ugg canada Biggest US East Coast Oil Refinery Files for Bankruptcy
Bankruptcy Code. The purchases create an “unpredictable, escalating and unintended compliance burden” that amount to twice the cost of payroll and nearly 1 1/2 times capital expenditures, the company said.
Independent refiners generally lack the capacity and infrastructure to blend ethanol into their gasoline and must purchase RINs at prices artificially inflated due to hoarding by the largest oil companies and manipulation by the ethanol industry.
“Continued indifference by the administration and EPA will only drive more East Coast refineries into bankruptcy while thousands of good jobs that allow highly skilled workers to support their families and sustain their communities are at stake”. Bankruptcy Court in the District of Delaware. Assets sale could be subject to competing bids as well court approval, which PES is seeking by February 23. For term loan B, $486 million voted for it, including several funds of Credit Suisse Group AG and Halcyon Capital Management.
The company also writes that bankruptcy is part of the restructuring support agreement, which will give it access to 260 million United States dollars of new funding.
Formed in 2012 as a result of a partnership between Carlyle and Sunoco, PES drew government aid and was hailed by state, city and union leaders as it worked to save the plant, which faced shutdown due to dwindling margins. The company was able to ride the back of the USA shale boom, building a terminal to take in train cargoes of cheap oil from North Dakota that couldn’t be sold elsewhere.
The end of the USA crude export ban in late 2015 and the start of the Dakota Access pipeline previous year, among other things, have made the rail shipments less attractive and forced East Coast refiners to turn back to more expensive imports. PES expects the recapitalization process to be completed in the first quarter of this year.