Swiss petroleum refiner and marketer Petroplus Holdings has completed its purchase of the Petit Couronne and Reichstett Vendenheim refineries, located in France, from Societe des Petroles Shell, for approximately $785 million.
The Petit Couronne and the Reichstett Vendenheim refineries have a total nameplate capacity of 154,000 barrels per day and 85,000 barrels per day, respectively.
Inventory barrels included in the purchase were less than originally anticipated as a result of a processing agreement. For the remainder of 2008, Petroplus has entered into a processing agreement with Shell for approximately half of the Petit Couronne refinery’s total throughput.
In accordance with the processing agreement, Shell will provide certain crude oils and feedstocks, while Petroplus will provide Shell a slate of lube oil base stocks and other refined products.
Petroplus will also be paid a processing fee of approximately $5.50 per barrel. The major portions of the processing agreement will end on December 31, 2008, with certain lube oil processing arrangements to continue until 2011.
Robert Lavinia, CEO of Petroplus, said: Both the Petit Couronne and Reichstett refineries have been part of a world class organization for many years and we greatly anticipate their contribution into our expanding refining system.