Par Pacific Announces 2023 Capital Expenditure Guidance

Rhea-AI Summary

Par Pacific Holdings, Inc. (NYSE: PARR) announced its 2023 capital expenditure guidance of $60 million to $70 million, including $45 million for maintenance and regulatory spending, and $20 million for growth projects. No material turnaround outlays are anticipated during the year. The company is assessing a distillate hydrotreater renewable conversion project in Hawaii, with a final investment decision expected in Q1 2023. The guidance does not include expenditures for this project or the Billings acquisition, set to close in Q2 2023.

Positive

• 2023 capital expenditure guidance of $60-$70 million.
• $45 million allocated for maintenance, regulatory, and IT spend.
• $20 million earmarked for growth capital initiatives.
• No material turnaround outlays expected for 2023.
• Evaluation of a renewable conversion project indicates strategic growth.

Negative

• None.

HOUSTON, Dec. 21, 2022 (GLOBE NEWSWIRE) -- Par Pacific Holdings, Inc. (NYSE: PARR) (“Par Pacific”) today announced its 2023 capital expenditure guidance with a range of $60 million to $70 million. Capital expenditures include approximately $45 million of maintenance, regulatory, and IT spend and approximately $20 million of growth capital. No material turnaround outlays are expected during 2023.

Par Pacific continues to evaluate the Hawaii distillate hydrotreater renewable conversion and related feedstock pre-treatment project and expects to make final investment decision during the first quarter of 2023. Capital expenditure guidance excludes spend for these projects and the recently announced Billings acquisition which is expected to close in the second quarter of 2023.  

About Par Pacific

Par Pacific Holdings, Inc. (NYSE: PARR), headquartered in Houston, Texas, owns and operates market-leading energy, infrastructure, and retail businesses. Par Pacific’s strategy is to acquire and develop businesses in logistically complex, niche markets. Par Pacific owns and operates one of the largest energy networks in Hawaii with 94,000 bpd of operating refining capacity, a logistics system supplying the major islands of the state and 90 retail locations. In the Pacific Northwest and the Rockies, Par Pacific owns and operates 61,000 bpd of combined refining capacity, related multimodal logistics systems, and 31 retail locations. Par Pacific also owns 46% of Laramie Energy, LLC, a natural gas production company with operations and assets concentrated in Western Colorado. More information is available at www.parpacific.com.

For more information contact:
Ashimi Patel
Director, Investor Relations
(832) 916-3355
apatel@parpacific.com 

FAQ

What is Par Pacific's capital expenditure guidance for 2023?

Par Pacific's capital expenditure guidance for 2023 is between $60 million and $70 million.

How much of the capital expenditure is allocated for maintenance?

$45 million of the capital expenditure is allocated for maintenance, regulatory, and IT expenditures.

When will Par Pacific make a decision on the renewable conversion project?

A final investment decision on the renewable conversion project is expected in the first quarter of 2023.

What is excluded from Par Pacific's capital expenditure guidance?

The guidance excludes spending for the Hawaii renewable conversion project and the Billings acquisition, which is expected to close in the second quarter of 2023.