FEASIBILITY STUDY FOR A PETROLEUM REFINERY FOR THE JICARILLA APACHE TRIBE

A feasibility study for a proposed petroleum refinery for the Jicarilla Apache Indian Reservation was performed. The available crude oil production was identified and characterized. There is 6,000 barrels per day of crude oil production available for processing in the proposed refinery. The proposed refinery will utilize a lower temperature, smaller crude fractionation unit. It will have a Naphtha Hydrodesulfurizer and Reformer to produce high octane gasoline. The surplus hydrogen from the reformer will be used in a specialized hydrocracker to convert the heavier crude oil fractions to ultra low sulfur gasoline and diesel fuel products. The proposed refinery will produce gasoline, jet fuel, diesel fuel, and a minimal amount of lube oil. The refinery will require about $86,700,000 to construct. It will have net annual pre-tax profit of about $17,000,000. The estimated return on investment is 20%. The feasibility is positive subject to confirmation of long term crude supply. The study also identified procedures for evaluating processing options as a means for American Indian Tribes and Native American Corporations to maximize the value of their crude oil production