Par Pacific Holdings has successfully closed its acquisition of certain refining assets from an affiliate of Island Energy Services (IES), a privately-held energy company located in Oahu, Hawaii. Par Pacific paid $45m for the refining assets plus additional amounts for certain hydrocarbon and non-hydrocarbon inventory.
On August 29, 2018, IES announced it would cease its refining operations, shifting its focus to logistics and retail operations.
William Pate, President and CEO, Par Pacific, said: “As the owner and operator of Hawaii’s largest refinery, we recognise our important role in meeting the island demand for essential petroleum products. Par Pacific is proud to assist in supplying Hawaii’s energy needs and supporting the state’s transition to its clean energy goals.”
The acquired refining assets are located near Par Pacific’s current Kapolei refinery and will be utilised by Par Pacific to supplement its existing operations as well as to supply product to IES so that IES may fulfil its contractual obligations with Hawaiian Electric Company and its affiliates and the Kauai Island Utility Cooperative. As part of the transaction, Par Pacific has entered into a long-term agreement with IES to utilise IES’ retained logistics assets for the storage and throughput of crude oil and refined products necessary for the operation of the acquired refining assets.
For more information visit www.parpacific.com