The refinery the corporate is buying from Royal Dutch Shell’s Equilon Enterprises subsidiary is situated in Cell, Ala. Vertex Vitality will spend $75 million to acquire the refinery. The deal is ready to shut within the fourth quarter of 2021.
With this acquisition, the placement will grow to be VTNR’s main refinery. It will enable it to endure an $85 million conversion by the tip of 2022. That conversion is for the refinery’s hydrocracking unit.
In response to Vertex Vitality, it expects the refinery to generate a minimal of $3 billion in gross sales per 12 months. Along with that, it expects an annual gross revenue of $400 million beginning in 2023.
Vertex Vitality says that the refinery will enable it to generate 14,000 bpd of renewable diesel. This could end in it changing into one of many largest unbiased producers of renewable fuels within the southeastern United States.
Benjamin Cowart, president and CEO of Vertex Vitality, mentioned the next within the VTNR press releasing boosting inventory in the present day.
“We are going to purchase an distinctive refining and logistics asset of scale, one geared up with vital feedstock optionality, along with a high-value, distillate-weighted product slate. As a part of this transaction, Vertex will assume possession of greater than 3 million barrels of crude oil and product storage, along with different useful logistics property.”
VTNR inventory was up 126.9% as of Thursday morning and is up 430.3% because the begin of the 12 months.
There’s loads of different main inventory market information that buyers want to concentrate on in the present day.
Fortunately, we’ve acquired you lined with in-depth dives into the most well liked subjects on Thursday. That features the most recent on Zosano Pharma (NASDAQ:ZSAN), SOS (NYSE:SOS), and Ocugen (NASDAQ:OCGN). Be taught all about that on the hyperlinks beneath.
Extra Thursday Inventory Information
On the date of publication, William White didn’t have (both instantly or not directly) any positions within the securities talked about on this article. The opinions expressed on this article are these of the author, topic to the InvestorPlace.com Publishing Guidelines.
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