Delek Expects Refinery to Resume Operation in May (Update2)
By Jordan Burke Dec. 12, 2008 (Bloomberg) — Delek U.S. Holdings Inc. said its Tyler, Texas, oil refinery may resume operations in May after being shut by a Nov. 20 explosion that killed two employees.
While unlikely, unaffected portions of the refinery may resume sooner if economically justified, Fred Green, president of Deleks refining unit, said today on a conference call with analysts and investors.
Delek has pared inventories of crude oil and feedstock at the refinery because of the shutdown to about 900,000 barrels from 1.4 million barrels, Chief Financial Officer Edward Morgan said on the call.
We are selling all of our crude and feedstock inventories which we deem non-critical to our restart in May, he said.
The refinery, which can process 60,000 barrels of oil a day, accounted for 42 percent of Deleks revenue last year, according to data compiled by Bloomberg.
Delek rose 28 cents, or 5.6 percent, to $5.28 in New York Stock Exchange composite trading. The stock has plunged 75 percent this year.
To contact the reporter on this story: Jordan Burke in New York at email@example.com. Last Updated: December 12, 2008 16:18 EST