Sept 2 JPMorgan Chase & Co is in talks to sell its oil-supply agreement with a major Philadelphia refinery to Bank of America Corp, the Wall Street Journal reported Tuesday, citing people familiar with the matter.
Under JPMorgan's deal with Carlyle Group-owned Philadelphia Energy Solutions, the company supplies the refinery with crude oil and credit and receives refined fuel products that it can trade, the Journal said. (on.wsj.com/W84NRE)
According to the WSJ, discussions between the banks have been going on for a while and it is still possible they could fall apart.
The deal was supposed to be a part of JPMorgan's $3.5 billion sale of its physical commodities business to Swiss trading house Mercuria earlier this year.
However, sources told the WSJ that Philadelphia Energy refused to accept Mercuria as a partner in the arrangement, adding that Mercuria also was not interested in the business.
Both JPMorgan and Bank of America were unavailable for comment. (Reporting by Amrutha Penumudi in Bangalore; Editing by Bernard Orr)