Project Overview
The right market for a process plant is not always close to where it was originally built. A facility with limited demand in one region may be well suited to another, particularly when its capacity matches local production requirements.
Vicksburg Petroleum's 14,000 BPD crude distillation unit, or topping unit, had been idle for approximately 10 years in Vicksburg, Mississippi. The site owner wanted to recover value from the facility and remove it so the property could be used for terminal operations. Phoenix Equipment purchased the complete unit outright in 2017 and committed to removing it within 12 months.
Originally built in 1978 for 5,000 BPD, the unit underwent several expansions between 1991 and 1994 before reaching its eventual 14,000 BPD capacity. By the time Phoenix acquired the facility, multiple changes in ownership had left limited technical documentation available for a future relocation.
The Challenge
Phoenix was competing against conventional demolition and scrap bids as well as other companies interested in remarketing the plant for relocation. By purchasing the unit outright, Phoenix assumed the risk of finding a buyer while giving the site owner a defined path to recovering value and clearing the property within the 12-month requirement.
Finding the buyer was only part of the challenge. Much of the plant's historical technical documentation was no longer available, creating an additional challenge for dismantlement and eventual reconstruction. The plant had also not been fully decontaminated, requiring remaining hydrocarbons to be removed and the equipment made safe before dismantlement and transport.
Finding the Right Market
Phoenix received serious inquiries from prospective buyers around the world, particularly from Africa, Southeast Asia, and CIS countries. Within approximately six months, Phoenix found a buyer in Swaziland that planned to use the equipment as the basis for a small refinery intended to help satisfy domestic fuel demand as part of a government plan.
The unit's 14,000 BPD capacity was an important part of the fit. The buyer was planning a relatively small refinery intended to serve domestic fuel demand, making the existing unit's production scale well suited to the project. The unit was capable of producing a range of refined products, including jet fuel, diesel, naphtha, kerosene, butane mix, and light gasoline.
Preparing the Plant for Relocation
The limited historical documentation did not prevent the plant from being relocated, but additional work was needed to support dismantlement and eventual reconstruction. Phoenix used match-marking and laser scanning, along with support from an engineering consultant, to document the facility as it was prepared for relocation.
These measures provided the buyer with additional information on the plant's existing configuration while helping maintain equipment identification through dismantlement, packing, and eventual reinstallation.
Dismantlement & Loadout
Before dismantlement could proceed, residual hydrocarbons remaining in the idled facility had to be addressed so the equipment could be safely dismantled and transported. Phoenix also worked with the buyer to identify a dismantlement contractor that could complete the work within the buyer's budget.
The complete unit was dismantled in less than four months, with Phoenix's sale scope extending through packing and loading the purchased equipment and structures to transport. The buyer then assumed responsibility for shipment to Swaziland, where the equipment was intended for refurbishment and reinstallation.
Project Outcome
Phoenix completed the approximately $2.5 million project within the 12-month removal commitment, allowing Vicksburg Petroleum to recover value from a refinery unit that had been idle for approximately a decade and clear the property for terminal operations.
The buyer acquired a complete 14,000 BPD crude distillation unit suited to the scale of its planned refinery in Swaziland. Phoenix prepared, dismantled, packed, and loaded the facility for relocation, with the physical dismantlement completed in less than four months.
Project Highlights
Client: Vicksburg Petroleum
Location: Vicksburg, Mississippi
Facility: Crude Distillation Unit (Topping Unit)
Capacity: 14,000 BPD
Phoenix Acquisition: 2017
Prior Shutdown: Approximately 10 years
Project Value: Approximately $2.5 million
Removal Commitment: Within 12 months
Buyer Identified: Within approximately six months
Buyer Location: Swaziland
Relocation Preparation: Match-marking, laser scanning, and engineering support
Dismantlement: Completed in less than four months
Phoenix Scope: Plant acquisition, global remarketing, relocation preparation, dismantlement coordination, packing, and loadout
Buyer Scope: Shipment, refurbishment, and reinstallation
Finding the Right Market for an Idled Process Plant
The capacity of an idled process plant can narrow its potential buyer pool, but it can also make the facility well suited to a specific project. Finding that match often requires looking beyond the plant's immediate geographic market.
Phoenix markets complete process plants globally to identify buyers whose production requirements align with the available facility. In this case, a 14,000 BPD crude distillation unit that had been idle in Mississippi for approximately a decade matched the scale of a planned refinery in Swaziland, creating a path to reuse while allowing the original site to move forward with terminal operations.