March 19 The head of Valero Energy Corp
said on Monday his company is not pursuing a sale of its two
California refineries, putting an end to months of speculation
over whether the refining major was seeking buyers for the two
"No, we're not," Valero Chief Executive Bill Klesse said on
the sidelines of the American Fuel and Petrochemical
Manufacturers' conference in San Antonio, Texas.
"It didn't seem like the right thing for our shareholders,"
Klesse said, because "there aren't a lot of buyers." He also
said "there's not a lot of value."
Valero's 132,000 barrels-per-day (bpd) San Francisco-area
refinery in Benicia and 78,000 bpd Los-Angeles-area refinery in
Wilmington had been rumored to be up for sale in light of a 2006
California emissions law that could cost the company hundreds of
millions in upgrades.
Klesse had said during an earnings call in 2011 that "we're
looking at our options" for the two refineries. An October
report in The Wall Street Journal said Valero had hired
investment bank Citigroup to find buyers for the plants.
Speaking to reporters in San Antonio on Monday, Klesse made
clear no sales processes was in the works.
"There's nothing going on," he said.