Tesoro CEO: No interest in Valero refineries

By Erwin Seba

SAN ANTONIO (Reuters) - Independent U.S. refiner Tesoro Corp (TSO.N: Quote, Profile, Research, Stock Buzz) has no interest in buying any of the Valero Energy Corp (VLO.N: Quote, Profile, Research, Stock Buzz) refineries for sale, Tesoro Chairman and Chief Executive Bruce Smith said on Tuesday.

"We don't have any interest in any refineries out there," Smith said.

Economic run cuts continue at Tesoro refineries, which are located in the western United States, because of poor refining margins, Smith told reporters after the company's annual meeting.

"We're not running at maximum throughput at any of our refineries," he said.

Smith declined to reveal the amount of the production cuts at the seven refineries, which have a combined refining capacity of 660,000 barrels per day (bpd). He said that would be announced at a Wednesday morning conference call to discuss first-quarter earnings.

Sources had told Reuters that Tesoro was among the companies bidding on Valero's refineries in Memphis, Tennessee, and Krotz Springs, Louisiana.

Smith said Tesoro never had an interest in the Krotz Springs refinery and only looked at Memphis to get a look at the market.

The Memphis and Krotz Springs plants are among four Valero has up for sale.