Alon USA Partners (ALDW) 10-Q 5 May 14 2014 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information Document	3 Months Ended
	Mar. 31, 2014	1-May-14
Document Information	'	'
Entity Registrant Name	'Alon USA Partners, LP	'
Entity Central Index Key	'0001556766	'
Current Fiscal Year End Date	'--12-31	'
Entity Filer Category	'Accelerated Filer	'
Document Type	'10-Q	'
Document Period End Date	31-Mar-14	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q1	'
Amendment Flag	'false	'
Entity Common Stock, Shares Outstanding	'	62,502,467

Consolidated_Balance_Sheets_un

Consolidated Balance Sheets (unaudited) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Current assets:	'	'
Cash and cash equivalents	$168,348	$153,583
Accounts and other receivables, net	136,379	123,781
Accounts and other receivables, net - related parties	15,776	14,621
Inventories	50,636	49,146
Prepaid expenses and other current assets	6,759	4,642
Total current assets	377,898	345,773
Property, plant and equipment, net	464,649	472,885
Other assets, net	42,048	31,266
Total assets	884,595	849,924
Current liabilities:	'	'
Accounts payable	288,128	280,774
Accrued liabilities	33,071	44,492
Current portion of long-term debt	2,500	2,500
Total current liabilities	323,699	327,766
Other non-current liabilities	43,131	34,894
Long-term debt	341,332	341,822
Total liabilities	708,162	704,482
Commitments and contingencies (Note 11)	'	'
Partners’ equity:	'	'
General Partner	0	0
Common unitholders - 62,502,467 units issued and outstanding at March 31, 2014 and December 31, 2013	176,433	145,442
Total partners’ equity	176,433	145,442
Total liabilities and partners’ equity	$884,595	$849,924

Consolidated_Balance_Sheets_Pa

Consolidated Balance Sheets Parentheticals	Mar. 31, 2014	Dec. 31, 2013
Common units, shares issued	62,502,467	62,502,467
Common units, shares outstanding	62,502,467	62,502,467

Consolidated_Statements_of_Ope

Consolidated Statements of Operations (unaudited) (USD $)	3 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Mar. 31, 2014		Mar. 31, 2013
Net sales (1)	$856,460	[1]	$804,167	[1]
Operating costs and expenses:	'		'
Cost of sales	759,046		650,203
Direct operating expenses	28,941		30,422
Selling, general and administrative expenses	4,368		7,665
Depreciation and amortization	10,067		12,064
Total operating costs and expenses	802,422		700,354
Operating income	54,038		103,813
Interest expense	-11,324		-9,392
Other income, net	12		4
Income before state income tax expense	42,726		94,425
State income tax expense	485		900
Net income	$42,241		$93,525
Earnings per unit	$0.68		$1.50
Weighted average common units outstanding (in thousands)	62,502		62,501
Cash distribution per unit	$0.18		$0.57
[1]	Includes sales to related parties of $139,013 and $141,899 for the three months ended March 31, 2014 and 2013, respectively.

Consolidated_Statements_of_Ope1

Consolidated Statements of Operations Parentheticals (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Statements of Operations Parentheticals [Abstract]	'	'
Sales to related parties	$139,013	$141,899

Consolidated_Statements_of_Cas

Consolidated Statements of Cash Flows (unaudited) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Cash flows from operating activities:	'	'
Net income	$42,241	$93,525
Adjustments to reconcile net income to cash provided by operating activities:	'	'
Depreciation and amortization	10,067	12,064
Amortization of debt issuance costs	506	498
Amortization of original issuance discount	135	124
Changes in operating assets and liabilities:	'	'
Accounts and other receivables, net	-12,598	-2,506
Accounts and other receivables, net - related parties	-1,155	-3,140
Inventories	-1,490	5,179
Prepaid expenses and other current assets	-2,117	3,319
Other assets, net	-239	1,060
Accounts payable	11,364	60,439
Accrued liabilities	-9,684	-5,682
Other non-current liabilities	8,237	1,766
Net cash provided by operating activities	45,267	166,646
Cash flows from investing activities:	'	'
Capital expenditures	-4,162	-2,941
Capital expenditures for turnarounds and catalysts	-14,465	-3,778
Net cash used in investing activities	-18,627	-6,719
Cash flows from financing activities:	'	'
Distributions paid to unitholders	-2,070	-6,556
Distributions paid to unitholders - Alon Energy	-9,180	-29,070
Deferred debt issuance costs	0	-205
Revolving credit facility, net	0	1,000
Payments on long-term debt	-625	-625
Net cash used in financing activities	-11,875	-35,456
Net increase in cash and cash equivalents	14,765	124,471
Cash and cash equivalents, beginning of period	153,583	66,001
Cash and cash equivalents, end of period	168,348	190,472
Supplemental cash flow information:	'	'
Cash paid for interest, net of capitalized interest	12,097	9,487
Cash paid for income tax	$485	$900

