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?