* Upgraded crude unit start-up could slip into June
* $4 billion project to boost refinery's Canadian crudecapacity (Adds BP comment, Genscape report, background, details.)
HOUSTON, May 6 (Reuters) - BP Plc plans to begin thestart-up of an upgraded crude distillation unit at its 405,000barrel per day (bpd) Whiting, Indiana, refinery at the end ofMay, according to sources familiar with refinery operations.
The start-up of the CDU, called Pipestill 12, could slipinto June as BP is being careful to avoid rushing the work toprevent a mishap that could damage the centerpiece of the$4-billion upgrade, the sources said.
BP shut Pipestill 12 in November to begin the project,intended to lift the refinery's capacity to run Canadian crudeoil from 80,000 bpd to 350,000 bpd.
A BP spokesman declined to discuss the details of theupgrade project at Whiting.
"The project remains on schedule for completion in the secondhalf of this year," said BP spokesman Scott Dean.
BP would like to see the crude unit up and running thismonth, one of the sources said.
"BP wants it up this month, but it will probably be sometimein June," the source said.
Energy industry intelligence service Genscape said weakheating was detected at Pipestill 12 on Monday in preparation ofeventual start-up.
BP has shifted its U.S. refining strategy to focus onrefineries in the northern tier of the United States that arebetter able to access cheaper crude oil from Canada's tar sandsfields in Alberta.
In February, BP sold its Texas City, Texas, refinery toMarathon Petroleum Corp. BP also has a pending sale ofits Carson, California, refinery to Tesoro Corp awaitingapproval from U.S. and California regulators.
Two other crude distillations units at the Whiting refineryremain in operation.
Crude distillation units do the initial refining of crudeoil coming into a refinery and provide feedstocks for all otherunits. (Reporting by Erwin Seba; Editing by Chris Reese)