Par Pacific Holdings, Inc. has entered into a definitive agreement to acquire Wyoming Refining Company for approximately $271.4 million. Wyoming Refining owns and operates the 18,000 barrels per day (bpd) Newcastle, Wyoming refinery and related logistics assets. The transaction is expected to close in mid-July 2016, subject to customary closing conditions and regulatory approvals.
The Wyoming Refining facility is highly-efficient, with a Nelson Complexity Index of 11.0,1 and is strategically configured to meet the transportation fuel needs of the primary marketing regions in Wyoming and South Dakota. Wyoming Refining increased its processing capacity to 18,000 barrels per day (bpd) in November 2015 with the addition of new prefrac and crude units.
In addition to the refining assets, the transaction includes the 140-mile Thunder Creek crude oil gathering system in northeast Wyoming that sources crude oil from the Powder River Basin. The Thunder Creek gathering system is also connected to the Butte pipeline, which directly accesses Bakken crude from North Dakota. The transaction also includes a 40-mile clean products pipeline system that serves the Rapid City markets through the Magellan Products pipeline, two truck racks, a proprietary jet fuel terminal in Rapid City and a jet fuel pipeline that connects Wyoming Refining’s proprietary aviation fuel terminal to Ellsworth Air Force Base.