Flint Hills Resources Port Arthur Reaches Agreement With Environmental Protection Agency
Benefits include Reduced Emissions and Funds for Projects Benefiting Local Community;
Port Arthur Mayor Calls it a ‘Win-Win’
March 20, 2014
Flint Hills Resources announced today that it has reached an agreement with the U.S. Environmental Protection Agency and the U.S. Department of Justice that provides for the installation of state-of-the-art emissions reductions technology and other enhancements at the company’s Port Arthur chemical plant. The community benefits from this agreement through reduced emissions and $2.35 million in funding for two projects1 chosen by the City of Port Arthur as focus areas.
The plant has taken early initiative to complete many of the actions now required as part of the consent decree, including improving the performance of its flares, enhancing its leak detection and repair program, and installing a flare gas recovery system—the first-of-its-kind at a stand-alone U.S. olefins plant. Now the plant is able to capture and reuse gas streams that otherwise may have been emitted from its flares. The company’s investment for the agreed plant enhancements is expected to be $44.5 million.
“This agreement affirms the work we have already done to improve environmental performance and reduce emissions at our Port Arthur chemical plant,” said Phil Gaarder, vice president of operations for Flint Hills Resources. “We are pleased to have worked cooperatively with the EPA to reach an agreement that benefits area residents and appreciate EPA’s commitment to identifying community projects with local support that will provide for additional emissions reductions in the area,” he added.
Flint Hills Resources will direct $2 million to the City of Port Arthur’s Diesel Emissions Reduction Project to implement and complete the renovation of city-owned diesel-engine vehicles, and $350,000 to the Energy Efficiency Project, known locally as the Lighthouse Project, to reduce the energy demand in low income residences. The company also has agreed to pay a penalty of $350,000.
“This is a huge unexpected benefit to the citizens of Port Arthur,” noted Bobbie Prince, mayor of Port Arthur. “Everyone wins. The city takes high emission vehicles off the street, many of our residents will have access to energy efficient improvements, and our air is cleaner.”
1 The community projects will be undertaken in connection with the settlement of an enforcement action, United States v. Flint Hills Resources, taken on behalf of the EPA under the Clean Air Act.
About Flint Hills Resources
Flint Hills Resources, LLC, through its subsidiaries, is a leading refining, chemicals and biofuels company. Its subsidiaries market products such as gasoline, diesel, jet fuel, ethanol, biodiesel, olefins, polymers, and intermediate chemicals, as well as base oils and asphalt. The company, based in Wichita, Kan., has nearly 4,400 employees and strives to create value for customers and society.
The company’s chemical plant in Port Arthur, Texas, is a U.S. producer of ethylene and propylene, which are basic building blocks used to manufacture a variety of components from medical devices to appliance components. More on Flint Hills Resources can be found at www.fhr.com.