5/16/2017 Sunoco Refinery to Stay Open in Philly | NBC 10 Philadelphia
Home News Weather InvestigatDEVELors OPING: EntertainmentPennsylvania Primary Results 72° Connect Local U.S. & World First 100 Days Montco News Sports Weird Health Business Breakfast Buzz Generation Addicted Growing Greater Philadelphia
Sunoco Re nery to Stay Open in Philly
The oldest and largest re nery on the East Coast will stay open thanks to a deal between Sunoco and the global asset manager The Carlyle Group. By Patrick Walters
TRENDING STORIES
VIDEO Primary Voters Pick 1 Candidates for Next District Attorney
Penn State Hazing Death: Tim Piazza’s 2 Girlfriend Speaks Out
Montgomery County News 3
VIDEO Strangers, Police Work to 4 Rescue Buried Driver The oldest refinery on the East Coast will stay open thanks to agreement between the Carlyle Group and Sunoco. The companies formed a venture called Forming Philadelphia Energy Solutions. (Published Monday, July 2, 2012) PHOTOS Crews Rescue Woman 5 Trapped by Dumped Stones on Car Roof Up Next
NBC10 First Alert Concerns in Wake of Students Injured in I- Primary Focus on DA WEATHER FORECAST Weather: NJ Plane Crash 95 Bus Crash Race Temperatures Rising Recovering Philadelphia, PA
° Few Clouds 72 Feels Like 72 ° The oldest and largest refinery on the East Coast will stay open thanks to a deal between Sunoco and the global asset manager The Carlyle Group, with the groups announcing Monday that they have agreed to terms on a joint venture at the facility. Radar Forecast Maps
The new venture also will make a substantial investment in the facility to help it import lowercost oil from North Dakota's Bakken formation, shift to refining a WHAT DO YOU THINK? higher proportion of ultralowsulfur diesel and use natural gas from the booming Do you consider dget spinners to be Marcellus Shale formation that lies below much of Pennsylvania, Carlyle officials toys? said. Yes
The Philadelphia refinery, which had struggled to make money as the price of No imported crude oil rose, was scheduled to close in August. In April, Sunoco announced that it had entered into ``exclusive discussions'' with Carlyle about a I don't know what this is
http://www.nbcphiladelphia.com/news/local/Sunoco-Refinery-to-Stay-Open-in-Philly--161134115.html 1/4 5/16/2017 Sunoco Refinery to Stay Open in Philly | NBC 10 Philadelphia
possible joint venture involving the 330,000barrelsperday facility, which has NEXT Home News Weather Investigators Entertainment 72° Connect Local U.S. &about 850 workers. World First 100 Days Montco News Sports Weird Health Business Breakfast Buzz Generation Addicted Growing Greater Philadelphia Privacy Policy
On Monday, the groups announced they had agreed to form Philadelphia Energy Solutions, a joint venture that will enable the facility to continue operating. In a statement, the companies said the agreement will save all of the current refining NEWSLETTERS jobs and create up to 200 more as the refinery is updated and expanded. The deal Receive the latest local updates in your inbox is expected to close in the third quarter. Financial terms weren't disclosed. Email Sign up
“This is the best possible outcome for everyone involved,” Brian P. MacDonald, Privacy policy | More Newsletters Sunoco's chairman and chief executive officer, said in a statement. “Existing jobs will be saved, new jobs will be created and new business opportunities will be given the chance to develop.”
Federal energy officials had warned that the refinery's closure lead to gas price spikes in some parts of the northeastern United States. Labor unions pushed to keep the facility open, and all levels of government got involved, from White House economic adviser Gene Sperling to Philadelphia Mayor Michael Nutter.
“This is a big fillintheblank deal,” said U.S. Rep. Bob Brady, DPa.
A key thrust of the new venture will be to improve refining efficiency, reduce waste and emissions and cut down on the reliance on more expensive foreign oil.
Carlyle Managing Director Rodney Cohen said the company planned $200 million worth of capital improvements and would bring in a new leadership team.
