HOUSTON, March 13 LyondellBasell Industries NV
cut the use of heavy sour crude oil from Venezuela by
about 36 percentage points between 2009 and 2012 at its 268,000
barrel per day (bpd) Houston refinery, the company said in a
presentation to Wall Street analysts on Wednesday.
The company is spending $50 million to nearly triple its
capacity to run heavy Canadian crude at the Houston refinery
from 60,000 bpd to 175,000 bpd. The overhaul to convert a crude
distillation unit and a coking unit for crude from Canada's tar
sands fields is "just finishing up," said Chief Executive Jim
A pipeline between Canada's tar sands oil fields in Alberta
to the U.S. Gulf Coast could offer transportation cost savings
of up to $200 million over shipment by rail, Lyondell said.
Pipeline shipment would cost $8 per barrel, while rail shipping
would run between $15 and $16 a barrel.