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Ashland and Marathon #4638792
01/18/18 02:02 PM
01/18/18 02:02 PM
Joined: Jan 2018
Posts: 101
Iowa, United States
KMJ1992 Offline OP
KMJ1992  Offline OP
Joined: Jan 2018
Posts: 101
Iowa, United States
Hey guys. Valvoline fan here. Ive heard in recent discussion that they get base oil from XOM or Shell usually. But i thought i read that they (Ashland) had a stake in the Marathon Garyville Refinery? Wouldn't it make more sense to get the majority of their oil from there? I'm sure they use multiple sources as needed, just curious. Lets not make this an A vs B thread, thanks.


Valvoline- World's First, World's Finest!
Always Wix or Purolator, NEVER FRAM!!!
Re: Ashland and Marathon [Re: KMJ1992] #4638833
01/18/18 02:25 PM
01/18/18 02:25 PM
Joined: Dec 2016
Posts: 6,241
Waco, TX
Linctex Offline
Linctex  Offline
Joined: Dec 2016
Posts: 6,241
Waco, TX
If I were an oil blender like Valvoline...

I'd buy my stocks from the cheapest sources possible.


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Re: Ashland and Marathon [Re: Linctex] #4638838
01/18/18 02:29 PM
01/18/18 02:29 PM
Joined: Oct 2009
Posts: 3,222
Wet side WA
JohnnyJohnson Online content
JohnnyJohnson  Online Content
Joined: Oct 2009
Posts: 3,222
Wet side WA
Originally Posted By: Linctex
If I were an oil blender like Valvoline...

I'd buy my stocks from the cheapest sources possible.


thumbsup

As long as those sources were of competitive quality. But since this stuff has to all go for the API standard my guess is its all pretty competitive.


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Re: Ashland and Marathon [Re: KMJ1992] #4638861
01/18/18 03:00 PM
01/18/18 03:00 PM
Joined: Apr 2005
Posts: 543
NE Ohio
knerml Offline
knerml  Offline
Joined: Apr 2005
Posts: 543
NE Ohio
Even though this refinery is one of the biggest in North America, I don't believe that the Marathon Garyville Refinery provides good quality base stock.

That's because it refines sour crude oil, which is high in sulfur.

Last edited by knerml; 01/18/18 03:00 PM.

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Re: Ashland and Marathon [Re: KMJ1992] #4638870
01/18/18 03:08 PM
01/18/18 03:08 PM
Joined: Jan 2018
Posts: 101
Iowa, United States
KMJ1992 Offline OP
KMJ1992  Offline OP
Joined: Jan 2018
Posts: 101
Iowa, United States
Interesting. So mostly for fuel production then? I wonder why Ashland wanted in if that's the case. I supppse growth is growth.


Valvoline- World's First, World's Finest!
Always Wix or Purolator, NEVER FRAM!!!
Re: Ashland and Marathon [Re: KMJ1992] #4638881
01/18/18 03:19 PM
01/18/18 03:19 PM
Joined: Jan 2018
Posts: 101
Iowa, United States
KMJ1992 Offline OP
KMJ1992  Offline OP
Joined: Jan 2018
Posts: 101
Iowa, United States
Also, is the high sulfur content due to the proccess they choose to use, or based on the crude? Not even fuel is allowed much sulfur anymore, what is the purpose of sour crude? Grease?


Valvoline- World's First, World's Finest!
Always Wix or Purolator, NEVER FRAM!!!
Re: Ashland and Marathon [Re: KMJ1992] #4638888
01/18/18 03:31 PM
01/18/18 03:31 PM
Joined: Sep 2002
Posts: 4,099
Lakeville, MN
MNgopher Offline
MNgopher  Offline
Joined: Sep 2002
Posts: 4,099
Lakeville, MN
Sour Crude oil is the crude oil used in the refining process. Sour means it has more than 0.5% sulfur content.

Refineries are typically setup to use crude oil with certain general types of crude oil in mind. Many refineries in the midwest US use sour crude, generally from Canada, as their basic feedstock. They use it because despite the costs to get the sulfur out of the oil, they can source the crude for much cheaper than sweet crude oil.

And Linctex has got it right - as a blender, buy from the cheapest source that meets the quality requirements.

