Shell considering Bakersfield options

Shell Oil has received offers to purchase the Bakersfield refinery it was looking to shut down:

Several companies submitted bids "stating the price they would pay for the refinery and any additional terms and conditions they would propose," according to a statement released by Shell, the U.S. unit of Anglo-Dutch company Royal Dutch/Shell Group.

The company set no deadline for a sale deal, but pledged to continue negotiations as long as they are "warranted by the progress of our discussions," spokesman Stan Mays said. Mays declined to be interviewed for this story, but provided written answers to questions.

Mays said the sale would include some large storage tanks, but not all of them. Shell said it would negotiate a long-term lease with the buyer for use of the fuel terminal, tanks and pipelines not included in the sale.

If no deal is reached, Shell said it would close down the refinery March 31, or by the end of the year if it couldn't get the necessary waiver from the Environmental Protection Agency to stay open into 2005. Shell originally planned to shut the plant Oct. 1, but postponed the closure to allow more time for negotiations with possible buyers.

If the refinery is ultimately shut down, the impacts of a March closure would be much greater than one in October.