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News / Business / Business Briefs

Refinery cancels xylenes project in settlement deal

By Wire Services
Published: January 2, 2020, 6:00am

MOUNT VERNON — A legal battle over a project at Marathon Anacortes Refinery has come to a close after a settlement agreement was reached under which the refinery will scrap plans to produce xylenes for shipment overseas.

The agreement was signed Monday by the Skagit County Board of Commissioners after it had been signed by representatives of the refinery and of environmental groups that filed a series of appeals against the three-part project.

The refinery, formerly Tesoro, had plans to reduce the sulfur content of its fuel products, reduce emissions from vessels at its dock and produce xylenes.

Refinery General Manager James Tangaro, who signed the agreement Dec. 18, said he’s disappointed that a large part of the $400 million Clean Products Upgrade Project first proposed in 2014 won’t come to fruition.

“We were looking forward to doing the project and spending the rest of the $400 million budgeted for it in this community, and we won’t get to,” he said.

That also means the refinery won’t add the 20 full-time jobs it expected to add to handle the xylenes.

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