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Changes Afoot at Par Petroleum

HOUSTON — The new year will usher in changes at Par Petroleum Corp.

Joseph Israel will take the reins as president and CEO effective Jan. 5. Israel is the former senior vice president of Hunt Refining Co., and was chief operating officer of Alon USA Energy.

William Monteleone, the company's former CEO, will become Par's senior vice president of mergers and acquisitions, and remain a member of Par's board of directors.

"Joseph brings a track record of focusing on efficient and profitable refinery operations. We are delighted to welcome to Par an individual with such deep experience and proven leadership skills," said Melvyn Klein, board chairman. "We are also extremely grateful to Will Monteleone for his strong leadership in growing Par's assets nearly tenfold in two years, from approximately $100 million in 2012 to nearly $1 billion in 2014, and we look forward to his continued service to the company and its board of directors."

In addition to these executive changes, a year and a half after acquiring Tesoro Hawaii LLC — including 31 retail outlets in Hawaii — Par is prepping plans to convert these outlets. Under the terms of the July 2013 pact, the locations could remain under the Tesoro brand for a limited time after the deal closed.

According to Pacific Business News, Lance Tanaka, spokesman for Par Petroleum subsidiary Hawaii Independent Energy (HIE), said that HIE Retail, the Par subsidiary that is the legal name for the retail gas side of its business, is still deciding what the new entity will be.

"Eventually it will have to change," he said. "We have to build a following. We have an agreement with Tesoro to use their name, but it's not infinite. We haven't been told how we are going to handle that."

Par also expects to close on its $107-million acquisition of Koko'oha Investments Inc., parent company of Mid Pac Petroleum, by early 2015. During the company's third-quarter earnings call on Nov. 12, Monteleone said it continues to work through the regulatory process.

Mid Pac Petroleum is the exclusive licensee of the 76 brand in Hawaii, and operates or distributes through more than 80 retail sites and four terminals across the state. Tanaka told PBN the company has not made a decision on what brand it will utilize for the Mid Pac gas stations once that transaction closes.

Par Petroleum Corp. is based in Houston and manages and maintains interests in a variety of energy-related assets. Through its subsidiaries, Par owns and operates a 94,000-bpd refinery in Hawaii on the island of Oahu. This refinery, together with substantial storage capacity, a 27-mile pipeline system, terminals and retail outlets, provides a substantial portion of the energy demands of Hawaii.

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