Exxon Mobil Corp. on Wednesday announced it has agreed to sell its damaged Torrance oil refinery, a pair of Vernon refinery product centers and other related California assets for a reported $537 million. “Having Exxon Mobil operate a refinery in a state that has declared they want to minimize fossil fuels was… a bad marriage”. The statement also said the change in control of the facility is expected to take place by the middle of next year.
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“Southern California is a very attractive market and we are excited to become a supplier in the region”, said Tom O’Malley, who previously served as CEO of refiners Premcor and Tosco.
“The sale results from a strategic assessment of the site and how it fits with our refining portfolio”, said Jerry Wascom, president of ExxonMobil Refining & Supply Company.
“Anything to do with the February explosion remains with Exxon”, Dill said. It recently purchased another Exxon refinery in Louisiana.
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.
Exxon and the refinery have faced mounting criticism in the subsequent months, as the company ignored or refused to cooperate with several subpoenas from the U.S. Chemical Safety Board.
“While Exxon may be selling with hopes that the investigation will go away, companies that have been held responsible for negligence and endangerment of workers or the community have had to pay fines in the past, despite sales of their companies to new owners”.
Approximately 700 employees and 700 contractors work at the refinery and associated facilities. PBF said it will finance the deal with a combination of cash, debt and equity.
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Four workers were injured in the February 18 blast, which led state regulators to issue 19 citations against ExxonMobil and propose penalties totaling $566,600. He pointed out that PBF has had no reportable releases of hydrofluoric acid at its New Jersey refinery in the past five years.
