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Delek US Upgrades Refinery in Krotz Springs, Louisiana

05/24/2019
Through a series of projects over the next five years, Israel-based energy company Delek US will invest $150 million to enhance its refinery in Krotz Springs, Louisiana.

Delek US will create 30 new direct jobs. In addition, the company also will retain 200 existing jobs at its Krotz Springs refinery. The Krotz Springs refinery manufactures gasoline, diesel fuel, petrochemicals and other products, with a capacity of 74,000 barrels per day. Built in 1980, it is one of the country’s newer refineries.

“That Delek is announcing major new investments in facilities and jobs in Krotz Springs less than a month after the completion of the company’s largest-ever capital project is a testament to our faith in the refinery and the team that runs it,” Delek US President & CEO Uzi Yemin said. “And I’m pleased that our enhanced partnership with the State of Louisiana, St. Landry Parish and the Port of Krotz Springs will protect the environment and further strengthen the refinery’s viability.”

Located on the west bank of the Atchafalaya River, the facility generates substantial activity for the Port of Krotz Springs. The company’s enhancement projects at the refinery will include infrastructure improvements, facility construction and renovations, and new machinery and equipment.

To secure the project, LED offered Delek US a competitive incentive package that includes a performance-based grant of up to $7.5 million, payable over four years, for enhancing the dock terminal that serves the company at the Port of Krotz Springs on the Atchafalaya River. The company also is expected to utilize the state’s Quality Jobs and Industrial Tax Exemption programs.

“These investments in the Krotz Springs location, on the heels of their new $138 million alkylation facility, further reinforces the Delek commitment to the long-term productivity of this facility and to being an anchor employer for our area economy,” said Executive Director Bill Rodier of St. Landry Economic Development. “At the local and parish levels, we are fortunate to have such a dedicated group of more than 30 area elected leaders that worked diligently to solidify the incentives necessary to make Krotz Springs competitive for this project. It takes a true team effort to bring large projects like this together and we are grateful to all our state, regional and local partners for their great work in helping to make this growth a reality.”

“Four months ago, we welcomed an Israel-based software technology company to Baton Rouge, where it has set up a cybersecurity partnership with LSU,” Governor John Bel Edwards said. “Last week, we announced Cybint Solutions, which has roots in the Israel Defense Forces, is creating a cyber center with Bossier Parish Community College. Today, I am happy to announce a third initiative resulting from our recent trade mission to Israel. This initiative at the Delek US refinery in Krotz Springs builds on Louisiana’s role as an energy leader in the U.S. These projects will create new high-paying jobs for our Acadiana Region, and we look forward to Delek’s continued growth and success in St. Landry Parish.”

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