A Review of the Nigerian Energy Industry

Tesoro closes deal to sell Hawaii refinery to Par Petroleum

Tesoro29 September 2013, San Antonio – based based Tesoro Corp. said Wednesday that it has sold its 94,000-barrel-a-day Hawaii refinery and related assets to a subsidiary of Houston-based Par Petroleum Corp.

Par Petroleum said it’s paying $75 million in cash plus the market value of net working capital and a payout of future earnings over three years of as much as $40 million, subject to certain conditions.

Tesoro valued the acquisition at $325 million.

In addition to the refinery, the purchase includes storage, terminals and pipelines. Par’s subsidiary also has the right to sell gasoline at 31 Tesoro-branded retail stations in Hawaii.

The refinery produces gasoline, jet fuel, high-sulfur diesel, low-sulfur fuel oil and high-sulfur fuel oil. It also supplies ultralow-sulfur diesel to the Hawaiian Islands
*Vicki Vaughan

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