Royal Dutch Shell PLC has agreed to sell its Puget Sound Refinery in Washington state for $350 million to HollyFrontier Corp as it continues to divest assets that create carbon emissions. As part of the deal, Shell will pay roughly $150 million for the hydrocarbon inventories at the facility and at the Saraland, Alabama site said HollyFrontiers in a statement. Also included in the deal are on-site co-generation and logistical assets.
The move to sell the refinery is part of Shell’s overall move towards the company’s goal of becoming carbon neutral by 2050. Shell has been selling all of its refineries except ones that also refine other petrochemicals, as such, it is keeping six refineries including the Norco plant in Louisiana and its Deer Park plant which is one of the largest refineries and is located in Deer Park, Texas, just outside of Houston and other integrated refineries that can handle petrochemicals as well.
A growing number of industry analyst are starting to say we have reached peak oil in 2019, and from here forward oil for use in transportation and energy will continue to decline as electric vehicles reach the market and renewable energy from wind and solar take over from natural gas or coal.