Kitimat Clean engages Hatch to begin refinery design

June 10, 2014 – Kitimat Clean Ltd. announced today that it has signed a contract for the basic engineering design of a state-of-the-art world scale oil refinery to be located at Kitimat BC. Hatch’s Calgary office will do the work over the next five months. Once the design is finished Hatch will provide an estimate of capital costs which will be used by Kitimat Clean to sign contracts with lenders.

Kitimat Clean is building an oil refinery, an oil pipeline from Alberta to Kitimat, a natural gas pipeline, and a tanker fleet of 11 VLCC vessels. The total cost is estimated to be $32 billion. The refinery will convert Alberta oilsands bitumen, which sinks in salt water laden with sediment and plankton, into gasoline , diesel and jet fuel which float and evaporate in the event of a spill at sea. The refinery will create an estimated 10,000 full time jobs and generate billions of dollars of new tax revenues for governments each year. In addition the refinery will use new Canadian technology, at an incremental cost of $3 billion, to cut greenhouse gas emissions by 50%, or 5 million tonnes per year. More information is available at

Hatch Ltd. has served clients around the world for over six decades and has project experience in more than 150 countries. With over 11,000 people in over 65 offices, the firm has more than $35 billion in projects currently under management.

David Black, the owner of Kitimat Clean, said the entire Front End Engineering Design (FEED) study will eventually cost over $100 million and require more than two years to complete. He expects to apply for and obtain environmental permits during the same time frame. With these completed, contracts with lenders, gas and oil suppliers, and refined fuel users in place, and with agreements confirmed with governments and First Nations, construction could begin in approximately three years. Construction will require another five years at a minimum.

Sanjiv Save, Hatch Global Director of Gas Monetization and Hydrocarbon Processing, said Hatch is excited by the opportunity to design one of the world’s largest refineries and the greenest refinery ever planned. The introduction of Fischer Tropsch technology to a heavy oil refinery for the first time will cut CO2 emissions by 50% and sidestep the normal production of 100 train cars a day of petroleum coke.

Joint release:

David Black


Kitimat Clean Ltd.



Sanjiv Save

Global Director Gas &Hydrocarbons

Hatch Ltd.