Re: Ashland and Marathon [Re: KMJ1992] #4638902
01/18/18 03:45 PM
01/18/18 03:45 PM
Joined: Oct 2011
Posts: 945
Toronto ON
Solarent Offline
Solarent  Offline
Joined: Oct 2011
Posts: 945
Toronto ON
Originally Posted By: KMJ1992
Hey guys. Valvoline fan here. Ive heard in recent discussion that they get base oil from XOM or Shell usually. But i thought i read that they (Ashland) had a stake in the Marathon Garyville Refinery? Wouldn't it make more sense to get the majority of their oil from there? I'm sure they use multiple sources as needed, just curious. Lets not make this an A vs B thread, thanks.


As far as I know, this refinery does not have a base oil plant. Most base oil producers will have a plant backwards integrated into their refinery. In some cases (like the PetroCanada base oil plant and most re-refiners) they are stand alone "refineries" which import VGO either via pipeline or railcar.

Most fuel refineries do not produce base oil. If you are a Lubes N Greases subscriber you get a poster every year with base oil plant locations and their capacities - listed by the company that owns them.

Some majors (like Exxon) also locate their blending facilities next to their base oil plants - the example I am thinking of is the Imperial Oil plant in Edmonton which is closing later this year - the primary reason for closing the blending plant is because they are also shutting off base oil production (GROUP I) at the Strathcona Refinery.

Re: Ashland and Marathon [Re: KMJ1992] #4638930
01/18/18 04:27 PM
01/18/18 04:27 PM
Joined: Mar 2017
Posts: 5,458
Soviet State of Washington
PimTac Offline
PimTac  Offline
Joined: Mar 2017
Posts: 5,458
Soviet State of Washington
Valvoline has split off from Ashland as of almost a year ago.


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Re: Ashland and Marathon [Re: PimTac] #4639260
01/18/18 09:40 PM
01/18/18 09:40 PM
Joined: Jun 2014
Posts: 1,968
IL
Vern_in_IL Offline
Vern_in_IL  Offline
Joined: Jun 2014
Posts: 1,968
IL
Originally Posted By: PimTac
Valvoline has split off from Ashland as of almost a year ago.


Ashland used to be in a Joint venture with Marathon Pipeline, and way back Ashland has retail gas stations with Ashland branding....

Since then Ashland has be divesting itself... now it's just a "global specialty chemicals company" more like producing skin lotion.

Last edited by Vern_in_IL; 01/18/18 09:43 PM.
Re: Ashland and Marathon [Re: KMJ1992] #4639312
01/18/18 10:17 PM
01/18/18 10:17 PM
Joined: Nov 2011
Posts: 3,948
Lima, Ohio, USA
earlyre Offline
earlyre  Offline
Joined: Nov 2011
Posts: 3,948
Lima, Ohio, USA
Originally Posted By: KMJ1992
Also, is the high sulfur content due to the proccess they choose to use, or based on the crude? Not even fuel is allowed much sulfur anymore, what is the purpose of sour crude? Grease?


many moons ago there was an oil strike around here that was the biggest since the pennsylvania fields opened up.(later FAR eclipsed by texas) ours was some of the first sour crude. it actually smelled like rotten eggs. the TX Sour crude can actually be yellow-ish.

as a result of that find, a refinery was built here in town. at first they just stockpiled sour crude, until chemists at the refinery(originally the Solar Refinery) first developed the refining process for sour crude.
that refinery is still in operation, producing 25% of the fuel sold in Ohio. (Solar->Standard Oil->SOHIO[Standard Oil of OHIO]->BP->Premcor->Valero->Husky)


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Re: Ashland and Marathon [Re: KMJ1992] #4639325
01/18/18 10:26 PM
01/18/18 10:26 PM
Joined: Oct 2014
Posts: 2,410
San Antonio, TX
Nyogtha Offline
Nyogtha  Offline
Joined: Oct 2014
Posts: 2,410
San Antonio, TX
Ashland exited any stake in the petroleum refining business last decade, and spun off Valvoline over a year ago, citing wanting to pursue business interests that were less capital intensive.

None of the current Marathon Petroleum refineries produce lube base stocks now. The Garyville refinery was never configured to produce lube base stocks. The Catlettsburg refinery shut down their lube base stock production operations last decade. What lube oil operations the Canton refinery was involved in ended decades ago.


"No matter how paranoid you are you're not paranoid enough. Tell the truth. Reach as many people as you can with it. That's your weapon." - Susanne Modeski, aka "Holly" to The Lone Gunmen

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