“We are going to explore a range of new energy and chemical businesses,” Cohen said on a conference call.
One challenge will be to expand the facility's connection to domestic oil and gas pipelines.
The plans include building a highspeed train unloading facility to bring in up to 140,000 barrels a day of domestic oil, particularly highquality, low sulfur crude from the Bakken, Carlyle officials said.
Carlyle said it also wants to expand the use of Marcellus Shale natural gas as a lowercost, loweremission fuel for its refinery while exploring the possibilities of producing natural gas liquids or other natural gas byproducts. A number of parties are looking at getting involved in transporting the gas to the refinery, Carlyle officials said.
Under terms of the agreement, Sunoco will contribute its refinery assets to the joint venture in exchange for a nonoperating minority interest. Carlyle will have the majority interest and oversee daytoday operations, officials said.
Gov. Tom Corbett lauded the announcement of the project, which is getting state support. A taxfree zone is possible for the site, while the state is offering up to $25 million in grants and the opportunity to issue taxexempt bonds, Corbett said.
Union leaders also praised the agreement. Members were scheduled to vote on a new contract later Monday.
“Not only will good paying manufacturing jobs be saved, but new ones will be created as this vital facility is improved and expanded,” United Steelworkers http://www.nbcphiladelphia.com/news/local/Sunoco-Refinery-to-Stay-Open-in-Philly--161134115.html 2/4 5/16/2017 Sunoco Refinery to Stay Open in Philly | NBC 10 Philadelphia president Leo Gerard said. Home News Weather Investigators Entertainment 72° Connect Local U.S. & W orld First 100 Days Montco News Sports Weird Health Business Breakfast Buzz Generation Addicted Growing Greater Philadelphia
Published at 5:35 PM EDT on Jul 2, 2012
Copyright Associated Press
YOU MAY LIKE Promoted Links by Taboola Kind Peanut Butter Dark Chocolate | goPuff $2.29 - gopuff.com
Here's Why Everyone's Obsessed With These Socks Cup of Jo for Bombas Socks
Why Everyone is Buying These $24 Yoga Pants Fabletics
Coast Guard Searching for Florida-Bound Plane That Went Missing Near the Bahamas
'Hangry' Passenger Orders Pizza Delivery to Stalled Amtrak Train
2 Dead After Plane That Departed from Philly International Crashes Near Teterboro Airport
MORE FROM NBC Teen Rammed to Death Identi ed as Chicago Of cer's Daughter Woman Charged With Murder After Chicago Teen Rammed Into Tree Timothy Piazza's Parents: Our Dying Son Was Treated Like 'Road Kill' Prosecutors Charge 6 Former MontCo Prison Guards Accused of Inmate Abuse Woman Dies in Pennsylvania High-Rise Blaze 2 Dead After Plane Crashes Into NJ Neighborhood Falling Tree Limb Kills Man at BBQ: Police Of cer OD's After Accidentally Ingesting Opioid Through Skin Police ID Boater Found Dead Along Delaware River KKK Fliers Found Outside Homes in Upper Dublin Township
by Taboola
Leave Comments
http://www.nbcphiladelphia.com/news/local/Sunoco-Refinery-to-Stay-Open-in-Philly--161134115.html 3/4 5/16/2017 Sunoco Refinery to Stay Open in Philly | NBC 10 Philadelphia
0 Comments Sort by Home News Weather Investigators Entertainment Oldest 72° Connect Local U.S. & World First 100 Days Montco News Sports Weird Health Business Breakfast Buzz Generation Addicted Growing Greater Philadelphia
Add a comment...
Facebook Comments Plugin
News FCC Independent Programming Report © 2017 NBCUniversal Media, LLC. All rights reserved. Weather FCC News and Information Programming Report AdChoices NBC Non-Pro t News Partnership Reports Investigations WCAU Public Inspection File Entertainment Employment Traf c 21st Century Solutions Contact Us Send Feedback Connect With Us Terms of service
Privacy policy
http://www.nbcphiladelphia.com/news/local/Sunoco-Refinery-to-Stay-Open-in-Philly--161134115.html 4/4