Some of my best friends are environmental engineers. I have also had close family friends who have been high up in the fossil fuel industry. Looking at this topic stirs strong emotions, and makes rational dialogue difficult, often making it impossible to see how we can preserve our civilization while restoring our environment. But this is the actual task. How do we restore our environment while preserving and extending our civilization?
In my view, the only rational way to get there is to acknowledge that we need fossil fuels right now. We have not mastered a closed energy cycle for renewables and all the necessary requirements to power civilization.
We also have to recognize that fossil fuels are dirty, often dangerous, and require strict oversight, and methodical, long-term planning. So what are we to do about this conundrum?
We have to stop seeing them as two problems and see them as one problem. And to do that we have to close as much as the fuel cycle as we can, and reuse as many as the outcomes and components as we can. The good news is that the technology exists to do exactly that!
For this proposal, I chose the town of Bordman, Oregon for this project, but it could easily be built in many many other places, and I hope it will serve as a ray of hope for both progressive and environmental forces to come together with energy executives to do something intelligent that meets almost everybody's needs at the same time. And thanks to Grok for helping me analyze the data.
If you think this is an important dialogue, please share with friends, business, and policy makers.
The Boardman Green Refinery: A Blueprint for Sustainable Energy
In a world grappling with climate change and energy demands, Oregon has a chance to lead with a bold vision: a 200,000 barrel-per-day eco-friendly oil refinery in the central Oregon town of Boardman. This isn’t just another refinery—it’s a revolutionary project that combines cutting-edge carbon capture, renewable energy, and fertilizer production to deliver affordable fuel, create jobs, and support agriculture while slashing emissions. With a $6 billion price tag and $4.03 billion in annual revenue, with a build out payoff in less than two, this refinery could transform Eastern Oregon’s economy and set a global standard for green industry. Let’s dive into the details of how it works, why Boardman is the perfect spot, and how it bridges political divides to secure a sustainable future.
Why Boardman? The Ideal Location
Boardman, a small town of 3,500 in Morrow County, Eastern Oregon, is well suited for this project. Its industrial zoning near the Port of Morrow minimizes permitting hurdles compared to urban sites like Portland. The town’s sparse population makes it a job winner. Boardman’s logistics are a major asset: Union Pacific rail lines enable crude oil delivery, Interstate 84 connects to demand centers like Portland (160 miles away), and the Columbia River supports barge shipments, though dredging may be needed for larger vessels. Land costs are lower than in urban areas, and proximity to Eastern Oregon’s agricultural hub ensures a ready market for the refinery’s fertilizer output.
The site’s industrial history—home to facilities like the Port of Morrow—means infrastructure like power and water systems is already partially in place, though upgrades for water sourcing in this semi-arid region will be critical. By leveraging these advantages, the refinery can operate efficiently while minimizing disruption to local ecosystems and communities.
Cutting-Edge Technology for a Greener Refinery
This refinery redefines what oil processing can be. Designed with modular units—prefabricated, scalable components—it streamlines construction and reduces costs compared to traditional mega-refineries. The facility processes 200,000 barrels of crude daily, producing 4.1 million gallons of gasoline to meet Oregon’s needs (1.5 billion gallons annually, or ~100,000 barrels/day, given 19 gallons of gasoline per barrel). The remaining 100,000 barrels/day can yield diesel, jet fuel, or petrochemicals for regional markets. Here’s how it stays eco-friendly:
Carbon Capture and Storage (CCS): The refinery produces 73 million metric tons of CO2 annually (200,000 barrels × 1 metric ton × 365 days). CCS captures 90% (65.7 million tons), compressing CO2 into a liquid-like state and injecting it into the Columbia River Basalt Group’s porous rock formations for permanent storage. This reduces emissions to 7.3 million tons/year, a fraction of a conventional refinery’s footprint.
Fertilizer Production: 10% of captured CO2 (6.57 million tons) is converted into 8.94 million tons of urea fertilizer annually (1 ton urea requires 0.735 tons CO2). The process combines CO2 with ammonia, produced via electrolysis-powered green hydrogen from onsite renewables and nitrogen from air separation.
Renewable Energy: Onsite wind turbines and solar panels (100 MW total) supply 70% of the refinery’s power, leveraging Boardman’s windy plains and sunny days. Grid backup ensures stability, while excess renewable energy can be sold to offset costs.
Environmental Protections: Closed-loop water systems recycle process water, critical in Boardman’s dry climate, minimizing strain on local groundwater. Advanced scrubbers and hydrotreating units produce low-sulfur fuels, meeting Oregon’s DEQ standards. Bioremediation, using microbes to clean spills, protects the nearby Columbia River.
These technologies make the refinery a leader in sustainable industry, aligning with Oregon’s climate goals while maintaining operational efficiency.
Economic Impact: Jobs, Revenue, and Affordable Fuel
The financial case is as compelling as the environmental one. Construction costs total $6 billion, broken down as:
Modular refinery: $4 billion ($20,000 per barrel of daily capacity).
CCS infrastructure (capture units, pipelines, storage): $800 million.
Urea plant for 8.94 million tons/year: $500 million.
Renewable energy setup (wind, solar, electrolysis): $700 million.
