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Friday, November 19, 2010 6:53:49 PM
The Agreement commences on the earlier of: (i) December 31, 2011 or (ii) the date when NuStar Marketing’s affiliate, NuStar Asphalt Refining, LLC (NuStar Asphalt), is able to process the heavy Peregrino crude oil in its refinery (the “Refinery”) located in Paulsboro, New Jersey (such date of commencement, the “Commencement Date”). The Agreement terminates on the earlier of 36 months from the Commencement Date or December 31, 2014.
The Agreement requires Statoil to supply and requires NuStar Marketing to purchase an average of 10,000 barrels per day of Peregrino crude oil (the “Base Volume”) to refine at the Refinery. Pricing of the Base Volume is benchmarked to the price of Mexican Maya crude oil. In addition, under the Agreement, NuStar Marketing will have the option, until December 31, 2010, to increase the Base Volume to an average 15,000 barrels per day.
This is not an offer to buy or sell securities or any kind of investment advice. Oil investment carries very high risks so consult a licensed professional making any decisions. My track record is real time @TurnKeyOil
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