PBF Energy completes acquisition of Chalmette Refining and related assets

PBF Energy Inc.’s (NYSE: PBF) subsidiary has completed its acquisition of Chalmette Refining LLC, consisting of the 189,000 barrel per day Chalmette refinery and related logistics assets, from ExxonMobil and PDV Chalmette LLC. The purchase price for Chalmette Refining was $322 million, plus working capital.

With the acquisition, PBF Energy has increased its total throughput capacity to over 725,000 barrels per day. Including PBF’s pending acquisition of the Torrance refinery, PBF Energy will increase its total throughput capacity to approximately 900,000 barrels per day.

In addition to refining assets, PBF Energy is acquiring 100% ownership of the MOEM Pipeline, providing access to the Empire Terminal, as well as the CAM Connection Pipeline, providing access to the LOOP facility through a third-party pipeline. PBF is also acquiring an 80% ownership in each of the Collins Pipeline Co. and the T&M Terminal Co., both located in Collins, Mississippi, which provide a clean-products outlet for the refinery via the Plantation and Colonial pipelines. Also included in the transaction are a marine terminal capable of importing waterborne feedstocks and loading or exporting finished products; a clean-products truck rack which provides access to local markets; and a crude and product storage facility with approximately 7.5 million barrels of shell capacity.

PBF estimates the acquired MLP-qualifying pre-tax earnings from the logistics assets of Chalmette Refining LLC to be at least $30 million.

 

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now

Whitepapers

The Time is Right for Optimum Reliability: Capital-Intensive Industries and Asset Performance Management

Imagine a plant that is no longer at risk of a random shutdown. Imagine not worrying about losing...

Going Digital: The New Normal in Oil & Gas

In this whitepaper you will learn how Keystone Engineering, ONGC, and Saipem are using software t...

Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Leveraging the Power of Information in the Energy Industry

Information Governance is about more than compliance. It’s about using your information to drive ...