HF Sinclair Abandons Mississauga Refinery Amid Concerns Over Supply Chain Security

HF Sinclair, an energy firm based in Dallas, is planning to cease base oil refining operations at its Mississauga plant by 2027. This move will effectively shut down Canada's largest producer of refined oils that power engines, turbines, and industrial machinery nationwide.

The facility has a production capacity of approximately 15,600 barrels per day, making it the nation's only significant source of Group II and Group III base oils. These components are essential for manufacturing engine oils, hydraulic fluids, and industrial lubricants.

Under HF Sinclair’s transition plan, Canadian demand for these base oils will be supplied by two unnamed global manufacturers alongside the company's refinery in Tulsa, Oklahoma. The Mississauga location will continue operating as a blending and packaging site for imported base oils under the Petro-Canada Lubricants brand.