Co-op refinery on the march

The Canadian province with the longest and deepest connections with socialist government and cooperative associations has never allowed those ties to let it fall behind the times.

Now Saskatchewan’s Consumers’ Co-operative Refineries is joining the wave of crude processors plunging into the oil sands and heavy oil business.

Consumers, which had its beginnings in 1934 with a 500 barrel-per-day refinery, is preparing to expand its 100,000 bpd refinery near Regina by 30,000 bpd.

When it comes on stream in 2011 at a possible cost of C$1 billion, the new facility will process sweet synthetic crude.

Although suppliers have yet to be contracted, Consumers is confident it will have access to several in either its home province or Alberta.

A high percentage of gasoline sold in Saskatchewan and Manitoba comes from Consumers, the world’s first cooperative refinery.

Consumers moved into the big-time in 1980 when it opened its NewGrade heavy oil upgrader to take advantage of dominant crude sources in Saskatchewan.

—Gary Park