Par Pacific Holdings

Last updated
Par Pacific Holdings, Inc.
Company type Public
Industry Oil and gas
PredecessorDelta Petroleum Corporation [1]
Headquarters,
U.S.
Key people
William Pate
(President & CEO) [2]
Products Oil, natural gas, petroleum
RevenueDecrease2.svg US$ 1.865 billion (2016) [3]
Decrease2.svg US$-16.494 million (2016) [3]
Decrease2.svg US$-45.835 million (2016) [3]
Total assets Decrease2.svg US$ 403.108 million (2016) [3]
Number of employees
863 [3]
Website parpacific.com

Par Pacific Holdings is a Houston-based American oil and gas exploration and production company. Known as Par Petroleum Corporation after it emerged from bankruptcy, it was renamed Par Pacific Holdings on October 20, 2015. [4] As of 2017 it was a Fortune 1000 corporation. [5]

Contents

Par Pacific Holdings, Inc., a company whose headquarters are in Houston, Texas, owns operations in oil and production and midstream operations. Par Pacific owns the largest operating refinery in Hawaii which has a 94,000-bpd capacity, this distributes to 90 proprietary and additional independent retail locations under the Hele and 76 brands. In Wyoming, Par Pacific owns a refinery and pipelines which bring crude oil and distributes refined products. Par Pacific also owns 42.3% of Laramie Energy, LLC which has natural gas operations and assets concentrated in the Piceance Basin in Western Colorado.

In January 2024, Par Pacific's refineries in Washington and Wyoming received ENERGY STAR certification from the Environmental Protection Agency (EPA). These are the first ENERGY STAR certifications for both refineries. Par Pacific's Washington refinery achieved the lowest carbon intensity of any refinery in the world, according to the Solomon Energy Intensity Index. [6]

Will Monteleone will succeed William Pate as CEO at the 2024 annual general meeting. Monteleone will also become President of the company, a decision that has already been approved. Both executives will continue to serve as members of the board of directors. [7]

Hawaii operations

On 19 December 2018, Par Pacific completed the $45 million sale from Island Energy Services (IES) of the 94,000-b/sd crude and vacuum distillation refinery [a] known as Par East at the Campbell Industrial Park in Kapolei, Hawaii, and existing stocks of petroleum products. [9] [10] [11] [b] The Par East refinery at Kapolei is operated by Par Hawaii Refining, Inc., which is led by president Jimmy Yates and is a subsidiary of Par Pacific. [14] Par Pacific expected to hire 20 additional employees along with 65 IES workers. [14] IES will continue to own and maintain the Kapolei offshore mooring terminal and provide logistical support of petroleum products to Hawaii Electric Light Co., Maui Electric Co., Hawaiian Electric Co., and Kauai Island Utility Cooperative. [14] According to IES CEO Jon Mauer in 2018, IES will continue to supply petroleum products to its existing 56 Texaco-branded stations from its current network of local and global suppliers and will bring on line additional stations including a new one in Kapolei. [12]

During 2018, approximately eight cargoes of Minas crude from Riau in Sumatra, Indonesia were shipped to Hawaii through third parties on term offtake agreements with Indonesia's Pertamina or field operator PT Chevron Pacific Indonesia (CPI), but the shipments from Indonesia to the Kapolei Refinery were terminated under Par Pacific in 2019. [8] [15] [c]

In March 2022, the Kapolei Refinery [d] received about a quarter of its crude from Russia's Far East. [18] Following the 8 March 2022 announcement by President Biden of a ban of Russian oil, liquified natural gas, and coal imported into the United States due to the invasion of Ukraine, Par Pacific announced that it would obtain non-Russian sources for its West Oahu oil refinery. [18] [19] [20] [21] [e] Between August and December 2021, the refinery received one shipment of approximately 700,000 barrels from the Russian Far East. [23] [f] To replace the Russian sources, Par Pacific announced that it would source from North America and South America. [22]

