Tesoro is planning to sell its Hawaii operations, including
the 94,000 bpd Kapolei refinery, operations at 32 retail
stations and all associated logistical assets, according to
"Following a comprehensive analysis, we've determined that
our business in Hawaii does not align with our strategic focus
on the Mid-Continent and West Coast, and can provide greater
value for a company that will invest in the business and
employees," said Greg Goff, president and CEO of Tesoro.
"While the Hawaii business is no longer in line with our vision
for Tesoro's future, there is no question that it offers value
for the right investor, he added.
The Kapolei refinery enjoys a favorable
geographic position, strong logistical infrastructure and an
advantaged configuration that make it an attractive business
for interested buyers, the company said.
The refinery yield is distillate-focused and is
complementary to the on-island demand for utility, jet and
The facility has the necessary logistics to support product
movements to and from the US West Coast or Pacific Rim markets,
and is well positioned for participation in existing State of
Hawaii and US Department of Defense renewable fuels projects, according to Tesoro.
The business segment includes:
Advantaged hydrocracking refinery
Network of retail stations
Deep draft single point mooring facility for crude and
Proprietary pipelines with connections to crucial
business hubs such as Honolulu International Airport, the
military fuel depot and Barbers Point inter island barge
Terminal access and barge operations to supply the major
Tesoro said its Hawaii operations would focus on continuing
to meet all its business commitments during the marketing and
Tesoro anticipates completing the sale no sooner than the
second half of 2012, subject to regulatory and other approvals,