PBF to Buy Southern California Refinery From Exxon for $537.5 Million

Sept 30 PBF Energy Inc said it would buy Exxon Mobil Corp’s refinery in Torrance, California and restore it to full working order before the deal closes in the second quarter of 2016.

“If Exxon can’t keep gas flowing to the state and keep our neighborhoods safe, it should turn over the refinery to a company who can”, Court said.

PBF Energy, a Fortune 200 company on the New York Stock Exchange, based in Parsippany, N.J., said Torrance will be the smallest in its fleet of three existing refineries and will be the fifth plant in the company’s operations.

Subject to repairs to the refinerys electrostatic precipitator and regulatory approval, change-in-control is anticipated to take place by mid-2016.

Damage to the ExxonMobil refinery in Torrance from an explosion is seen from 190th Street.

Consumer Watchdog President Jamie Court said the sale of the refinery should not allow ExxonMobil to escape responsibility for the explosion.

NOLA.com | The Times-Picayune reported PBF Energy will purchase Chalmette Refining from ExxonMobil and its partner Petroleos de Venezuela for $322 million.

Consideration of the refinery ramp up was scheduled for September 17, but the South Coast Air Quality Management District opted to delay the matter in the wake of an acid leak at the site.

On August 13, Cal/OSHA issued 19 citations against Exxon over the explosion and fined the company $566,600.

Federal, state, and regional regulators continue to investigate environmental and health concerns related to the incident.

About 700 employees and 700 contractors work at the refinery and associated facilities.

“We are excited to be adding a refinery with Torrance’s complexity and we look forward to entering the West Coast market”, said PBF CEO Tom Nimbley.

Consumers in California have not benefitted from the same level of gas price drops this summer as the rest of the nation because of the refinery problems.

PBF has struggled of late with its own refinery accident.

The Torrance refinery previously accounted for 20 percent of Southern California’s gasoline supply.