Notes

  1. The 94,000-b/sd Par East refinery at Kapolei can run crude with higher sulfur content. [8]
  2. Established in 2016, Island Energy Services LLC completed its purchase of the refinery at Kapolei from Chevron on 2 November 2016. [12] [13]
  3. In 2017, Crude oil for the Kapolei Refinery was mostly sourced from North America, Asia, Africa and the Middle East, with Asia making up 23.1% and the Middle East 28.1% of the feedstock including the UAE’s Murban crude and Russia's Far East ESPO and Sokol crude. [8] Sakhalin Island has three offshore projects Sakhalin-1, Sakhlin-2, Sakhalin 3 and Sokol crude, known as Russian Grade 4 Sokol, is from Sakhalin-1 which is managed by ExxonMobil. [16] Sokol means falcon in Russian. As of September 2021, ESPO crude, which is known as Russian Grade 6 ESPO, is from the Eastern Siberia–Pacific Ocean oil pipeline (ESPO pipeline or ESPOOP, Russian: Нефтепровод "Восточная Сибирь - Тихий океан" (ВСТО)), is linked to UAE - Dubai Crude prices and competes with Alaskan Oil, [16] is usually carried on Aframax or Suezmax class tankers with cargoes of 740,000 barrels or 1 million barrels which are smaller tankers as opposed to the Very Large Crude Carriers with capacities of 2 million barrels. [17]
  4. Due to meeting Hawaii's transition to a renewable energy future, the Par East refinery at Kapolei has been the only refinery in Hawaii since the 2014 closure by the Hawaii governor’s Hawaii Refinery Task Force of the only other refinery in Hawaii which had a 54,000-b/sd capacity and was located in the Campbell Industrial Park at Kapolei, West Oahu. [8] [12]
  5. In 2021, the United States imported 3% of its total oil consumption from Russia which was nearly 700,000 barrels per day of crude oil and refined petroleum products. [21] [22] To help offset the loss of the imported oil from Russia, the United States released 90 million barrels from its Strategic Petroleum Reserve which can replace the loss of imported Russian oil for over 4 months until other sources are acquired. [21]
  6. On 17 August 2021, the Seoul, South Korea based SK SHIPPING's the 2009 built B. SKY docked at Honolulu Harbor. [24] [25] On 9 October 2018, SK Holdings of the SK Group completed its sale of its SK Shipping, which was its only shipping company, to the Scott Sang-Won Hahn led Hahn & Company. [26] [27] [28]

Related Research Articles

<span class="mw-page-title-main">Strategic Petroleum Reserve (United States)</span> US strategic petroleum reserve

The Strategic Petroleum Reserve (SPR) is an emergency stockpile of petroleum maintained by the United States Department of Energy (DOE). It is the largest publicly known emergency supply in the world; its underground tanks in Louisiana and Texas have capacity for 714 million barrels (113,500,000 m3). The United States started the petroleum reserve in 1975 to mitigate future supply disruptions as part of the international Agreement on an International Energy Program, after oil supplies were interrupted during the 1973–1974 oil embargo.

<span class="mw-page-title-main">Tesoro Corporation</span> American energy company

Tesoro Corporation, known briefly as Andeavor, was a Fortune 100 and a Fortune Global 500 company headquartered in San Antonio, Texas, with 2017 annual revenues of $35 billion, and over 14,000 employees worldwide. Based on 2017 revenue, the company ranked No. 90 in the 2018 Fortune 500 list of the largest United States corporations by total revenue.

<span class="mw-page-title-main">Sinopec</span> Chinese oil and gas enterprise

China Petroleum and Chemical Corporation, or Sinopec, is a Chinese oil and gas enterprise based in Beijing. It is listed in Hong Kong and also trades in Shanghai.

<span class="mw-page-title-main">Petroleum industry in Canada</span>

Petroleum production in Canada is a major industry which is important to the overall economy of North America. Canada has the third largest oil reserves in the world and is the world's fourth largest oil producer and fourth largest oil exporter. In 2019 it produced an average of 750,000 cubic metres per day (4.7 Mbbl/d) of crude oil and equivalent. Of that amount, 64% was upgraded from unconventional oil sands, and the remainder light crude oil, heavy crude oil and natural-gas condensate. Most of the Canadian petroleum production is exported, approximately 600,000 cubic metres per day (3.8 Mbbl/d) in 2019, with 98% of the exports going to the United States. Canada is by far the largest single source of oil imports to the United States, providing 43% of US crude oil imports in 2015.

