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First New Gulf Oil Refinery in 50 Years Proposed

[ March 13, 2026   //   Gary Burrows ]

The Port of Brownsville said March 11 that a company called America First Refining plans to build what officials describe as the first new oil refinery on the U.S. Gulf Coast in nearly 50 years, a project expected to process domestic shale crude and create hundreds of jobs in South Texas.

Port officials announced the proposed facility during a press conference at the port’s administrative offices. According to port officials, the refinery would be built on more than 240 acres within the port complex and would process one hundred percent domestic shale oil. The facility is expected to use hydrogen-powered systems and other technologies intended to produce lower-carbon fuels.

Located at the Port of Brownsville, the refinery will process American light shale oil from the Permian Basin and represents one of the most significant energy infrastructure investments in the country. The project includes a 20-year agreement to purchase and process 1.2 billion barrels of U.S. shale oil, valued at about US$125 billion, while producing up to 50 billion gallons of refined petroleum products valued at roughly US$175 billion.

“This announcement is a defining moment for our region,” Brownsville Navigation District Chairman Esteban “Steve” Guerra said during the event. He said the port’s available land, infrastructure and workforce helped attract the project.

The port said the site offers deepwater channel access along with direct dock and rail connections and foreign trade zone status, factors it says have contributed to rapid industrial growth in the region.

“This project strengthens the Port of Brownsville as a critical U.S. energy logistics hub,” said William Dietrich, the port’s director and chief executive.

America First Refining said environmental considerations will be central to the project’s design, including hydrogen-based processing systems and other technologies intended to reduce emissions and meet federal and state regulatory requirements.

The company is working with federal, state and local agencies to secure environmental permits. Port officials said the facility would undergo extensive regulatory review before construction can begin.

Tags: America First Refining, Port of Brownsville