Revenue streams make this investment a winner. The urea plant generates $3.58 billion annually (8.94 million tons × $400/ton), tapping into demand from Eastern Oregon’s wheat, potato, and onion farmers. The extra 100,000 barrels/day of capacity produce 950,000 gallons/day each of gasoline and diesel (19 gallons/barrel), yielding:
Gasoline: 346.75 million gallons/year × ($4.50 wholesale - $3.95 production cost) = $190.7 million.
Diesel: 346.75 million gallons/year × ($4.70 wholesale - $3.95 production cost) = $260 million.
Total extra capacity revenue: $450.7 million/year.
Combined, fertilizer and extra fuels generate $4.03 billion annually, recovering the $6 billion construction cost in ~1.5 years. For consumers, fertilizer revenue offsets gasoline production costs ($3.95/gallon, based on $70/barrel crude + $5 refining) by $2.39/gallon, dropping the net cost to $1.56/gallon—highly competitive even with Oregon’s taxes and transport fees ($0.50–$1.00/gallon).
Beyond revenue, the project creates thousands of jobs in Boardman—construction, operations, logistics—revitalizing a rural economy. Local farmers benefit from affordable, locally produced urea, reducing reliance on imports and stabilizing supply chains.
Resilience Through Flexibility
Markets and regulations change, but this refinery is built to adapt. The extra 100,000 barrels/day can shift between gasoline, diesel, jet fuel, or petrochemicals based on demand, serving export markets in Washington, Idaho, or California via Boardman’s rail and river links. The modular design allows upgrades to produce biofuels or green hydrogen if electric vehicle adoption accelerates, ensuring long-term relevance.
For the fertilizer plant, risks like urea price drops (e.g., due to global oversupply from China) are mitigated by pivoting captured CO2 to alternatives like methanol (for fuels/chemicals, ~$500/ton) or carbon credits. At $100/ton, 65.7 million tons of captured CO2 could yield $6.57 billion/year, dwarfing urea revenue. Renewable energy shields against grid price volatility, and excess power can be sold to the grid, adding another revenue stream. This flexibility makes the refinery a safe bet in a shifting energy landscape.
Navigating Political Waters
Oregon’s political landscape—progressive urban centers, conservative rural areas, and moderate policymakers—demands a project that appeals to all. Here’s how the Boardman refinery delivers:
Progressives: 90% CO2 capture, 70% renewable energy, and sustainable fertilizer align with Oregon’s net-zero ambitions. The project could earn carbon credits under clean fuel programs, reinforcing climate leadership.
Conservatives: Thousands of jobs, energy security (local gasoline/diesel production), and $4.03 billion in revenue appeal to economic priorities. The modular design and market-driven product flexibility avoid heavy regulatory burdens.
Moderates: The balance of green tech and practical fuel production offers a pragmatic solution, delivering affordable energy without sacrificing environmental progress.
Local Stakeholders: Boardman residents gain jobs and infrastructure investment. Farmers benefit from 8.94 million tons of urea. However, engagement with the Confederated Tribes of the Umatilla is critical to address concerns about the Columbia River and cultural sites, ensuring respect for tribal sovereignty.
Challenges include Oregon’s stringent regulations and potential activist pushback against any fossil fuel project, although Oregon’s attention to environmental quality means it has the intellectual capacity to achieve both energy production and environmental outcomes. The refinery’s low emissions (7.3 million tons CO2/year), water protections, and community benefits help, but early outreach—town halls, tribal consultations, transparent emissions data—is essential. Public-private partnerships or state incentives (e.g., tax breaks for green tech) could ease the $6 billion cost burden and build bipartisan support.
Addressing Risks and Concerns
No project is without hurdles. The $6 billion upfront cost is significant, and regulatory delays could stretch timelines. Oregon’s DEQ will scrutinize air and water emissions, requiring rigorous compliance. The 10% uncaptured CO2 (7.3 million tons/year) and water use in a dry region may spark local concerns, particularly from tribes or environmental groups. Transporting 8.94 million tons of urea or fuels from Boardman adds logistical costs, and market risks—falling gasoline demand due to EVs or urea price drops—loom.
Mitigation strategies are robust:
Regulatory Compliance: Advanced scrubbers, hydrotreating, and bioremediation meet DEQ standards. Transparent monitoring builds trust.
Community Engagement: Early dialogue with Boardman residents and tribes, plus job training programs, addresses local concerns. Funding river protection initiatives shows commitment to the Columbia.
Market Flexibility: Extra capacity and CO2 options (methanol, carbon credits) hedge against price volatility. Futures contracts can lock in fuel prices.
Cost Management: Public-private partnerships and carbon credits offset costs. Modular construction minimizes overruns.
We just have to face the fact that we are not there with clean energy yet, but by using everything we have learned from the science of managing the environment and climate change, we can do this in a way that respects the environment and supports our civilization. Just shutting down things that are unclean is not an energy strategy.
This would also make Oregon an exporter of energy to other places, which can increases the economic viability of the entire area.
A Vision Worth Building
The Boardman green refinery is more than a facility—it’s a model for sustainable industry. It delivers 4.1 million gallons of gasoline daily at a net cost of $1.56/gallon, creates thousands of jobs, and produces $3.58 billion in fertilizer for Oregon’s farmers. Its 90% CO2 capture and renewable energy make it a climate leader, while its flexibility ensures resilience against market and regulatory shifts. For political leaders, it’s a rare opportunity to unite progressives, conservatives, moderates, and locals behind a shared goal. Let’s build it. And if Oregon can’t do it, there are a lot of other places that can.
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