Basis_of_Presentation

Basis of Presentation	3 Months Ended
	Mar. 31, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'
Basis of Presentation	'
	Basis of Presentation
	As used in this report, the terms “Alon,” the “Partnership,” “we,” “us” or “our” refer to Alon USA Partners, LP, one or more of its consolidated subsidiaries or all of them taken as a whole. References in this report to “Alon Energy” refer collectively to Alon USA Energy, Inc. and any of its subsidiaries, other than Alon USA Partners, LP, its subsidiaries and its general partner.
	Alon is a Delaware limited partnership formed in August 2012 by Alon Energy and its wholly-owned subsidiary Alon USA Partners GP, LLC (the “General Partner”). On November 26, 2012, we completed our initial public offering of 11,500,000 common units representing limited partner interests.
	These consolidated financial statements and notes are unaudited and have been prepared in accordance with United States generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X of the Securities Exchange Act of 1934. Accordingly, they do not include all of the information and notes required by GAAP for complete consolidated financial statements.
	In the opinion of the General Partner’s management, the information included in these consolidated financial statements reflects all adjustments, consisting of normal and recurring adjustments, which are necessary for a fair presentation of our consolidated financial position and results of operations for the interim periods presented. All significant intercompany balances and transactions have been eliminated in consolidation. Certain prior year balances may have been aggregated or disaggregated in order to conform to the current year presentation. The results of operations for the interim periods are not necessarily indicative of the operating results that may be obtained for the year ending December 31, 2014.
	The consolidated balance sheet as of December 31, 2013 has been derived from the audited financial statements as of that date. These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2013.

Fair_Value

Fair Value	3 Months Ended
	Mar. 31, 2014
Fair Value Disclosures [Abstract]	'
Fair Value Disclosures	'
	Fair Value
	We determine fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. We classify financial assets and financial liabilities into the following fair value hierarchy:
	•	Level 1 -     valued based on quoted prices in active markets for identical assets and liabilities;
	•	Level 2 -     valued based on quoted prices for similar assets and liabilities in active markets, and inputs other than quoted prices that are observable for the asset or liability; and
	•	Level 3 -     valued based on unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.
	As required, we utilize valuation techniques that maximize the use of observable inputs (levels 1 and 2) and minimize the use of unobservable inputs (level 3) within the fair value hierarchy. We generally apply the “market approach” to determine fair value. This method uses pricing and other information generated by market transactions for identical or comparable assets and liabilities. Assets and liabilities are classified within the fair value hierarchy based on the lowest level (least observable) input that is significant to the measurement in its entirety.
	The carrying amounts of our cash and cash equivalents, receivables, payables and accrued liabilities approximate fair value due to the short-term maturities of these assets and liabilities. The reported amounts of long-term debt approximate fair value. Derivative instruments are carried at fair value, which are based on quoted market prices. Derivative instruments and the Renewable Identification Numbers (“RINs”) obligation are our only assets and liabilities measured at fair value on a recurring basis.
	The RINs obligation represents the period-end deficit for the purchase of RINs necessary to satisfy the requirement to blend biofuels into the products we have produced. Our RINs obligation is based on the RINs deficit and the price of those RINs as of the balance sheet date. The RINs obligation is categorized as level 2 of the fair value hierarchy and is measured at fair value using the market approach based on quoted prices from an independent pricing service.
	The following table sets forth the assets and liabilities measured at fair value on a recurring basis, by input level, in the consolidated balance sheets at March 31, 2014 and December 31, 2013:
		Level 1		Level 2		Level 3		Total
	As of March 31, 2014
	Liabilities:
	Commodity contracts (futures and forwards)	$	813	$	—	$	—	$	813
	Fair value hedge	—		3,127		—		3,127
	As of December 31, 2013
	Assets:
	Commodity contracts (futures and forwards)	$	22	$	—	$	—	$	22
	Liabilities:
	Fair value hedge	—		2,304		—		2,304
	RINs obligation	—		334		—		334

