Refinery planned for Stoughton, Sask.

A major oil refinery is being proposed near Stoughton, Sask.

Arizona-based Quantum Energy Inc. announced earlier this month it has set up a Canadian subsidiary to conduct the development, construction and operation of a 40,000 barrel-per-day "full slate" refinery at the southeast Saskatchewan community.

The subsidiary is Dominion Energy Processing Group Inc.

40,000 barrels per day would be around a third of the output of the Co-op refinery in Regina.

Completion of the project would likely be years away. The company says it's moving the project into the first phase of getting permits and engineering.

Stoughton is about 60 kilometres north of Estevan.