Delek US Sales West Coast Asphalt Terminals
OREANDA-NEWS. May 22, 2018. Delek US Holdings, Inc. (NYSE:DK) (“Delek”) announced today that it has closed the transaction to sell four asphalt terminals to an affiliate of Andeavor. This transaction includes asphalt terminal assets in Bakersfield, Mojave and Elk Grove, California and Phoenix, Arizona, as well as Delek’s 50 percent equity interest in the Paramount-Nevada Asphalt Company, LLC joint venture that operates an asphalt terminal located in Fernley, Nevada. The total consideration is $75.0 million, plus working capital.
Uzi Yemin, Chairman, President and Chief Executive Officer of Delek said, “Including this transaction, we have divested $147 million of non-core assets on the West Coast. We continue to evaluate options to derive value from or reduce carrying cost of our remaining West Coast assets. I want to thank the employees of both companies for their efforts to complete this transaction.”
About Delek US Holdings, Inc.
Delek US Holdings, Inc. is a diversified downstream energy company with assets in petroleum refining, logistics, renewable fuels and convenience store retailing. The refining assets consist of refineries operated in Tyler and Big Spring, Texas, El Dorado, Arkansas and Krotz Springs, Louisiana with a combined nameplate crude throughput capacity of 302,000 barrels per day.
The logistics operations primarily consist of Delek Logistics Partners, LP. Delek US Holdings, Inc. and its affiliates own approximately 63% (including the 2 percent general partner interest) of Delek Logistics Partners, LP. Delek Logistics Partners, LP (NYSE:DKL) is a growth-oriented master limited partnership focused on owning and operating midstream energy infrastructure assets.
The convenience store retail business is the largest 7-Eleven licensee in the United States and operates approximately 300 convenience stores in central and west Texas and New Mexico.