Derivative_Financial_Instrumen

Derivative Financial Instruments	3 Months Ended
	Mar. 31, 2014
Derivative Instruments and Hedging Activities Disclosure [Abstract]	'
Derivative Instruments and Hedging Activities Disclosure	'
	Derivative Financial Instruments
	Mark to Market
	Commodity Derivatives. We selectively utilize crude oil and refined product commodity derivative contracts to reduce the risk associated with potential price changes on committed obligations. We do not speculate using derivative instruments. Credit risk on our derivative instruments is mitigated by transacting with counterparties meeting established collateral and credit criteria.
	Fair Value Hedge
	Fair value hedges are used to hedge price volatility of certain refining inventories and firm commitments to purchase inventories. The gain or loss on a derivative instrument designated and qualifying as a fair value hedge, as well as the offsetting gain or loss on the hedged item attributable to the hedged risk, is recognized in earnings in the same period.
	As of March 31, 2014, we have accounted for certain commodity contracts as fair value hedges with contract purchase volumes of 312 thousand barrels of crude oil with remaining contract terms through May 2019.
	The following table presents the effect of derivative instruments on the consolidated statements of financial position:
		As of March 31, 2014
		Asset Derivatives						Liability Derivatives
		Balance Sheet						Balance Sheet
		Location		Fair Value				Location		Fair Value
	Derivatives not designated as hedging instruments:
	Commodity contracts (futures and forwards)			$	—			Accrued liabilities		$	813
	Total derivatives not designated as hedging instruments			$	—					$	813
	Derivatives designated as hedging instruments:
	Fair value hedge			$	—			Other non-current liabilities		$	3,127
	Total derivatives designated as hedging instruments			—						3,127
	Total derivatives			$	—					$	3,940
		As of December 31, 2013
		Asset Derivatives						Liability Derivatives
		Balance Sheet						Balance Sheet
		Location		Fair Value				Location		Fair Value
	Derivatives not designated as hedging instruments:
	Commodity contracts (futures and forwards)	Accounts receivable		$	303			Accrued liabilities		$	281
	Total derivatives not designated as hedging instruments			$	303					$	281
	Derivatives designated as hedging instruments:
	Fair value hedge			$	—			Other non-current liabilities		$	2,304
	Total derivatives designated as hedging instruments			—						2,304
	Total derivatives			$	303					$	2,585
	The following tables present the effect of derivative instruments on the consolidated statements of operations:
	Derivatives in fair value hedging relationships:
				Gain (Loss) Recognized in Income
				For the Three Months Ended
				March 31,
		Location		2014				2013
	Fair value hedge	Cost of sales		$	(823	)		$	(1,594	)
	Total derivatives			$	(823	)		$	(1,594	)
	Derivatives not designated as hedging instruments:
				Gain (Loss) Recognized in Income
				For the Three Months Ended
				March 31,
		Location		2014				2013
	Commodity contracts (futures & forwards)	Cost of sales		$	623			$	7,651
	Total derivatives			$	623			$	7,651
	Offsetting Assets and Liabilities
	Our derivative financial instruments are subject to master netting arrangements to manage counterparty credit risk associated with derivatives and we offset the fair value amounts recorded for derivative instruments to the extent possible under these agreements on our consolidated balance sheets.
	The following table presents offsetting information regarding our derivatives by type of transaction as of March 31, 2014 and December 31, 2013:
		Gross Amounts of Recognized Assets/Liabilities				Gross Amounts offset in the Statement of Financial Position				Net Amounts of Assets/Liabilities Presented in the Statement of Financial Position		Gross Amounts Not offset in the Statement of Financial Position					Net Amount
												Financial Instruments			Cash Collateral Pledged
	As of March 31, 2014
	Commodity Derivative Assets:
	Futures & forwards	$	43			$	(43	)		$	—	$	—		$	—	$	—
	Commodity Derivative Liabilities:
	Futures & forwards	$	856			$	(43	)		$	813	$	—		$	—	$	813
	Fair value hedge	3,127				—				3,127		—			—		3,127
	As of December 31, 2013
	Commodity Derivative Assets:
	Futures & forwards	$	514			$	(211	)		$	303	$	(281	)	$	—	$	22
	Commodity Derivative Liabilities:
	Futures & forwards	$	492			$	(211	)		$	281	$	(281	)	$	—	$	—
	Fair value hedge	2,304				—				2,304		—			—		2,304
	Compliance Program Market Risk
	We are obligated by government regulations to blend a certain percentage of biofuels into the products we produce that are consumed in the U.S. We purchase biofuels from third parties and blend those biofuels into our products, and each gallon of biofuel purchased includes a RIN. To the degree we are unable to blend biofuels at the required percentage, a RINs deficit is generated and we must acquire that number of RINs by the annual reporting deadline in order to remain in compliance with applicable regulations.
We are exposed to market risk related to the volatility in the price of credits needed to comply with these government regulations. We manage this risk by purchasing RINs when prices are deemed favorable utilizing fixed price purchase contracts. Some of these contracts are derivative instruments; however, we elect the normal purchase and sale exception and do not record these contracts at their fair values.
The cost of meeting our obligations under these compliance programs was $2,926 for the three months ended March 31, 2014. This amount is reflected in cost of sales. For the three months ended March 31, 2013, we utilized carryover RINs from 2012 to completely offset our RINs deficit.

