Husky Energy Inc , Canada’s No.3 integrated oil company, said on Monday it is going ahead with a C$300 million ($269.1 million) project at its 160,000-barrel-per-day refinery at Lima, Ohio, that will boost its ability to process heavy Canadian crude oil.
The company, controlled by Hong Kong billionaire Li Ka-shing, said the work will allow the refinery to process up to 40,000 barrels per day of Western Canadian crude while maintaining its ability to handle lighter varieties of oil.
The company is one of a number of Midwest refiners revamping their operations in order to process more Canadian crude, which typically trades at a discount to U.S. grades.
BP Plc in December completed a $4 billion refurbishing of its 405,000 bpd refinery in Whiting, Indiana, to raise its capacity to refine heavy crude to 350,000 bpd from 85,000 bpd.
Husky shares were down 24 Canadian cents to C$32.85 by midmorning on the Toronto Stock Exchange.