Greentech Advises Delek US on the Sale of its Paramount, CA Refinery and Pipeline Assets
March 20, 2018
Delek US Holdings, Inc. (“Delek US”) is a diversified downstream energy company with assets in petroleum refining, logistics, asphalt, renewable fuels and convenience store retailing. The refining assets consist of refineries operated in Tyler and Big Spring, Texas, El Dorado, Arkansas and Krotz Springs, Louisiana with a combined nameplate crude throughput capacity of 302,000 barrels per day.
Delek US and its affiliates also own approximately 63 percent of Delek Logistics Partners, LP. Delek Logistics Partners, LP (NYSE:DKL) is a growth-oriented master limited partnership focused on owning and operating midstream energy infrastructure assets.
- The sale of AltAir Paramount and the Paramount, CA refinery and pipeline assets (the “Transaction”) marks another step in Delek US’s plan to divest their non-core assets in California
- The Transaction includes the AltAir Renewable Fuels Facility, a 45 million gallon per year renewable jet and renewable diesel production facility located within the Paramount refinery
- Also included in the Transaction, along with the 63-acre complex in Paramount, California, is 1.7 million barrels of product storage, a truck rack with 28 thousand barrels per day of throughput capacity, rail storage for up to 70 rail cars and over 71 miles of pipeline stretching across major southern California distribution hubs
- The Transaction gives World Energy an operating renewable fuels refinery in the middle of the growing California clean fuels market in addition to expanding their downstream distribution capabilities
- The Transaction illustrates the strong interest in U.S. renewable fuels operations and the continued positive outlook on California and Federal programs supporting cleaner fuels
Greentech Capital Advisors acted as financial advisor to Delek US on the Transaction.
For additional information about this transaction, please contact:
+1 (212) 946-3362