Inventories

Inventories	3 Months Ended
	Mar. 31, 2014
Inventory Disclosure [Abstract]	'
Inventory Disclosure	'
	Inventories
	Our inventories (including inventory consigned to others) are stated at the lower of cost or market. Cost is determined under the last-in, first-out (LIFO) method for crude oil, refined products and blendstock inventories. Materials and supplies are stated at average cost.
	Carrying value of inventories consisted of the following:
		March 31,		December 31,
		2014		2013
	Crude oil, refined products and blendstocks	$	21,202	$	25,246
	Crude oil inventory consigned to others	20,063		14,214
	Materials and supplies	9,371		9,686
	Total inventories	$	50,636	$	49,146
	Market values of crude oil, refined products and blendstock inventories exceeded LIFO costs by $25,979 and $21,216 at March 31, 2014 and December 31, 2013, respectively.

Inventory_Financing_Agreement

Inventory Financing Agreement	3 Months Ended
	Mar. 31, 2014
Inventory Financing Agreement Disclosure [Abstract]	'
Inventory Financing Agreement	'
	Inventory Financing Agreement
	The Partnership has entered into a Supply and Offtake Agreement and other associated agreements (together the “Supply and Offtake Agreement”) with J. Aron & Company (“J. Aron”). Pursuant to the Supply and Offtake Agreement, (i) J. Aron agreed to sell to us, and we agreed to buy from J. Aron, at market prices, crude oil for processing at the Big Spring refinery and (ii) we agreed to sell to J. Aron, and J. Aron agreed to buy from us, at market prices, certain refined products produced at the Big Spring refinery.
	The Supply and Offtake Agreement also provided for the sale, at market prices, of our crude oil and certain refined product inventories to J. Aron, the lease to J. Aron of crude oil and refined product storage facilities, and to identify prospective purchasers of refined products on J. Aron’s behalf. The Supply and Offtake Agreement has an initial term that expires in May 2019. J. Aron may elect to terminate the Supply and Offtake Agreement prior to the expiration of the initial term beginning in May 2016 and upon each anniversary thereof, on six months prior notice. We may elect to terminate in May 2018 on six months prior notice.
	Following expiration or termination of the Supply and Offtake Agreement, we are obligated to purchase the crude oil and refined product inventories then owned by J. Aron and located at the Big Spring refinery.
	At March 31, 2014 and December 31, 2013, we had net current receivables of $15,094 and $11,640, respectively, from J. Aron for sales and purchases, non-current liabilities related to the original financing of $32,697 and $24,482, respectively, and a consignment inventory receivable representing a deposit paid to J. Aron of $6,290 and $6,290, respectively.
	Additionally, we had current payables of $628 and $263 at March 31, 2014 and December 31, 2013, respectively, for forward commitments related to month-end consignment inventory target levels differing from projected levels and the associated pricing with these inventory level differences.

