Shell finalises sale of Martinez Refinery

Source: press release, 1 February 2020

The Martinez Refinery is a high-conversion refinery capable of capturing heavy/sour differentials, with a refining capacity of 157,000 barrels per day
The Martinez Refinery is a high-conversion refinery capable of capturing heavy/sour differentials, with a refining capacity of 157,000 barrels per day (photo: Shell)

Equilon Enterprises LLC d/b/a Shell Oil Products US (Shell), a subsidiary of Royal Dutch Shell plc has announced that it has formally closed on the sale of Shell’s Martinez Refinery in California to PBF Holding Company LLC (PBF), a subsidiary of PBF Energy, Inc., in exchange for USD 1.2 billion which includes the refinery and inventory. The deal also includes crude oil supply and product offtake agreements, and other adjustments.

As part of the sale, Shell and PBF entered into crude supply and product offtake agreements to continue to supply Shell branded businesses ensuring that Shell customers will continue to have access to quality Shell branded fuels.

This divestment aligns with Shell’s strategy to reshape refining efforts towards a smaller, smarter refining portfolio focused on further integration with Shell Trading hubs, Chemicals, and Marketing.