SUGAR LAND, Texas, Dec. 15, 2011 /PRNewswire/ -- CVR Energy, Inc.
(NYSE: CVI) today announced that it has completed its acquisition
of Gary-Williams Energy Corporation and its Wynnewood, Okla., refinery and related
assets.
(Logo: http://photos.prnewswire.com/prnh/20071203/CVRLOGO)
With 70,000 bpd in crude throughput capacity and a complexity
rating of 9.3, the Wynnewood
refinery provides an immediate and meaningful increase in the scale
and diversity of CVR Energy's refining operations. With this
acquisition, CVR Energy now has more than 185,000 bpd of processing
capacity at two locations in the attractive and historically
underserved PADD II, Group 3 region.
"This acquisition is accretive to our shareholders, provides the
company with diversity of cash flows, and creates an opportunity to
improve both Coffeyville and
Wynnewood earnings due to
anticipated synergies," said Chief Executive Officer Jack Lipinski. "Adding the Wynnewood
Refinery to our portfolio removes the single asset issue raised by
analysts and shareholders. This view is supported by Moody's
recent upgrading of the ratings on both the company and its
debt."
In connection with the transaction, CVR Energy said its
wholly-owned subsidiaries, Coffeyville Resources, LLC and
Coffeyville Finance Inc., have also completed an offering of
$200 million aggregate principal
amount of 9 percent first lien senior secured notes due 2015 to
partially fund the acquisition of Gary Williams Energy Corporation
and pay estimated fees and expenses. In addition, the
company increased the size of its ABL Credit Facility by
$150 million from $250 million to $400
million to support larger working capital demands associated
with operating the second refinery.
About CVR Energy, Inc.
Headquartered in Sugar Land,
Texas, CVR Energy, Inc.'s subsidiary and affiliated
businesses operate independent refining assets in Coffeyville, Kan. and Wynnewood, Okla. with more than 185,000
barrels per day of processing capacity, a marketing network for
supplying high value transportation fuels to customers through
tanker trucks and pipeline terminals, and a crude oil gathering
system serving central Kansas,
Oklahoma, western Missouri and southwest Nebraska. In
addition, CVR Energy subsidiaries own a majority interest in and
serve as the general partner of CVR Partners, LP, a producer of
ammonia and urea ammonium nitrate, or UAN, fertilizers.
For further information, please contact:
Investor Relations:
Jay Finks
CVR Energy, Inc.
281-207-3588
InvestorRelations@CVREnergy.com
Media Relations:
Steve Eames
CVR Energy, Inc.
281-207-3550
MediaRelations@CVREnergy.com
SOURCE CVR Energy, Inc.