US-based LyondellBasell (LYB, Houston, Texas; www.lyondellbasell.com) has said it will stay in the oil refining business longer than planned by postponing its exit from refining from the final part of this year to the end of Q1 2025.

In making the case for the later departure – and without detailing the rationale for operating the plant for another 18 months – the group said “favourable inspections” and a “consistent performance” have given management the needed confidence to continue “safe and reliable operations” at the site in the Houston Ship Channel.

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Plasteurope.com’s Polyglobe database (www.polyglobe.net) shows that the refinery has capacity to process 268,000 bbl/d of crude. Along with propylene, the Houston site also produces the aromatics benzene, paraxylene, and orthoxylene.

One reason for the delay is the impact of the refining phase-out on the workforce, the company said, noting this could be minimised and a smoother transition facilitated while future options for the designated hub for circular polymers such as the group’s Circulen portfolio continue to be developed.

Additional multiple options for the Houston complex, which could include facilities for recycled and renewable-based feedstocks as well as “green” and “blue” hydrogen, are being evaluated, CEO Peter Vanacker said.

Though moderate maintenance spending will be needed during the extended refinery operation, Vanacker stressed that management remains committed to exiting the business.

Plans for ending refining have been on the table since at least 2016, with the company failing to sell the assets. In 2021, former CEO Bob Patel spoke on the subject of divesting the operations, saying the company was “actively gauging market interest with the goal of delivering the greatest value to all our stakeholders”.