POST Online Media Lite Edition


Husky Energy to buy $435 million Wisconsin refinery

Staff Writer |
Canadian integrated oil company Husky Energy said it is buying a refinery in the United States from Calumet Specialty Products Partners for $435 million in cash.

Article continues below

The refinery in Superior, Wisconsin, has capacity to process 50,000 barrels per day.

The deal, which also includes the refinery's associated logistics assets, will increase Husky's refining capacity to 395,000 bpd, the company said.

Husky produces primarily heavy oil from oil sands and conventional operations in western Canada and the deal will help it manage exposure to depressed global crude prices, which are hovering below $50 a barrel on concerns about a persistent supply glut CLc1.

"Acquiring the Superior Refinery will increase Husky’s downstream crude processing capacity, keeping value-added processing in lockstep with our growing production," said CEO Rob Peabody.

Husky currently produces around 320,000 bpd and aims to grow output to 400,000 bpd by 2021.

What to read next

Husky Energy to sell assets for $1.7 billion
Husky Energy sets capex at up to $2.7 billion
Wisconsin Energy to buy Integrys Energy Group