Marathon Petroleum Corp. announced it is in talks with undisclosed parties on a sale of the company’s refinery in Nikiski, Alaska, on the Kenai Peninsula.
The possible sale was disclosed in Marathon’s third quarter investor briefing earlier this month. Marathon’s management said it is "pursuing strategic alternatives for the Kenai refinery, which could include a sale."
With a crude oil capacity of 68,000 barrels per day, the refinery is a major supplier of gasoline in the state and a major supplier of jet fuel to Ted Stevens International Airport in Anchorage, one of world’s top refueling stops for international air cargo carriers on trans-Pacific flights.
Marathon Petroleum President and CEO Michael J. Hennigan told investors, "In this quarter we made progress strengthening our portfolio, continuing our low-cost focus and progressing our commitment to return capital to our shareholders."
Hennigan said Marathon has advanced several key initiatives while remaining committed to improving the aspects of the business within the company's control.
“We are pursuing a strategic transaction for the Kenai refinery, have added a new strategic partnership to progress our access to advantaged feedstocks across our renewables operations, achieved another project milestone for our Martinez renewable diesel conversion, and demonstrated the sustainability of our cost reduction initiatives," said Hennigan.
"We are challenging ourselves to lead in sustainable energy with an approach that spans the environmental, social and governance (ESG) dimensions of our operation," Hennigan added.
