WILLEMSTAD - The Curaçao government has signed a lease agreement with the Oryx Group to operate the island's refinery. This decision follows a long period of uncertainty about the refinery's future but faces significant legal and environmental challenges. 

The Oryx Group has reached an agreement with Refineria di Kòrsou (RdK) to manage the terminal in Bullenbaai and the facility in Emmastad for a period of 30 years. With a storage capacity of over 30 million barrels, this is a strategic move to strengthen Curaçao's oil sector. “We are excited to begin our operations at this key location,” said Ghanim M Al Saad, Chairman of Oryx Group. 

However, a court ruling in 2021 complicates the resumption of refining activities under the old permits. The judge ruled that the refinery could not operate under the existing ministerial regulations for emissions of harmful substances. Curaçao must comply with the stricter standards of the World Health Organization (WHO). This means the refinery will need significant investments to meet these international environmental standards. 

Oryx has stated that in the initial phase of the partnership with Curaçao, it will focus on restarting the facilities. Detailed technical, economic, and environmental evaluations will be conducted during the first three years to set the course for the 30-year operational term. 

The government and the Oryx Group acknowledge the challenge of investing more than $70 million in the next five years to upgrade the facilities and ensure compliance with WHO environmental and safety standards. Without these adjustments, the resumption of refining remains impossible, as confirmed by experts. The current state of the refinery makes operations practically unfeasible without large-scale renovations.