PASCAGOULA (AP) — Officials say Chevron plans to build a facility at its Pascagoula Refinery capable of producing 25,000 barrels a day of base oil, which is used in manufacturing premium lubricants such as motor oil.

The announcement came Thursday, as company representatives were to deliver a permit application to the Mississippi Department of Environmental Quality. The DEQ approval is needed to move forward on the project.

If granted, Dale Walsh, president of Chevron Global Lubricants, says Chevron would become the world’s largest base oil producer. Chevron has two other base oil refineries, one in Richmond, California, and one in South Korea.

With the addition of a base oil facility, Kory Judd, operations manager for the Pascagoula refinery says the facility would shift from one that primarily produces fuels such as gasoline, jet fuel and diesel fuel to one that is more diverse.