The deal comes after an explosion at the plant in February caused significant damage and injured four contractors.
PBF will pay $537.5 million for the 155,000 barrel-per-day refinery, together with a lubricants distribution center at Vernon, products terminals at Vernon and Atwood, and associated California pipelines and other logistics assets.
The refinery will be restored to full working order prior to completion of the deal. Subject to repairs and regulatory approval, the transaction is expected to close by mid-2016.
The sale of the Torrance refinery follows a strategic assessment of the site and how it fits with the company’s refining portfolio, said Jerry Wascom, president of ExxonMobil Refining & Supply Company.
“We remain committed to a large, global refining portfolio as part of our integrated business strategy. We will continue to make significant investments across the globe to strengthen our facilities which are often advantaged by scale and integration with chemicals and lubricant manufacturing,” Wascom added.
In June PBF agreed to purchase the Chalmette refinery in Louisiana, in which ExxonMobil holds 50 percent interest.
Including the latest acquisition, the company will increase its total throughput capacity to approximately 900,000 barrels per day.
“The Torrance Refinery acquisition is another significant step in the continued growth of PBF Energy and PBF Logistics. Coupled with the previously announced Chalmette acquisition, we will have increased our refining capacity by over 60 percent and added meaningful Gulf and West Coast assets to our refining system,” commented PBF’s CEO Tom Nimbley.