Phillips closes on Tosco acquisition

Petroleum News Alaska Staff

Phillips Petroleum Co. said Sept. 17 that it has closed on its acquisition of Tosco Corp. after receiving regulatory clearance from the U.S. Federal Trade Commission. Phillips said there were no requirements for divestiture of assets.

“We have combined two strong complementary companies into a significant refining and marketing competitor in the United States,” said Jim Mulva, Phillips’ chairman and chief executive officer. Mulva said the Tosco acquisition is part of the company’s strategic growth plan to position its four business lines to compete more effectively.

“Moving forward, our focus will be on integrating and developing synergies in our refining, marketing and transportation business, and further growing our worldwide exploration and production position,” he said.

Phillips now owns 10 U.S. refinery systems with a combined capacity of 1.7 million barrels per day and a 75,000 bpd refinery in Ireland.

“I am confident that we will realize efficiencies through this transaction,” Mulva said. “In fact, we expect to achieve or exceed synergies of $250 million in 2002.”