December 3, 2008 at 10:30 pm #3288
Wednesday, December 3, 2008 – 2:41 PM CST
Valero won’t sell Memphis refinery
Memphis Business Journal
Valero Energy Corp. is no longer considering selling its Memphis refinery, company officials said Wednesday.
Valero spokesman Bill Day confirmed that the Memphis refinery was “no longer under strategic review” regarding its sale. The company had previously announced it was researching selling its refineries in Memphis, Ardmore, Okla., and Aruba.
Day said the Ardmore and Memphis facilities are no longer being considered for sale, however, Valero is still pursuing “interested parties” to buy its Aruba refinery.
“We said we would look for a deal that would be in the best interest of our shareholders,” Day said. “Taking these refineries off of strategic review was the best decision for our shareholders.”
Based in San Antonio, Valero’s (NYSE: VLO) Memphis refinery has a crude processing capacity of 180,000 barrels per day and produces gasoline, diesel fuel and the majority of jet fuel consumed at Memphis International Airport.
December 3, 2008 at 10:31 pm #6419
Here is update on Valero Memphis Refinery Sale and it sounds like Valero is headed the other way – will post another news item about them cutting back rates due demand & going looking for refinery acquisitions.
December 3, 2008 at 10:32 pm #6418
Valero CEO Says Oil Refiners Will Reduce Output (Update1)
By Jordan Burke
Dec. 3, 2008 (Bloomberg) — Valero Energy Corp., the largest U.S.
refiner, said refiners will cut output because of lower demand.
Demand has evaporated, said Bill Klesse, Valeros chief
executive officer, in a presentation to investors at a Merrill
Lynch energy conference in New York. It is always about demand
in our business because supply is out there.
The company may also seek to purchase assets as refinery
values fall, he said.
We think there is going to be an opportunity for
acquisitions, Klesse said. Valero may buy plants that we
view as very strategic, that will make our business better.
Earlier today, Valero said it is no longer selling its
Ardmore, Oklahoma, and Memphis refineries.
Valero rose 21 cents, or 1.2 percent, to $17.59 at 12:42
p.m. in New York Stock Exchange composite trading. The shares
have dropped 75 percent this year.
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