Alon Buys Two Refineries in California, Oregon
DALLAS--Dallas oil refiner Alon USA Energy Inc. will buy refineries in California and Oregon--more than doubling its refining capacity, the company said Monday, according to the Dallas Business Journal .
Alon said in the report it will buy Paramount Petroleum Corp., which has refineries in Paramount, Calif., and Portland, Ore. In a separate deal, Alon says it will purchase the assets of Edginton Oil Co., based in Long Beach, Calif., according to the newspaper.
Alon will pay $302 million in cash for Paramount and assume about $100 million of Paramount's debt. Alon will pay $52 million cash for the assets of Edginton, which operates a heavy crude refinery in Long Beach, according to the Dallas Business Journal .
Alon plans to combine Paramount's Los Angeles-area refinery and the Edginton facility into one refinery with capacity of 78,000 barrels per day. The Portland refinery has a 12,000-barrels-a-day capacity, according to the report.
Prior to this deal, Alon had one refinery, a sour crude plant in Big Spring, Texas. It has a capacity of 70,000 barrels per day.
The Paramount deal also includes seven asphalt terminals in Seattle, Elk Grove and Mojave, Calif.; Reno, Nev.; Phoenix, Fredonia and Flagstaff, Ariz.; and a 50 percent interest in Wright Asphalt Products Co., an operation that produces a modified rubber asphalt product sold at those terminals, according to the newspaper.
Alon said in the report it will buy Paramount Petroleum Corp., which has refineries in Paramount, Calif., and Portland, Ore. In a separate deal, Alon says it will purchase the assets of Edginton Oil Co., based in Long Beach, Calif., according to the newspaper.
Alon will pay $302 million in cash for Paramount and assume about $100 million of Paramount's debt. Alon will pay $52 million cash for the assets of Edginton, which operates a heavy crude refinery in Long Beach, according to the Dallas Business Journal .
Alon plans to combine Paramount's Los Angeles-area refinery and the Edginton facility into one refinery with capacity of 78,000 barrels per day. The Portland refinery has a 12,000-barrels-a-day capacity, according to the report.
Prior to this deal, Alon had one refinery, a sour crude plant in Big Spring, Texas. It has a capacity of 70,000 barrels per day.
The Paramount deal also includes seven asphalt terminals in Seattle, Elk Grove and Mojave, Calif.; Reno, Nev.; Phoenix, Fredonia and Flagstaff, Ariz.; and a 50 percent interest in Wright Asphalt Products Co., an operation that produces a modified rubber asphalt product sold at those terminals, according to the newspaper.