Shell Oil Co. said Thursday it will sell an Alabama refinery designed to produce 90,000 barrels of crude oil and other products daily to Texas-based Vertex Energy for $75 million.
Shell said the cash deal was part of its plan to shed refineries that aren’t aligned with trading hubs, chemical plants and marketing businesses.
“The sale of the Mobile refinery shows that we are making good progress delivering on our manufacturing strategy,” Robin Mooldijk, an executive vice president for manufacturing, said in a statement. “We’re becoming better positioned to deliver resilient returns and meet the increasingly diverse needs of our customers.”
Located on the northern end of Mobile Bay, the refinery will offer jobs to its current workforce as it changes hands. Aside from the refinery complex, Vertex will purchase its hydrocarbon inventory at the time the sale is complete, which could add from $65 million to $85 million to the deal.
Republished with the permission of the Associated Press.
