Par Pacific Holdings (PARR), Mitsubishi and ENEOS agreed to establish Hawaii Renewables, a joint venture to produce renewable fuels from Par Pacific's refinery in Kapolei, Hawaii.
Mitsubishi and ENEOS will form Alohi Renewable Energy, which will buy a 36.5% stake in Hawaii Renewables for $100 million in cash, and Par Pacific will own the remaining interest and lead the project's execution and operations via its Par Hawaii Refining affiliate.
The facility for renewable fuels is under construction and expected to be operational by year-end, Par Pacific and the two Tokyo-based companies said Monday in a statement.
Hawaii Renewables is expected to produce about 61 million gallons a year of renewable diesel, sustainable aviation fuel, renewable naphtha and low carbon liquified petroleum gases.
The venture is subject to regulatory approvals.
The shares of Houston-based Par Pacific rose 2.5% in after-hours trading.
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