Valero: Agreement reached on DE refinery sale

April 8, 2010 1:59:39 PM PDT
Valero Energy says it is selling its Delaware City refinery to subsidiaries of PBF Energy Partners for $220 million.

Valero said Thursday that the deal, expected to close in the second quarter, still needs regulatory approvals and the completion of certain agreements with the state of Delaware.

San Antonio, Texas-based Valero announced in November that it was halting operations at the refinery and laying off 550, but agreed not to remove equipment while negotiations were under way. Gov. Jack Markell's administration has been supporting efforts to sell and reopen the refinery.

PBF is the investment arm of a partnership between Petroplus Holdings AG, the Blackstone Group, and private equity firm First Reserve to buy U.S. oil refineries. Petroplus is the largest independent petroleum refiner and wholesaler in Europe.