We are best described as an "intermediate feedstock processor." We produce gasoline by processing feedstocks (that are derived from crude oil) in processing units which are the same as those used in crude oil refineries. We process less than 75,000 barrels of feedstocks per day, and are not owned or affiliated with anyone else. Are we a "small refinery" under the RFS regulation and not an obligated party until 2011, unless we opt into the program?

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Yes. EPA's definition of "small refinery" is identical to the definition used in EPAct, as it was intended to implement the EPAct provisions. EPAct defines a small refinery as a refinery for which the average aggregate daily crude oil throughput for a calendar year does not exceed 75,000 barrels. (See EPAct section 1501(o)(1)(D)).

EPA reads the EPAct definition of "small refinery" to include refineries that process feedstocks derived from crude oil, using processing units which are the same as those used in refineries that process crude oil all the way to finished product.

The crude oil-derived streams are essentially components of crude that have been physically separated through distillation, or other processes, and require further processing. Refineries that perform this additional processing are continuing the crude oil refining process, and EPA therefore considers them to be crude oil refineries for purposes of EPAct. If the average aggregate throughput of feedstocks at such a refinery is less than 75,000 barrels/day, EPA considers the refinery to be a small refinery.

This Question and Answer was originally posted at: Questions and Answers on the Renewable Fuel Standard Program (pdf) (59 pp, 228 KB, EPA420-F-08-006, April 2008)