The Texas facility, touted as the first new US refinery in 50 years, aims to bolster American energy dominance amid Middle East tensions
In a major push for his “America First” energy agenda, former President Donald Trump has announced a historic $300 billion oil refinery project in Texas, developed in partnership with India’s Reliance Industries.
The facility, to be built in Brownsville, is projected to be the first new oil refinery in the United States in five decades and the largest in 60 years, according to Trump.
“I am proud to announce that America First Refining is opening the FIRST new US Oil Refinery in 50 YEARS in Brownsville, Texas,” Trump posted on Truth Social on Wednesday. He described the initiative as a “historic $300 billion dollar deal.”
Trump emphasized the refinery’s environmental credentials, calling it “THE CLEANEST REFINERY IN THE WORLD.” He also acknowledged the role of Indian investment in the project. “Thank you to our partners in India and their largest privately held energy company, Reliance, for this tremendous investment,” he added.
While Reliance Industries has yet to issue an official response, its shares on Indian stock markets rose by two per cent following the announcement.
The project is being led by America First Refining (AFR), which earlier disclosed receiving a nine-figure investment from a “global supermajor” at a ten-figure valuation. However, the company has not confirmed specific investment figures nor explicitly named Reliance as a partner.
AFR stated it has “signed a binding 20-year off-take term sheet with the same global supermajor that secures commitments to purchase, process, and distribute American-produced energy exclusively sourced from American shale oil.”
The Brownsville refinery is expected to run entirely on US shale oil and will supply domestic markets, strengthen national energy security, and generate thousands of jobs, according to Trump’s office.
According to media reports, the project may be linked to a previously announced development by Element Fuels, which in June 2024 secured permits to build a refinery in the same location capable of processing 160,000 barrels per day.
The announcement comes at a sensitive time for global energy markets, as Trump seeks to reassure Americans amid rising prices linked to the ongoing conflict involving Iran. His administration continues to push a policy of “US energy dominance,” focusing on boosting domestic production of oil, natural gas, and coal.
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