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Hyperion set to open office here later this month

Momentum is building for refinery on Union County site

By Michele Linck Journal staff writer | Posted: Friday, January 04, 2008
ELK POINT, S.D. -- Hyperion Resources seems to be quickening its steps toward building a $10 billion, 400,000-barrel-per-day oil refinery in southern Union County, despite its claims it is also developing plans for several unidentified sites elsewhere in the Midwest.

Hyperion spokesman Eric Williams said the company hopes to announce its selected site sometime this summer. He could not give a specific date.

On Thursday, carpenters and carpet layers were hard at work transforming the more-than-100-year-old former pool hall at 109 W. Main St. in Elk Point into Dallas-based Hyperion's first office in the area.

A couple of weeks ago, the company registered land purchase options it has acquired on 6,372 acres, bringing its total registered options to 11,684 acres; it registered options on 5,312 acres in July. There is no way to know how much more land the company may have optioned because South Dakota does not require that purchase options be registered.

Also in December, Hyperion:

* Presented its project proposal to the Union County Board of Commissioners in a meeting that moved into a courtroom to accommodate a crowd of more than 150.

* Filed its air quality application with the state Department of Environment and Natural Resources.

* Filed an application with the county to rezone 3,882 acres from ag to Energy Center Planned Development District, a new category that would be created for it.

* Hosted three well-attended public information meetings throughout the county, bringing in a dozen trade-show-style displays and as many technical experts to answer questions.

It has identified the refinery's footprint as being in the center of nearly 4,000 acres southeast of Spink and roughly bordered by 315th Street on the north, 317th Street on the south, 473rd Avenue on the west and 476th Avenue on the east. The site is nearly equidistant from Vermillion, to the west in Clay County, and Elk Point, to the south.

According to Hyperion's air permit application for the refinery, the plant will boast some of the tallest structures in the state. The stack columns for constantly flaring off fuel gas and/or nitrogen releases are preliminarily set to rise 350 feet as required to eliminate people on the ground being exposed to the radiant hear generated by the process, the application says.

By comparison, the North Sioux City water tower on the west side of Interstate 29 is 199 feet tall.



Office opening soon

Work on the new Main Street office will be largely finished Monday and will open sometime later this month. It will be staffed by Hyperion employees and will function as an outreach center where people can stop by to learn about the project and get their questions answered, Williams said.

Joyce Bortscheller, who is helping to transform the space for office use, said the office will also offer yard signs to people who want to show support for the refinery. Bortscheller is an Elk Point city councilwoman and board member of the Elk Point Economic Development Corp., which is promoting the project.

The downtown office is tucked between a dentist's practice and an insurance agency. Hyperion is leasing the building from Jay Frink and First Federal Bank, according to Bortscheller.

During the 1960s, she said, the building's facade was paved over in brick except for several high, small windows. That front has been replaced by a more historically correct, wooden facade, which is painted a glossy black. It now has large windows that open its view onto Main Street and flood the interior with natural light. Bright brass lanternlike light fixtures and a gold-lettered sign declaring "Hyperion Resources" top the facade.

Ironically, the building most recently served as the office for Dakota Alert, the alarm business owned by Jason Quam, an outspoken opponent of the refinery project and proprietor of elkpointgorilla.com, a Web site with related information and commentary.

Reactions to the new office in town were mixed Thursday.

Sandee Mahin, of Elk Point, said she thinks the office means Elk Point is Hyperion's chosen location. "I just think it's a given," she said. "I'm a little worried about losing our small community and clean air. It's hard to imagine something that large coming to town."

Barb Steeg, also of Elk Point, said, "(The office) means maybe it's going to go through. I'm in favor of it. I think they need it around here."

Jamie Campbell, of Elk Point, is of two minds. "I'm jazzed about all the economic development it will bring," he said of the possible refinery. "I'm not jazzed about living downwind of a refinery.

"You're talking about doubling or tripling the size of our town," he added, concerned about the strain on the medical clinic, schools, police, fire, streets and taxes.

"The reason I live here is for the small-town atmosphere," Campbell said. "If they come in, I'm out of here."

Who wil staff the office?
How long will it be open, through construction, or, as the staff grows, will the company remodel and move into the old auditorium/city hall?
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Story Comments

Danny wrote on Jun 4, 2008 9:54 AM:

" You guys don't get it. This is the direction the country needs to go in. Refineries, drilling in our own land and tell the enviromentalist to shove it. They have done their part with the water and air but now we must all suffer because of them? I don't think so. If you like $4.00 gast then continue to complain. If you want to move our great country to what it once was (self relienet) then support this great election victory.
Danny
Sacramento, CA "

Ted Curry wrote on Jan 9, 2008 12:18 PM:

" FNG, I've seen you post nasty and nonsensical comments for just about every editorial and article out there. My bet is that you are either a web-mole paid by the Hyperman or a disgruntled Sioux City resident with too much time on his hands and no personal stake in Union County. Either way, if youre so happy with the idea of an oil refinery, why not find one to live next to in Texas? Your "all progress is good" ideology would fit in better down there. We who are against Hyperman are not against progress, just your brand of "slash and burn" progress. I'll wait 5 seconds for your next post unless of course youre too busy picking-up Huddleston's dry-cleaning. PS: Come into the light and stop hiding behind your blog handle. I stand behind my comments with my real name; you should do the same. "

FNG wrote on Jan 4, 2008 11:01 PM:

" Union2; Yes, profit motive has built this country to what it is, including all of these gains in quality of life you call by-product. "

nameless wrote on Jan 4, 2008 11:01 PM:

" I have been by the new Hyperion Palace It sticks out like a neon light. What a way to come to town if you put a red light in front of it it would be appropriate. "

Union2 who are you? wrote on Jan 4, 2008 10:32 PM:

" You crack me up Union2. Point well stated. Do people really think Hyperion is here as a "do-gooder?" Puhhhhleassseeee..........spend a little time googling Albert Huddleston (CEO Hyperion) on the internet and you will see he isn't a well liked man in his other projects and dealings. He is shrewd and calculated. But then again I'm sure he has had a change of heart with this project. LOL! "

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