Dallas-based HollyFrontier and Holly Energy Partners said Aug. 3 they are acquiring Sinclair Oil and Sinclair Transportation and forming a new downstream parent company, Dallas-based HF Sinclair Corp., in a transaction valued at $1.8 billion. HollyFrontier will acquire Sinclair’s branded marketing business and all commercial activities, renewable diesel business and two premier Rocky Mountain refineries. The deal also includes Sinclair’s integrated crude and refined products pipelines and terminal assets. Closing is expected in 2022.
The combined refining network will feature 7 refineries in Rocky Mountains, Mid Continent, Southwest and Pacific Northwest with combined crude oil processing capacity of 678,000 barrels per day. The HF Sinclair’s assets will include the existing Navajo refinery (100,000 b/d) in Artesia, N.M., and associated crude distillation and vacuum distillation units in Lovington, N.M., that serve markets in New Mexico, west Texas, Arizona and northern Mexico.