Shell completes sale of Washington Puget Sound refinery to HollyFrontier

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HOUSTON, November 1, 2021 / PRNewswire / – Equilon Enterprises LLC d / b / a Shell Oil Products US (Shell), a subsidiary of Royal Dutch Shell plc, has completed the sale of its Puget Sound refinery near Anacorts, Washington to a subsidiary of HollyFrontier Corporation, an independent refiner headquartered in Texas (HollyFrontier), for $ 350 million in cash plus the value of the hydrocarbon stock, subject to customary closing adjustments. The agreement covers the sale of the Shell refinery in Puget Sound, the on-site cogeneration facility and associated logistics infrastructure. Shell will retain the product off-take agreements to support its existing retail marketing activities in the Pacific Northwest. Shell’s off-site logistics assets are excluded from the sale.

Shell oil company logo. (PRNewsFoto / Shell Oil Company)

Notes to Editors

  • At May 4, 2021, Shell and HollyFrontier Corporation announcement that they had signed a sale agreement for HollyFrontier to acquire the Shell refinery in Puget Sound near Anacorts, Washington.

  • The value attributed to the hydrocarbon stock at closing was approximately $ 266 million.

  • Local employees providing dedicated support to the Shell refinery in Puget Sound have been offered employment with HollyFrontier.

  • Shell will maintain the Shell branded operations in the Pacific Northwest and has structured supply / take-off agreements with the new owner so that the Puget Sound refinery will continue to support Shell’s operations in the region.

  • As part of its Powering Progress strategy, Shell plans to consolidate the footprint of its refineries in five core energy and chemical farms. These locations will maximize the benefits of integrating the production of conventional fuels and chemicals while also offering new low-carbon fuels and performance chemicals. They also offer potential future sequestration hubs.

Warning
The companies in which Royal Dutch Shell plc directly and indirectly owns investments are separate legal entities. In this advertisement, “Shell”, “Shell Group” and “Group” are sometimes used for convenience when references are made to Royal Dutch Shell plc and its subsidiaries in general. Similarly, the words “we”, “our” and “our” are also used to designate Royal Dutch Shell plc and its subsidiaries in general or to those who work for them. These terms are also used when it is not useful to identify the particular entity or entities. “Subsidiaries”, “Subsidiaries of Shell” and “Shell companies” as used in this announcement refer to entities over which Royal Dutch Shell plc directly or indirectly holds control. Unincorporated entities and arrangements over which Shell exercises joint control are generally referred to as “joint ventures” and “joint operations”, respectively. Entities over which Shell exercises significant influence but without control or joint control are called “associates”. The term “Shell Interest” is used for convenience to denote the direct and / or indirect interest held by Shell in an unincorporated entity or partnership, after exclusion of any third party interest.

This announcement contains forward-looking statements (within the meaning of the United States Private Securities Litigation Reform Act of 1995) concerning the financial condition, results of operations and business of Royal Dutch Shell. All statements other than statements of historical fact are, or may be considered, forward-looking statements. Forward-looking statements are statements of future expectations that are based on management’s current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements include, among others, statements regarding the potential exposure of Royal Dutch Shell market risks and statements expressing management’s expectations, beliefs, estimates, forecasts, projections and assumptions. These forward-looking statements are identified by the use of terms and expressions such as “aim”, “ambition”, “anticipate”, “believe”, “could”, “estimate”, “expect”, “objectives” , “Intend to”, “may”, “objectives”, “outlook”, “plan”, “probably”, “project”, “risks”, “plan”, “seek”, “should”, ” target “,” will “and similar terms and expressions. There are a number of factors that could affect the future operations of Royal Dutch Shell and could cause these results to differ materially from those expressed in the forward-looking statements included in this announcement, including (without limitation): (a) fluctuations in the prices of crude oil and natural gas; (b) changes in demand for Shell products; (c) currency fluctuations; (d) drilling and production results; (e) reserve estimates; (f) loss of market share and competition in the industry; (g) environmental and physical risks; (h) the risks associated with identifying suitable properties and potential acquisition targets, and successfully negotiating and completing such transactions; (i) the risk of doing business in developing countries and countries subject to international sanctions; (j) legislative, fiscal and regulatory developments, including regulatory measures relating to climate change; (k) economic and financial market conditions in various countries and regions; (l) political risks, including risks of expropriation and renegotiation of the terms of contracts with government entities, delays or advances in project approval and delays in reimbursement of shared costs; (m) the risks associated with the impact of pandemics, such as the COVID-19 (coronavirus) epidemic; and (n) changes in trading conditions. No guarantee is given that future dividend payments will match or exceed previous dividend payments. All forward-looking statements contained in this announcement are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. Readers should not place undue reliance on forward-looking statements. Additional risk factors that may affect future results are contained in Royal Dutch Shell Form 20-F for the year ended December 31, 2020 (available at www.shell.com/investors and www.sec.gov). These risk factors also expressly qualify all forward-looking statements contained in this announcement and should be taken into account by the reader. Each forward-looking statement speaks only as of the date of such announcement, November 1, 2021. Neither Royal Dutch Shell plc nor any of its subsidiaries undertakes to publicly update or revise any forward-looking statement as a result of new information, future events or other information. In light of these risks, results could differ materially from those stated, implied or inferred from the forward-looking statements contained in this announcement.

LEI number of Royal Dutch Shell API: 21380068P1DRHMJ8KU70

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SOURCE Shell Oil Company


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