Why West Texas
Built Where Energy Begins
Located in the heart of the Permian Basin, Pecos UltraClean Refining is strategically positioned to transform locally produced crude into cleaner transportation fuels while supporting domestic energy security and regional economic growth.
The Region
The Permian Basin
The most prolific oil-producing region in North America, and one of the most significant energy provinces in the world.
The Permian Basin produces roughly 40% of total U.S. crude oil, and it has been producing continuously for nearly a century.
What makes the basin strategically important is not only its scale but its durability. Decades of resource remain accessible, capital continues to flow into the region, and the industrial ecosystem around it has matured into one of the deepest in the country, covering services, logistics, workforce, and infrastructure.
The crude itself matters too. Permian light sweet crude is high-API and low-sulfur, which makes it comparatively simple and energy-efficient to refine. It is the ideal feedstock for a modern diesel-focused facility, and it reaches our site through a dedicated 37.8-mile crude oil pipeline.
01 - Scale
Roughly 40% of total U.S. crude production
02 - Longevity
Decades of accessible resource supporting long-term operations
03 - Crude Quality
High-API light sweet crude, premium product yield
04 - Investment
Sustained capital flowing into production and infrastructure
05 - Industry Ecosystem
Mature services, logistics, and workforce base
The Logic
Why Refining Near the Source Matters
The current Permian supply chain relies primarily on an expensive round-trip to Gulf Coast refineries, leaving West Texas diesel and other fuels with supply bottlenecks and permanent price penalties. Refining locally eliminates this journey, supplying finished fuel directly to the market that consumes it.
- Greater Logistical Efficiency: Fewer transfers between production, processing, and market.
- Lower Transportation Costs: Shorter hauls mean less cost embedded in every gallon.
- Improved Supply Chain Resilience: Less exposure to constrained long-haul pipeline capacity.
- Faster Movement of Refined Products: Fuel reaches regional racks in hours rather than days.
- Better Alignment: Refining capacity matched to where crude is actually produced.
Nearly 1,000 miles of round-trip logistics, removed
puts finished fuel inside the market that consumes it
The Site
Infrastructure Advantages
A refinery is only as good as its connections. The Pecos site was selected and developed around a complete set of them.
Pipeline Connectivity
37.8-mile pipelines connect the site to Crane, Texas, bringing crude in and products back out, with access to major regional and Texas Gulf Coast crude systems.
Rail Access
Rail optionality via the TXPF short line with access to three Class I carriers.
Highway Transportation
Truck rack distribution feeds directly onto the I-10 corridor, the primary freight artery across the Southwest.
Natural Gas Availability
A dedicated 10-mile natural gas pipeline supplies on-site power generation.
Utilities and Water
Water source rights are secured and project-owned.
Existing Energy Ecosystem
Decades of regional industrial activity mean established contractors, services, and a workforce experienced in energy operations.
The Market
Strategic Market Access
West Texas consumes far more diesel than it produces. The region has limited refining capacity relative to its demand, and most diesel utilized in West Texas is shipped in from Gulf Coast refineries hundreds of miles away. Pecos is being built inside that gap.
Demand is concentrated across Midland and Odessa, the Pecos and Fort Stockton corridor, the Carlsbad and Hobbs extension into New Mexico, El Paso, and the San Angelo and Abilene corridor. Beyond that sits the broader Southwest corridor running toward Arizona, a market with the nearest refineries outside the Permian core and aren’t diesel-dedicated, dependent on two pipelines and a constrained supply chain for virtually every gallon it consumes.
This is a diesel-heavy market by nature. Thin storage and limited pipeline headroom keep prices at a persistent premium. Drilling rigs, frac fleets, water and sand hauling, cross-border freight, agriculture, and long-haul trucking all consume diesel at a far higher share than the U.S. average.
Regional ULSD Demand, West Texas and Southeast New Mexico:
| Demand Center | ULSD Demand (barrels per day) | Share |
|---|---|---|
| Midland / Odessa | 80,000 to 120,000 | ~45% |
| Pecos / Fort Stockton (Delaware Basin, TX) | 25,000 to 45,000 | ~16% |
| Carlsbad / Hobbs, NM | 25,000 to 45,000 | ~16% |
| El Paso | 20,000 to 35,000 | ~13% |
| San Angelo / Abilene | 10,000 to 18,000 | ~7% |
| Total West Texas / SE New Mexico | 160,000 to 265,000 | 100% |
The Community
Supporting Regional Growth
We intend to be a good neighbor, and to be judged on it.
As a long-term commitment to the community, the project will draw on regional trades during construction and create well-compensated, permanent jobs once operational. The refinery will drive sustained demand for local businesses and meaningfully expand the Pecos County tax base, supporting schools, roads, and public services for decades.
- Job Creation: Regional contractors and skilled trades during the build phase.
- Infrastructure Investment: Capital planned for pipelines, rail connections, power, and water systems that serve the region beyond the refinery itself.
- Tax Revenue: Contribution to the county tax base across the facility’s operating life.
- Long-Term Operations: Permanent technical and operational careers once the facility is running.
The Investment
A Long-Term Advantage
Location is the one project variable that cannot be changed later.
With reliable feedstock, established transport, strong regional demand, and secured land and water rights, Pecos offers structural advantages that compound over time.
- Reliable Access to Crude: Feedstock produced in the surrounding basin, with decades of accessible resource remaining.
- Infrastructure Investment: Capital planned for pipelines, rail connections, power, and water systems that serve the region beyond the refinery itself.
- Established Transportation Infrastructure: The site sits inside existing pipeline, rail, and highway corridors, and the project's own pipelines are short (37.8 and 28 miles) and routed through that corridor.
- Opportunities for Future Expansion: Secured land and water rights supporting additional capacity on the same site.
See What We're Building
Explore project information or contact our team to learn more about Pecos UltraClean Refining and our work developing modern refining infrastructure for the future of West Texas.