Pennsylvania-headquartered petroleum player Sunoco will sell its Toledo, Ohio, refinery to PBF Holding Company for $400 million (301.7 million).
The Toledo refinery employs about 600 people and can turn about 170,000 barrels a day of crude oil into petrol, diesel fuel, kerosene, propane, residual fuels and petrochemicals.
The acquisition, scheduled for completion in Q1 2011, would mark a further expansion of PBF's US refining portfolio at a time of struggle for the industry.
US refiners have been beset by reduced demand after the recent recession and excess production capacity built during the commodities burst of late 2008.
Sunoco will receive $200 million in cash and $200 million in a promissory note from PBF. In addition, the purchase agreement included a payment of up to $125 million based on the future profitability of the refinery.
Source: Dow Jones