Refinery strike looms as contract expiration nears

HOUSTON (Reuters) - Some 30,000 refinery workers that operate half of the U.S. fuel-making capacity could go on strike if they fail to renew a union contract that expires early Sunday, union officials said on Thursday.

Talks between the United Steelworkers union and the lead refiner negotiator, Shell Oil Co , continued on Thursday, Shell and USW representatives said, though both declined to disclose details of the talks.

The union rejected a third contract offer from Shell, according to a memo from USW International Vice President Gary Beevers posted on a local union website.

"It is the USW's position that the continued failure of the industry to deal with the issues presented by the (union's) proposals poses a real threat of strike action," Beevers wrote.

(Reporting by Erwin Seba; Editing by Walter Bagley)