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Shell to sell Puget Sound Refinery in the US on Holllyfrontier

for sale

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Royal Dutch Shell has agreed to sell his Puget sound refinery in the US into the refiner Holllyfrontier.

Holllyfrontier becomes the refinery, the local CCtoral facility, as well as related logistical assets, for $ 350 million in cash plus the value of the hydrocarbon inventory.

The hydrocarbon inventory is evaluated when closing the deal. The current value is estimated that it takes place in the range of 150 million to 180 million USD.

The deal also includes product sharing agreements to support the existing Pacific Northwest retail marketing business of Pacific Northwest Retail Marketing.

also includes a deep water marine dock, a lightweight product charging board, a rail connection and storage tank.

The sale is part of the Dutch company to reduce its global refinery footprint on core locations.

Shell said that these core sites together with the company's trade figures, chemical plants and marketing companies to produce more carbon-poor fuels and specialty chemicals.

Shell Manufacturing Executive Vice President Robin Mooldijk said: "This is another step to implement our refining portfolio to drive elastic returns.

"Holllyfrontier is a strong operator, and we believe that they will continue the heritage of the refinery of the refiner's prioritization of security, environmental performance and the care of people on the website and in the community."

However, the agreement excludes the logistic assets of Shells.

Hollyfrontier President and CEO Mike Jennings said, "We believe that the Puget Sound Refinery will complement our existing refinery business, with sales in premium product markets and beneficial access to the Canadian crude oil."

Subject to the regulatory release and other conventional treatment conditions, the transaction is planned for completion in the fourth quarter 2021.

With approx. 149,000 barrels per day of crude oil processing capacity, the PUGET sound turmoil includes catalytic cracks and delayed coke units.

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