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Meridian inks MoUs for Davis Refinery

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Hydrocarbon Engineering,

Meridian Energy Group Inc. has announced that it recently entered into Memoranda of Understanding (MoUs) with local and regional petroleum product distribution firms.

Under the MoUs, these firms will purchase and distribute up to 268 million gal./y of refined products from the Davis Refinery, Meridian’s greenfield refinery proposed for Billings County, near Belfield, North Dakota, US.

These deals represent over 67% of the design capacity of Davis Light, the first phase of the refinery, and a still-significant portion of the completed 55 000 bpd capacity of Davis Refinery. Upon completion, the Davis Refinery will produce over 800 million gal/y of refined products.

Meridian confirmed that negotiations of distribution agreements with other firms are proceeding. The company also announced that it has completed a letter of intent with Sequent Energy Management L.P., under which Sequent will provide the Davis Refinery with its natural gas requirements.

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US refinery news