The refinery was started in May of 1933, ten months after the Tidewater company quit accepting "Black Oil". The new refinery was located just west of the village of Bolivar on what is now Refinery Road. The refinery was started because the local oil men needed a place to send there "Black Oil".

The 900 barrel a day refinery opened up January 6, 1934 employing 20 people. The refinery was official open with a parade. The refinery was named "Allegany Refiners", they produced gas, motor oil, kerosene, and other petroleum products. The refinery also owned their own gathering lines located in Obi, Clarksville, and Nile along with storage tanks and even a few rail road cars that they had leased.

The refinery was sold to Quakerstate in 1945 and closed in 1947. The refinery was closed due to the end of the Shawmut rail road that ran behind the refinery.