San Antonio-based based Tesoro Corp. said Wednesday that it has sold its 94,000-barrel-a-day Hawaii refinery and related assets to a subsidiary of Houston-based Par Petroleum Corp.
Par Petroleum said it’s paying $75 million in cash plus the market value of net working capital and a payout of future earnings over three years of as much as $40 million, subject to certain conditions.
Tesoro valued the acquisition at $325 million.
In addition to the refinery, the purchase includes storage, terminals and pipelines. Par’s subsidiary also has the right to sell gasoline at 31 Tesoro-branded retail stations in Hawaii.
The refinery produces gasoline, jet fuel, high-sulfur diesel, low-sulfur fuel oil and high-sulfur fuel oil. It also supplies ultralow-sulfur diesel to the Hawaiian Islands.