Reports have surfaced suggesting a potential reopening of the St. Croix refinery, following a live video featuring V.I. Consortium journalists and management from Port Hamilton Refining and Transportation (PHRT), the facility’s current owner, on a tour of the “man camp,” the section of the facility that serves as the housing area for staff and guests. However, both the U.S. Environmental Protection Agency (EPA) and the Justice Department (DOJ) have refuted these claims, stating that the necessary prerequisites for resuming operations have not been satisfied.
The Source was alerted to reports of the refinery restart by employees working within the facility, including those with National Industrial Services (NIS), a contractor responsible for maintenance and cleanup operations at the refinery. These employees said they had been informed that the Occupational Safety and Health Administration (OSHA) had shut down the facility just the day before due to ongoing safety concerns, particularly the level of asbestos present on site, which they said had prompted OSHA’s visit. Others noted that construction and cleanup efforts within the “man camp” had intensified, reportedly in preparation for an anticipated visit from U.S. President Joe Biden. The employees said they were told members of the president’s entourage might stay in the facility during the visit.
A dispute between Port Hamilton and National Industrial Services is currently being litigated in federal court. Port Hamilton filed suit against NIS in August, alleging that the latter company was removing millions of dollars worth of scaffolding from the refinery. A V.I. Superior Court judge granted Port Hamilton a temporary restraining order against NIS on Aug. 23, according to court filings. The case was removed to the Southern District of Texas court in September.
In a direct phone call with the Source, an EPA representative clarified:
“The DOJ and the EPA have communicated to the owner a number of requirements that have to be met before starting the refinery operations – these requirements have not yet been met, and we have not been informed of plans to restart the operation.”
A spokesperson for the U.S. Labor Department, which oversees OSHA, confirmed that OSHA began an inspection of the Port Hamilton Refinery on St. Croix on Dec. 9, which is still ongoing and could last up to six months. The agency clarified that it does not have the authority to shut down the facility but that an inspection is launched to determine “whether or not there were any violations of workplace safety standards.” No additional details about the reason for the inspection are available at this time.
In communication with The Source Thursday, Gov. Albert Bryan Jr. also denied that there are any authorized plans for the refinery’s immediate restart.
The St. Croix refinery, formerly known as Limetree Bay, has faced numerous environmental and regulatory challenges in recent years. In 2021, operations were halted due to significant pollution incidents affecting nearby communities. Subsequently, PHRT acquired the facility in December 2021 for $62 million during a bankruptcy auction. Since then, the company has been working to address various safety and environmental concerns under EPA oversight.
In August 2024, the EPA issued an administrative order requiring PHRT to remove additional hazardous chemicals from the refinery to ensure the facility’s safety. A September 2023 inspection found “potential risks associated with the handling of materials not previously removed from the facility,” according to an EPA statement, including liquefied petroleum gas. In response, Port Hamilton said it “respectfully disagrees” with the EPA’s assessment.
This action followed earlier agreements mandating the removal of dangerous substances and the implementation of enhanced safety measures.
The refinery’s potential reopening has been a contentious issue among St. Croix residents, with many expressing concerns about environmental safety and public health. Community members have previously reported adverse effects from past refinery operations, leading to heightened scrutiny of any plans to resume activities.
As this situation develops, further updates are expected.
Editor’s Note: We extend our gratitude to the residents of St. Croix for promptly bringing this matter to our attention, enabling us to seek accurate information and provide timely updates.
