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RE: Valero to Sell Krotz Refinery Alon $333MM

Home Forums Refining Community Refinery News Valero to Sell Krotz Refinery Alon $333MM RE: Valero to Sell Krotz Refinery Alon $333MM

#6749

Anonymous

Along with the purchase, the on-site inventory (another 50 to 100 million) and the profit sharing, Alon will also have to upgrade some of the Crude/Vac units for the ULSD it plans to produce along with a Benzene Saturation Unit.  Do you really believe that it will be able to raise the funds to purchase Memphis too?  I understand that Valero wanted to sell the two as a package deal.  That profit sharing deal must be good, else I just can’t see why they would have parted for 4.1 thousand a barrel.  I’ve heard locally that Alon believes it will have about a 3 year ROI.  We’ll see.
 
I would bet on Harvest and PetroPlus looking seriously at Memphis or even Ardmore.  Delek was a name bantied about locally, but I can’t confirm that they came to the refinery for a look-see. 
 
Who do you beleive would be interested in Paulsboro?

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