Washington's governor has rejected Tesoro Savage's application to build a new oil terminal at the Port of Vancouver.
Governor Jay Inslee agreed with state regulators to build the 360,000 barrel per day crude-by-rail uploading and marine loading facility.
The decision follows a lengthy evaluation process by the state's Energy Facility Site Evaluation Council, which voted last year to deny the permit.
Inslee said several issues compelled his decision, including seismic risks, the inability to sufficiently mitigate oil spill risks, and the potential safety risks of a fire or explosion.
He says: 'The council has thoroughly examined these and other issues and determined that it is not possible to adequately mitigate the risks, or eliminate the adverse impacts of the facility, to an acceptable level.'
Inslee also noted that the application was 'unprecedented both in its scale and the scope of issues it raised'.
In a statement Vancouver Energy (Tesoro Savage) says it is disappointed with the decision and that it forgoes the opportunity to 'bolster America's energy security by providing state-of-the art infrastructure that enables environmental benefits and a cleaner energy future'.
The company adds: 'The endorsement of the Energy Facility Site Evaluation Council's faulty recommendation by Governor Inslee is setting an impossible standard for permitting new energy facilities in the state.
'After over four years of study and tens of millions of dollars, the Vancouver Energy facility and associated state-of-the-art facilities would have been far superior and more robust with regard to the potential for an earthquake or oil spill, than the crude oil trains that are already moving through the state every day and virtually all existing infrastructure in Washington.
The company has 30 days to appeal the decision, and it says that it is currently evaluating its options.
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