineries that already operate in the state. If the refinery is built, it will be the first to be constructed in the U.S. since 1976. Refiners have preferred to expand existing plants rather than build new ones. Salt Lake Tribune