Continental Refining named Sunoco Partners as crude oil supplier for its 5,500 bpd Somerset refinery in Kentucky, officials said on Tuesday.
Financial terms were not disclosed.
The relationship marks a major milestone for Continental because it will eliminate any disruptions in crude supply, the company said.
Continental Refining purchased the then-closed Somerset refinery in December 2011 and immediately began updating the process plants operations.
Now reopened, the Continental plant is the only oil refinery within a 170-mile radius, which results in significantly decreased transportation costs, the company says.
This contract marks an important step in the advancement and efficiencies taking place at Continental Refining Company, said Continental Refining CEO Demetrios Haseotes.
We are very excited about this relationship because Sunoco Partners Marketing & Terminals LPs substantial assets and resources provide Continental with a consistent supply of crude oil to the refinery.
Continental will receive crude oil by truck, rail, pipeline and barge at the refinery, it said.
The terminal will also provide enhanced logistics for clean products in south-central Kentucky and northern Tennessee.