Global strategic petroleum reserves (GSPR) refer to crude oil inventories held by the government of a particular country, as well as private industry, to safeguard the economy and help maintain national security during an energy crisis. Strategic reserves are intended to be used to cover short-term supply disruptions.

<span class="mw-page-title-main">Lago Oil and Transport Company</span>

Lago Oil & Transport Co. Ltd. was established in 1924 as a shipping company responsible for transporting crude oil from Lake Maracaibo to its transshipment facility on the island of Aruba. The Lago refinery, a subsidiary of the Standard Oil Company (Exxon), remained in operation until March 31, 1985 when Exxon made the decision to shut down and dismantle both the refinery and Lago Colony.

<span class="mw-page-title-main">Ministry of Petroleum (Iran)</span> Ministry of the Government of Iran

The Ministry of Petroleum (MOP) (Persian: وزارت نفت, romanized: Vezârat-e Naft) manages the oil industry, the producer of oil and petrochemical products. MoP is in charge of all issues pertaining to exploration, extraction, exploitation, distribution and exportation of crude oil and oil products. In addition, according to the "Imports and Exports Regulation Act[usurped]", issuing import licenses for such products is also among the functions of the Ministry of Petroleum. The ministry has been placed under sanctions by the United States Department of State as of 2020.

The Eastern Siberia–Pacific Ocean oil pipeline is a pipeline system for exporting Russian crude oil to the Asia-Pacific markets. The pipeline is built and operated by Russian pipeline company Transneft.

<span class="mw-page-title-main">Petroleum industry in Russia</span> One of the largest in the world

The petroleum or oil industry in Russia is one of the largest in the world. Russia has the largest reserves and was the largest exporter of natural gas. It has the sixth largest oil reserves, and is one of the largest producers of oil. It is the fourth largest energy user.

<span class="mw-page-title-main">Petroleum in the United States</span>

Petroleum has been a major industry in the United States since the 1859 Pennsylvania oil rush around Titusville, Pennsylvania. Commonly characterized as "Big Oil", the industry includes exploration, production, refining, transportation, and marketing of oil and natural gas products. The leading crude oil-producing areas in the United States in 2023 were Texas, followed by the offshore federal zone of the Gulf of Mexico, North Dakota and New Mexico.

<span class="mw-page-title-main">Petroleum industry in Iran</span> Overview of the petroleum industry of Iran

Iran is an energy superpower and the petroleum industry in Iran plays an important part in it. In 2004, Iran produced 5.1 percent of the world's total crude oil, which generated revenues of US$25 billion to US$30 billion and was the country's primary source of foreign currency. At 2006 levels of production, oil proceeds represented about 18.7% of gross domestic product (GDP). However, the importance of the hydrocarbon sector to Iran's economy has been far greater. The oil and gas industry has been the engine of economic growth, directly affecting public development projects, the government's annual budget, and most foreign exchange sources.

Western Canadian Select (WCS) is a heavy sour blend of crude oil that is one of North America's largest heavy crude oil streams and, historically, its cheapest. It was established in December 2004 as a new heavy oil stream by EnCana, Canadian Natural Resources, Petro-Canada and Talisman Energy. It is composed mostly of bitumen blended with sweet synthetic and condensate diluents and 21 existing streams of both conventional and unconventional Alberta heavy crude oils at the large Husky Midstream General Partnership terminal in Hardisty, Alberta. Western Canadian Select—the benchmark for heavy, acidic crudes—is one of many petroleum products from the Western Canadian Sedimentary Basin oil sands. Calgary-based Husky Energy, now a subsidiary of Cenovus, had joined the initial four founders in 2015.

The Uganda National Oil Company (UNOC), also known as the National Oil Company of Uganda, is a limited liability petroleum company in Uganda owned by the Ugandan government. The 2013 Petroleum Act of Uganda provides for the establishment of the national oil company. UNOC's board of directors was inaugurated on 23 October 2015 by the president of Uganda.

