Hurricane Katrina's aftermath prompted BP PLC to delay shutting down part of its suburban Toledo refinery to install equipment to meet next year's government mandates for cleaner-burning fuels.

But last weekend BP idled an unspecified portion of the Oregon refinery until the end of October for equipment installation despite Hurricane Rita.

Like Katrina, that storm damaged some Gulf Coast refineries and tightened supplies of gasoline and diesel.

The partial shutdown at the refinery, which processes 160,000 barrels of crude oil a day when it is at full capacity, cannot be put off any longer, said BP spokesman Mary Caprella.

"We were able to produce extra volume during the two-week delay, but this is something that is required for us to do to meet the 2006 clean-fuels requirement," she said.

BP and two other companies with northwest Ohio refineries operating at normal levels - Sunoco Inc. and Valero Energy Corp. - are wrapping up significant investments to upgrade their facilities to produce low-sulfur fuels.

So is industrial gas supplier BOC Group Inc., which is building both a $100 million plant on Sunoco's grounds in Oregon and a $40 million plant in Lima, Ohio, to supply the three refineries with hydrogen needed in the refining process.

At BP, which has about 460 employees, the local plant will be able to fulfill its contracts despite the temporary partial shutdown, Ms. Caprella said. She declined to say how much production is curtailed.

BP is investing $100 million on the upgrade and will begin related production of low-sulfur gasoline and diesel once BOC can supply it with hydrogen, she added.

BOC's suburban Toledo plant, which will have 10 employees, is expected to begin producing hydrogen by year's end and be completed early next year, said Kristina Schurr, spokesman.

"It's a phased start-up," Ms. Schurr said.

Sunoco, which is operating at its 150,000-barrel-a-day capacity, also is investing $100 million on its cleaner-burning-fuels upgrade. The new operation at the 500-employee refinery is expected to be in use by the end of October, said spokesman Olivia Summons.

In Lima, meanwhile, Valero is investing roughly $300 million on its refinery's cleaner-fuel improvement. One unit is operating, three more will be running in coming weeks, and the last unit is expected to be up in June, said Tim Murphy, refinery manager.

The BOC plant on Valero's grounds will supply hydrogen to that last unit, which will be used in processing diesel, Mr. Murphy said. The refinery, with 400 workers, has a maximum capacity of 170,000 barrels a day, although it typically refines about 150,000, he said.

Contact Julie M. McKinnon at:

jmckinnon@theblade.com

or 419-724-6087.

First Published September 27, 2005, 10:06 a.m.