Dallas-based Alon USA Energy won approval Thursday to build a new rail facility at its Bakersfield, California refinery and to modify the refinery so that it can process light crude.
Alon will build a double rail loop capable of receiving two unit trains per day of crude at the refinery.
The company will provide information on the cost of the new rail facility and the expected crude-by-rail volumes during its third quarter 2014 conference call.
Construction of the rail facility is expected to be complete by the end of 2015.
Alon is an independent refiner and marketer of petroleum products, operating primarily in the south central, southwestern and western regions of the United States.
Alon operates three refineries in Paramount, Long Beach and Bakersfield, California.
The facilities all work together as one unit and are collectively called the California Refineries.
The refineries have a 70,000 barrels per day throughput capacity.
The refineries currently produce CARBOB gasoline, CARB diesel, jet fuel, asphalt and other petroleum products.