Husky’s downstream operations are integrated with its thermal production, allowing for increased margin capture. The Company’s upgrading and refining operations in Canada and the United States focus on improving the flexibility of its feedstocks, the products it makes and the markets it accesses.


Canada

Lloydminster Upgrader

Located in Lloydminster, Saskatchewan, the Upgrader converts heavy oil to a high-quality, low-sulphur synthetic oil. It also produces diesel fuel.

Feedstock for the Upgrader includes heavy oil from Saskatchewan and northeastern Alberta, including from Husky’s Lloyd thermal projects and the Tucker Thermal Project. The synthetic crude is used in the production of gasoline and diesel fuels in refineries in Canada and the U.S.

Byproduct sulphur is sold and used to produce fertilizer and various chemicals, including sulphuric acid. Byproduct petroleum coke is sold for use in fuel boilers or cement kilns, as well as into the calcining market for use in the aluminum industry.

Asphalt Refinery

The Husky Asphalt Refinery is located in Lloydminster, Alberta and produces more than 30 different types and grades of road asphalt from heavy oil. These range from road oils used for dust abatement to highway-grade asphalt.

It also produces a condensate that is blended with heavy oil production, a kerosene distillate and gas oil which is processed at the Upgrader into low-sulphur diesel and Husky synthetic blend.

Pipeline Systems

Husky has a 35 percent interest in the Husky Midstream General Partnership, which owns about 1,900 kilometres of pipeline in the Lloydminster region of Alberta and Saskatchewan, as well as 4.1 million barrels of storage capacity at Hardisty, Alberta and Lloydminster, and other ancillary assets.

The Company operates the assets.

Prince George Refinery

The light oil refinery in Prince George, British Columbia produces low-sulphur gasoline and ultra-low sulphur diesel fuel, mixed propane and butane, and heavy fuel oil. Its refined products are used by Husky and other retail outlets in the central and northern regions of the province.

Ethanol Plants

Husky has ethanol plants in Lloydminster, Saskatchewan and Minnedosa, Manitoba and produces approximately 260 million litres of ethanol per year.

About 260,000 tonnes of dried distillers grain with solubles, which is produced with the ethanol, is sold as a high-protein feed supplement for livestock.

In 2012, Husky began capturing carbon dioxide at the Lloydminster Ethanol Plant to reduce emissions and aid in enhanced heavy oil recovery.

Commodity Marketing

Husky trades energy-based commodities and refined products, coordinates related logistics and markets the Company’s proprietary and third-party production of crude oil, synthetic crude oil, natural gas liquids, natural gas, sulphur and petroleum coke.

U.S.

Lima Refinery

The Husky Lima Refinery, located in the PADD II district in Lima, Ohio, processes light crude oil. A crude oil flexibility project underway is expected to increase heavy oil processing capacity to 40,000 bbls/day by the end of 2018. As of the end of 2016, about 10,000 bbls/day of heavy crude could be processed.

The refinery produces gasoline, diesel, jet fuel, residual fuels and petrochemical feedstocks. The two billion gallons of refined petroleum products produced annually include approximately 25 percent of the gasoline consumed in Ohio.

Toledo Refinery

Husky has a 50 percent ownership in the BP-operated refinery, located in the PADD II district in Toledo, Ohio. It processes bitumen from the joint-venture Sunrise Energy Project.

The refinery produces gasoline, diesel, aviation fuels, propane, kerosene and asphalt.