Fuel Rack Reopens At Old HOVENSA Site

ST. CROIX — Limetree Bay Terminals, the old HOVENSA refinery that was purchased by ArcLight Partners, LLC, announced on Thursday that the fuel rack, where Virgin Islands gas suppliers and other vendors purchase products while the refinery was in operation, has reopened.

The move is expected to see gas prices — which have fallen to an average of $2.39 per gallon, with at least one gas station selling as low as $2.29 — decreasing even further, and will come as welcomed news to residents, government officials and lawmakers alike, who have complained about the expensive price of fuel in the territory, especially as prices have fallen below the $2 mark on the U.S. mainland.

According to the Limetree Bay Terminals’ release, Gulf Oil is the firm handling marketing and selling of the fuel at the rack; a company ArcLight Partners, LLC purchased in December, 2015.

Fuel types being sold include regular gasoline, ultra-low sulfur diesel and jet fuel. No date for the sale of premium fuel was given, however, Limetree says it’s being procured and will be available “in the near future.”

“I am pleased that Limetree Bay has been able to move quickly to re-open the truck rack, which directly benefits the territory, and I am grateful to the many people who worked diligently to make this happen,” said Darius Sweet, hired as Limetree C.E.O. in March.

The announcement also represents a fulfillment of a key part of  the agreement ratified by the 31st Legislature in December, as lawmakers looked to relieve residents of the high cost of fuel in the territory.

According to the agreement, among other things, Limetree Bay has committed through contract to $125 million of capital spending, which will go toward tank, pump, duck and fuel rack inspections and restart; rebuilding of power generation units; construction of marine facility to accommodate very large crude carriers (VLCCs), and construction of an asphalt storage facility dedicated to the Government of the Virgin Islands.