Norcorom refinery to change hands
AMIN subsidiary International American Refineries, Inc., has acquired all outstanding shares of Norcorom Industries. Norcorom owns a refinery in Ingleside, Texas, with a capacity of 40,000 bpd.
AMIN subsidiary International American Refineries, Inc., has
acquired all outstanding shares of Norcorom Industries.
Norcorom owns a refinery in Ingleside, Texas, with a capacity
of 40,000 bpd. Key aspects of the refinery include the refinery
itself, a barge dock, storage tanks and pipes to and from the
dock. The total land area is over 101 acres; including the
refinery and dock. Also on the premises are 19 storage tanks
with a total capacity of 841,000 barrels of storage. As
previously mentioned, the refinery can process 40,000 bpd crude
oil and has also produced naphtha, jet fuel, kerosene, diesel
and fuel oil.
The proposed acquisition will be an all cash transaction. AMIN
and its subsidiary are presently conducting due diligence and
will specifically study the estimated costs to bring the refinery up to 2010 standards.
Daniel Dror, chairman and CEO of AMIN stated, "Subject to
successful completion of our due diligence, we hope to be able
to close on the refinery acquisition before the end
of the fiscal year. Our management believes that the time is
right to acquire a company in the business of refining petroleum products, and
further our management believes that the spread and profits
will grow as the energy sector continues to be increasingly
positive in the near term."
AMIN previously negotiated a contract to acquire the Nixon
refinery in Nixon, Texas. The sellers refused to deliver title
on the refinery to AMIN and AMIN received
$2 million in settlement of its claim for breach of contract.