California-based Meridian Energy Group provided the public with an update to how its new North Dakota Bakken crude refinery is progressing.
According to a news release, progress on the Davis Refinery in Belfield is making headway. Meridian has contracted engineering firm Vepica USA to provide preliminary studies of the proposed refinery, including the process simulation modeling of the proposed 55,000 barrel per day refinery. The laboratory models are currently evaluating different types of crude feedstocks and air emissions analysis.
As reported by the Oil & Gas Journal, Vepica will also conduct an array of engineering studies to better determine the design of the facility, overall costs and construction timeline. Vepica couldn’t give a specific timeframe of the studies, but Meridan is in the process of completing scope and optimization studies of the crude produced its likely providers. The detailed design and engineering phase is expected to begin early 2016.
Additionally, planning for the 620-acre construction site is complete, which will “enable Meridian to separately apply for permits for construction of the fabrication facilities, related site preparations, railway work and laydown areas.” The company has also reached a preliminary agreement with potential providers of the process equipment to be used in the Davis Refinery. As a result, Meridian anticipates the project is on or ahead of schedule.
If the proposed refinery is built, it will be the second new, or greenfield, refinery to be constructed in the United States since 1976. The first was the recently completed Dakota Prairie Refinery located outside of Dickinson.