Unifor condemns HF Sinclair decision to shut Canada's largest base oil refinery

TORONTO-Dallas-based HF Sinclair will end base oil refining at its Mississauga, Ontario plant by 2027, shutting down Canada's largest producer of the refined oils that keep every engine, turbine and industrial machine in the country running.

"This is a reckless decision made in a Dallas boardroom by people who will never have to look these workers in the eye," said Unifor National President Lana Payne. "We are about to hand control of that supply to producers in other countries at the exact moment governments here are telling us supply chain security matters."

The Mississauga facility is the largest base oil producer in Canada, with capacity of roughly 15,600 barrels per day. It is the only significant Canadian source of Group II and Group III base oils, the refined products that go into engine oils, hydraulic fluids and industrial lubricants. Under the company's plan, that supply would come instead from two unnamed global manufacturers and from HF Sinclair's refinery in Tulsa, Oklahoma.

The plant would continue to operate as a blender and packager of imported base oils under the Petro-Canada Lubricants brand. It would no longer produce them.

"Every truck, every train, every mine and every factory in this country runs on lubricants," said Unifor Ontario Regional Director Samia Hashi. "Skilled Canadians built this plant's safety record and its reputation, and they are being told their work is being shipped out of the country. Ontario workers are paying for a decision that makes this country less secure."

Unifor is calling on HF Sinclair to immediately confirm the number of jobs affected and the timeline, and to meet with the union before any further steps are taken. The union is also calling on the federal and Ontario governments to explain what tools they have to protect Canadian refining capacity from being shut down by foreign owners, and to act before the country loses this capability for good.

The separation is expected to take 12 to 18 months and does not require a shareholder vote.

Unifor Local 593 represents the approximately 250 unionized workers at the Mississauga site. Unifor is Canada's largest union in the private sector, representing 320,000 workers in every major area of the economy. The union advocates for all working people and their rights, fights for equality and social justice in Canada and abroad, and strives to create progressive change for a better future.