First US Oil Refinery in 50 Years Planned for Brownsville

The $3-4 billion facility will process 100% US light shale oil and produce gasoline, diesel, and jet fuel

Mar. 12, 2026 at 10:53pm

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America First Refining is developing a new oil refinery in Brownsville, Texas, the first such facility to be built in the United States in nearly 50 years. The $3-4 billion project will be funded in part by investments from Indian billionaire Mukesh Ambani's Reliance Industries and is designed to process 100% US light shale oil, producing gasoline, diesel, and jet fuel. The refinery is expected to create 500 direct jobs and thousands of indirect jobs in the region.

Why it matters

This project represents a major expansion of American energy production and infrastructure, reducing reliance on foreign oil imports. It will also provide a significant economic boost to the Brownsville and Rio Grande Valley region through high-paying jobs and increased tax revenue.

The details

The new refinery will be specifically designed to process American light shale oil, which many existing US refineries are not equipped to handle. It will use advanced technologies to produce some of the cleanest fuels in the nation, with a focus on efficiency and environmental responsibility. Under a 20-year agreement, the project is expected to secure the purchase and processing of 1.2 billion barrels of US light shale oil, valued at approximately $125 billion, and produce up to 50 billion gallons of refined petroleum products valued at an estimated $175 billion.

  • The project has been in development for 12 years, with the final step being securing a commercial partner.
  • The refinery is expected to begin operations in the next 3-4 years.

The players

America First Refining

The company developing the new oil refinery in Brownsville.

Reliance Industries

An Indian conglomerate and the world's largest oil refinery owner, which is providing a significant investment in the project.

Donald Trump

The former US president who announced the plans for the new refinery on his social media platform.

Ed Hirs

An Energy Fellow at the University of Houston who has expressed skepticism about some of the project's claims.

William Dietrich

The CEO and Port Director of the Port of Brownsville, where the new refinery will be located.

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What they’re saying

“This project represents a historic step forward for American energy production. For the first time in half a century, the United States will build a new refinery designed specifically for American shale oil.”

— John Calce, Chairman and Founder of America First Refining

“By building this refinery at the Port of Brownsville, we're unlocking a major expansion of American energy production while creating thousands of high-paying jobs and strengthening our domestic supply chain.”

— Trey Griggs, President of America First Refining

“This is not the refinery of the past where you drive down the road, and you see smoke stacks for miles as you're going down the freeway. There's been a lot of social responsibility as it pertains to environmental issues and the optics on what we have perceived and seen in the past of what a refinery looks like.”

— William Dietrich, CEO and Port Director of the Port of Brownsville

What’s next

The project is expected to begin construction in the next 12-18 months, with the goal of the refinery becoming operational within 3-4 years.

The takeaway

This new oil refinery in Brownsville represents a significant investment in American energy independence and a commitment to producing cleaner, more efficient fuels. While some experts have expressed skepticism about the project's economic claims, it is poised to provide a major boost to the local economy and workforce in the Brownsville region.