HOUSTON, April 21, 2022 — LyondellBasell (NYSE: LYB) today announced its decision to cease operation of its Houston Refinery no later than December 31, 2023. In the interim, the Company will continue serving the fuels market, which is expected to remain strong in the near-term, and consider potential transactions and alternatives for the site.
“After thoroughly analyzing our options, we have determined that exiting the refining business by the end of next year is the best strategic and financial path forward for the Company,” said Ken Lane, interim CEO of LyondellBasell. “These decisions are never easy and we understand this has a very real impact on our refinery employees, their families and the community. We are committed to supporting our people through this transition.”
Lane added, “While this was a difficult decision, our exit of the refining business advances the Company’s decarbonization goals, and the site’s prime location gives us more options for advancing our future strategic objectives, including circularity.”
When media reached out to LyondellBasell about how many jobs would be impacted as a result, the company said “approximately 550 LyondellBasell employees currently work at the Houston Refinery. We are still very early in the process. We are committed to do everything we can to assist our people through this transition. We are evaluating options for the affected employees.”
It is also possible that another company would be interested in acquiring the Pasadena plant, and continuing to operate the refinery LyondellBasell’s Houston Refinery has a rated capacity to transform 268,000 barrels per day of crude oil into transportation fuels and other products including lubricants, chemical intermediates and petroleum coke.
As a leader in the global chemical industry, LyondellBasell strives every day to be the safest, best operated and most valued company in our industry. The Company’s products, materials and technologies are advancing sustainable solutions for food safety, access to clean water, healthcare and fuel efficiency in more than 100 international markets. LyondellBasell places high priority on diversity, equity and inclusion and is Advancing Good with an emphasis on our planet, the communities where we operate and our future workforce. The Company takes great pride in its world-class technology and customer focus. LyondellBasell has stepped up its circularity and climate ambitions and actions to address the global challenges of plastic waste and decarbonization. In 2022, LyondellBasell was named as one of FORTUNE Magazine’s “World’s Most Admired Companies” for the fifth consecutive year.