Houston company announces purchase of ExxonMobil refinery in Lockwood
BILLINGS (KPAX) - A Houston-based company announced Thursday it has purchased the ExxonMobil refinery in Lockwood.
Par Pacific Holdings, Inc. announced in a statement "it has signed a definitive agreement to acquire the 63,000 bpd Billings refinery and associated marketing and logistics assets (collectively, the “Billings Assets”) from ExxonMobil Corporation and two of its subsidiaries for a base purchase price of $310 million, plus hydrocarbon and other inventory to be valued at closing.
Par Pacific expects to fund the acquisition with cash on hand and availability under existing credit facilities, based on liquidity of approximately $495 million on September 30, 2022."
“This acquisition will significantly enhance our scale and geographic diversification and underpins our focus on pursing strategic growth initiatives,” said William Pate, President and Chief Executive Officer of Par Pacific. “We look forward to welcoming the dedicated and highly skilled Billings employees to our team. This acquisition expands our fully integrated downstream network in the western United States.”
Click here to read the full statement.
Kim Jakub, ExxonMobil's Billings refinery manager said Par Pacific will offer jobs to all of the approximately 340 employees.
"That includes the refinery employees as well as some of our midstream employees that work at terminals here in Billings and across Montana and Eastern Washington," Jakub said.
Karen McKee, president of ExxonMobil Product Solutions, released this statement, according to businesswire.
“ExxonMobil is focused on investing in facilities where we can manufacture higher-value products such as lubricants and chemicals. We have proudly operated the Billings refinery since 1949 and we thank our more than 300 talented employees for their dedicated service.”
Reports surfaced in late 2019 that ExxonMobil was looking to sell the 60,000-barrel-a-day oil refinery and that representatives from two oil companies - Valero Energy Corp. and Marathon Petroleum Corp. - had toured the refinery.