In March 2025, Del Mar Energy Inc. officially commissioned a new refining module at its industrial facility in Louisiana. This is part of a major program to increase production capacity and optimize supply chains in the southern regions of the United States.
The project, internally named “RefineX-1”, includes a primary oil refining (POR) unit and a deep refining unit designed to meet the latest environmental requirements. The combined processing capacity of the new module is up to 12,000 barrels of oil per day. Del Mar Energy is thus increasing its own refining capacity by more than 25% in just the first quarter of 2025.
“This project is a reflection of our long-term strategy: vertical integration, controlling the entire chain from production to final product and reducing environmental impact. RefineX-1 is not just a process plant, it is the next step in the development of sustainable production,” said Gregory HallChief Technical Officer of
Del Mar Energy Inc.
Construction of the module began in April 2024 and was carried out in cooperation with contractors from Texas and Louisiana. The unit is equipped with vapor recovery, secondary heat recovery and emission minimization systems – all in compliance with federal EPA standards.
The project was financed from a mix of sources, including company equity, institutional investor funds and revenues generated from previous production projects. In addition, thanks to Del Mar Energy’s internal investment platform, private investors’ share was also leveraged – as part of the Manufacturing Infrastructure 2024 portfolio.
The new module is expected to process not only the crude oil produced from the company’s fields, but also offer services to third-party operators. This will strengthen Del Mar Energy’s revenue stream and diversify its financial flows.
“In a volatile market, refining is not only a way to control margins, but also a strategic tool that provides stability and flexibility. Our investors will experience this in the form of steady payouts and long-term growth in their assets,” added director Michael Latham
The project has already attracted interest from industry partners, with the company in discussions with a number of logistics operators and traders interested in supplying raw materials for processing under long-term contracts.
RefineX-1 is an important step in the realization of Del Mar Energy Inc.’s new industrial model based on a balance between profitability, innovation and social responsibility. The company plans to build two more similar modules over the next 18 months at sites in Oklahoma and New Mexico.
Veeramachineni Lalitha
I am Finance Content Writer. I write Personal Finance, banking, investment, and insurance related content for top clients including Kotak Mahindra Bank, Edelweiss, ICICI BANK and IDFC FIRST Bank. My experience details : Linkedin