Tesoro to Supply Crude Oil to Washington Refinery

Tesoro Corporation is to supply crude oil from the Bakken Shale / Williston Basin area in North Dakota to its refinery in Washington, US.

The project will consist of loading and unloading facilities and dedicated rail cars to accommodate the unit train at the Anacortes refinery.

Tesoro, which delivers 1,000-2,000bpd of Bakken crude oil into the Washington refinery, expects to increase its capacity to 30,000bpd.

The firm will initially spend $50m on the project and start construction on receipt of the necessary permits.

Tesoro has also executed a long-term agreement with Rangeland Energy to access the company’s crude oil loading terminal and pipeline facility in Williams County, North Dakota.

The facility will have a direct connection to Tesoro Logistics’ High Plains crude oil gathering system, and is expected to be operational by the first quarter of 2012.