<span class="mw-page-title-main">Port Harcourt Refining Company</span> Crude oil refinery of Nigeria

The Port Harcourt Refining Company,, is a Nigeria-based oil and gas company primarily specializing in the refining of crude oil into petroleum products. It is headquartered in Port Harcourt metropolitan area of Rivers State, southeastern Nigeria. The company is a subsidiary of the Nigerian National Petroleum Corporation (NNPC).

<span class="mw-page-title-main">Petroleum refining in the United States</span>

Petroleum refining in the United States in 2024 had a capacity of 18.4 million barrels per day. Although the US was the world's largest net importer of refined petroleum products as recently as 2008, the US became a net exporter in 2010, and in 2014 was the largest exporter and the largest net exporter of refined petroleum. As of January 2019, there were 135 operating refineries in the US, distributed among 30 states.

The China Petroleum Pipeline Engineering Co., Ltd. (CPP) is a subsidiary of the China National Petroleum Corporation and the primary builder of pipelines in China. The company has built much of the cross-country pipeline infrastructure in China and had several large-scale projects abroad.

The petroleum industry in India dates back to 1889 when the first oil deposits in the country were discovered near the town of Digboi in the state of Assam. The natural gas industry in India began in the 1960s with the discovery of gas fields in Assam and Maharashtra. As on 31 March 2018, India had estimated crude oil reserves of 594.49 million metric tonnes (Mt) and natural gas reserves of 1339.57 billion cubic metres of natural gas (BCM).

<span class="mw-page-title-main">Oil in Turkey</span> Overview of petroleum in the country

Oil supplies over a quarter of Turkey's energy. Because the country produces very little oil, it is almost completely dependent on imports of oil and oil products such as petrol and diesel, over half of which is consumed in the country's road vehicles. Turkey is the world's largest user of liquefied petroleum gas (LPG) for road transport.

As part of the sanctions imposed on the Russian Federation as a result of the Russo-Ukrainian War, on September 2, 2022, finance ministers of the G7 group of nations agreed to cap the price of Russian oil and petroleum products in an effort intended to reduce Russia's ability to finance its war on Ukraine while at the same time hoping to curb further increases to the 2021–2022 inflation surge.

