DALLAS -- Alon USA Energy Inc. said that it received notice from the Federal Trade Commission (FTC) that the FTC has closed its investigation of Alon's pending acquisition of Paramount Petroleum Corp. Alon now expects to close the Paramount transaction by mid-August.
The transaction will include Paramount's 54,000 barrels-per-day (bpd) refinery in Paramount, Calif.; its 12,000-bpd heavy crude refinery in Portland, Ore.; its seven asphalt terminals located in Seattle, Elk Grove and Mojave, Calif., Reno, Nev., Phoenix, Fredonia and Flagstaff, Ariz.; and [image-nocss] its 50% interest in Wright Asphalt Products Co.
The purchase price of the Paramount transaction is approximately $307 million in cash and the assumption of approximately $100 million of net debt.
The FTC's review of Alon's pending acquisition of Edgington Oil Co. is ongoing. The Edgington refinery is a topping refinery with a nameplate crude capacity of approximately 40,000 bpd. Using heavy crudes, the refinery can produce up to 24,000 bpd. The purchase price for the Edgington transaction is approximately $52 million in cash plus an amount to be determined for the value of inventory.
Alon USA Energy, Dallas, is an independent refiner and marketer of petroleum products, operating primarily in the Southwest and Southcentral regions of the United States. The company owns and operates an oil refinery in Big Spring, Texas, which has a crude oil throughput capacity of 70,000 bpd. It markets gasoline and diesel products under the FINA brand and is a leading producer of asphalt in Texas. It also operates convenience stores in West Texas and New Mexico under the 7-Eleven and FINA brands and supplies motor fuels to these stores from its Big Spring refinery.
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