By Associated Press - Monday, February 17, 2014

FAIRBANKS, Alaska (AP) - Gov. Sean Parnell says critics of his administration’s interest in a North Pole oil refinery’s impending closure don’t see behind-the-scenes work that could keep the refinery operating.

Flint Hills Resources announced earlier this month that the refinery would cease gasoline production on May 1 and the production of jet fuel by June 1.

The Fairbanks Daily News-Miner reports (https://bit.ly/M6SNuW ) Parnell told the newspaper’s editorial board that the price the state sets for refinery “royalty” oil is under review.

He also says his administration negotiated a lower royalty oil price in 2012.

A Flint Hills vice president said the refinery is closing because of a difficult refining market and uncertainties over future soil and groundwater cleanup costs that began under the refinery’s former owners.

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