References

  1. "Par Petroleum Corporation (formerly Delta Petroleum Corporation) Appoints New Board of Directors and Officers". PR Newswire. 6 Sep 2012. Retrieved 8 July 2017.
  2. "Management". Par Pacific. Retrieved 8 July 2017.
  3. 1 2 3 4 5 "PAR PACIFIC HOLDINGS, INC". Edgar. UNITED STATES SECURITIES AND EXCHANGE COMMISSION. Retrieved 8 July 2017.
  4. "Par Petroleum Corporation Announces Name Change to Par Pacific Holdings, Inc.; William Pate Appointed President and Chief Executive Officer". PR Newswire. Retrieved 8 July 2017.
  5. "Par Pacific Holdings". Fortune 500. Fortune. Retrieved 8 July 2017.
  6. "Par Pacific Earns EPA ENERGY STAR Certification in Washington and Wyoming". BusinessInsider. Archived from the original on 2024-03-14. Retrieved 2024-03-13.
  7. "People on the move". Offshore Mag. Archived from the original on 2024-03-14. Retrieved 2024-03-13.
  8. 1 2 3 4 "Indonesia's Minas crude no longer shipped to Hawaii after Island Energy asset sale". Hellenic Shipping News. 15 February 2019. Archived from the original on 16 March 2022. Retrieved 16 March 2022.
  9. "Par Pacific Successfully Closes Transaction with Island Energy Services". parpacific.com. 19 December 2018. Archived from the original on 16 March 2022. Retrieved 16 March 2022.
  10. "Par Pacific Successfully Closes Transaction with Island Energy Services". PRNewswire.com. 19 December 2018. Archived from the original on 16 March 2022. Retrieved 16 March 2022.
  11. Hithersay, Alex (20 December 2018). "Par Pacific closes transaction with Island Energy Services". Hydrocarbon Engineering. Archived from the original on 16 March 2022. Retrieved 16 March 2022.
  12. 1 2 3 CSD Staff (30 August 2018). "Island Energy Services Sells Refinery Assets To Par Pacific: Island Energy Services plans to reinvest net sale proceeds in Hawaii to further expand its logistics infrastructure". CStoreDecisions. Archived from the original on 16 March 2022. Retrieved 16 March 2022.
  13. "Island Energy Completes Acquisition of Chevron's Hawai'i Assets". Island Energy Systems. 2 November 2016. Archived from the original on 17 March 2022. Retrieved 16 March 2022.
  14. 1 2 3 "Par Pacific to Buy Select Refining Assets from Island Energy Services Following IES' Announcement of Cessation of their Refining Operations". parpacific.com. 30 August 2018. Archived from the original on 17 March 2022. Retrieved 16 March 2022.
  15. "Indonesia Fact Sheet" (PDF). Chevron . April 2013. Archived from the original (PDF) on 9 June 2013. Retrieved 16 March 2022..
  16. 1 2 Grey, Illiana (3 August 2015). "Российская нефть" [Russian oil]. United Traders Magazine (UTMAG) (in Russian). Archived from the original on 17 March 2022. Retrieved 16 March 2022.
  17. Tan, Florence; Yagova, Olga (16 September 2021). "Russian ESPO oil prices at 21-mth high, boosted by strong China demand". Reuters . Archived from the original on 17 March 2022. Retrieved 16 March 2022.
  18. 1 2 Hurley, Timothy (3 March 2022). "Par Hawaii's parent company stops purchases of Russian oil". Star-Advertiser . Archived from the original on 16 March 2022. Retrieved 16 March 2022.
  19. Breuninger, Kevin; Franck, Thomas (8 March 2022). "Biden says U.S. will ban Russian oil imports in response to Putin's invasion of Ukraine". CNBC . Retrieved 16 March 2022.
  20. Welker, Kristen; Alexander, Peter; Shabad, Rebecca (8 March 2022). "Biden announces ban on Russian oil imports, calling it 'Putin's price hike': The move, which is likely to push energy prices even higher, comes as the administration increases sanctions pressure on the Russian economy". NBC News . Retrieved 16 March 2022.
  21. 1 2 3 "FACT SHEET: United States Bans Imports of Russian Oil, Liquefied Natural Gas, and Coal". The White House . 8 March 2022. Retrieved 16 March 2022.
  22. 1 2 Mufson, Steven; Steckelberg, Aaron; Van Dam, Andrew; Ahmed, Naema (8 March 2022). "Here's where Russian oil flows: The countries that import Russian crude and other petroleum products — and what it would take to turn off the spigot". The Washington Post . Archived from the original on 9 March 2022. Retrieved 16 March 2022.
  23. "Par Pacific's Kapolei refinery suspends Russian crude imports: Par Pacific Holdings has temporarily halted purchases and imports of Russian crude oil for subsidiary Par Hawaii Refining's Par East refinery—Hawaii's only—in Kapolei, on the island of Oahu, in response to Russian military action in Ukraine". Oil & Gas Journal . 4 March 2022. Retrieved 16 March 2022.
  24. Espinasse, Phillip (17 August 2021). "B. SKY OIl Tanker Docked in Honolulu Hawaii Harbor". PX (pixels.com). Retrieved 16 March 2022.
  25. "B.SKY, IMO 9381627 (Vanuatu flagged)". Baltic Shipping Company (balticshippingcompany.com). Retrieved 16 March 2022.
  26. Chambers, Sam (8 October 2018). "Hahn & Co completes SK Shipping takeover". Splash247.com. Retrieved 16 March 2022.
  27. "SK Shipping". SK Group (skshipping.com). 2018. Retrieved 16 March 2022.
  28. "Private equity and the pandemic: An interview with the CEO of Hahn & Company: Scott Sang-Won Hahn, CEO of the South Korean private-equity firm Hahn & Company, discusses forces at work in his country and how the dynamics unleashed by COVID-19 are an impetus for change". McKinsey Quarterly . 7 October 2020. Retrieved 16 March 2022.