Property_Plant_and_Equipment_N

Property, Plant and Equipment, Net	3 Months Ended
	Mar. 31, 2014
Property, Plant and Equipment, Net [Abstract]	'
Property, Plant and Equipment, Net	'
	Property, Plant and Equipment, Net
	Property, plant and equipment, net consisted of the following:
		March 31,			December 31,
		2014			2013
	Refining facilities	$	677,531		$	677,085
	Accumulated depreciation	(212,882		)	(204,200		)
	Property, plant and equipment, net	$	464,649		$	472,885

Additional_Financial_Informati

Additional Financial Information	3 Months Ended
	Mar. 31, 2014
Additional Financial Information [Abstract]	'
Additional Financial Information	'
	Additional Financial Information
	The tables that follow provide additional financial information related to the consolidated financial statements.
	(a)	Other Assets, Net
		March 31,		December 31,
		2014		2013
	Deferred debt issuance costs	$	7,276	$	7,782
	Receivable from supply agreement	6,290		6,290
	Deferred turnaround and catalyst cost	19,384		7,774
	Other	9,098		9,420
	Total other assets	$	42,048	$	31,266
	(b)	Accrued Liabilities and Other Non-Current Liabilities
		March 31,		December 31,
		2014		2013
	Accrued Liabilities:
	Taxes other than income taxes, primarily excise taxes	$	23,880	$	30,354
	Accrued finance charges	870		1,365
	Environmental accrual (Note 11)	1,307		1,307
	Commodity contracts	813		281
	Other	6,201		11,185
	Total accrued liabilities	$	33,071	$	44,492
	Other Non-Current Liabilities:
	Consignment inventory obligation	$	32,697	$	24,482
	Environmental accrual (Note 11)	5,640		5,640
	Asset retirement obligations	1,995		1,973
	Other	2,799		2,799
	Total other non-current liabilities	$	43,131	$	34,894

Indebtedness

Indebtedness	3 Months Ended
	Mar. 31, 2014
Debt Disclosure [Abstract]	'
Debt Disclosure	'
	Indebtedness
	Debt consisted of the following:
		March 31,		December 31,
		2014		2013
	Term loan credit facility	$	243,832	$	244,322
	Revolving credit facility	100,000		100,000
	Total debt	343,832		344,322
	Less: Current portion	2,500		2,500
	Total long-term debt	$	341,332	$	341,822
	Outstanding letters of credit under the revolving credit facility were $103,363 and $109,772 at March 31, 2014 and December 31, 2013, respectively.
	Our revolving credit facility contains certain restrictive covenants, including maintenance financial covenants. At March 31, 2014, we were in compliance with these covenants.

Partners_Equity

Partners' Equity	3 Months Ended
	Mar. 31, 2014
Partners' Capital [Abstract]	'
Partners' Capital Notes Disclosure	'
	Partners' Equity (unit values in dollars)
	Cash Distributions
	We have adopted a policy pursuant to which we will distribute all of the available cash generated each quarter, as defined in the partnership agreement and subject to the approval of the board of directors of the General Partner. The per unit amount of available cash to be distributed each quarter, if any, will be distributed within 60 days following the end of such quarter.
	During the three months ended March 31, 2014, we paid cash distributions of $11,250, or $0.18 per unit. During the three months ended March 31, 2013, we paid cash distributions of $35,626, or $0.57 per unit.

RelatedParty_Transactions

Related-Party Transactions	3 Months Ended
	Mar. 31, 2014
Related Party Transactions [Abstract]	'
Related Party Transactions	'
	Related-Party Transactions
	Sales and Receivables
	Sales to related parties include motor fuels and asphalt sold to other Alon Energy subsidiaries at prices substantially determined by reference to market commodity pricing information. These sales are included in net sales in the consolidated statements of operations. Accounts receivable from related parties include sales of motor fuels and are shown separately on the consolidated balance sheets.
	Costs Allocated from Alon Energy
	(a)	Corporate Overhead Allocations
	The Partnership is a subsidiary of Alon Energy and is operated as a component of the integrated operations of Alon Energy. As such, the executive officers of Alon Energy, who are employed by another subsidiary of Alon Energy, also serve as executive officers of the General Partner and Alon Energy’s other subsidiaries. Alon Energy performs general corporate and administrative services and functions for us and their other subsidiaries, which include accounting, treasury, cash management, tax, information technology, insurance administration and claims processing, legal, environmental, risk management, audit, payroll and employee benefit processing and internal audit services. Alon Energy allocates the expenses actually incurred in performing these services to the Partnership based primarily on the estimated amount of time the individuals performing such services devote to our business and affairs relative to the amount of time they devote to the business and affairs of Alon Energy’s other subsidiaries. The management of Alon Energy and the General Partner consider these allocations to be reasonable. We record the amount of such allocations to our consolidated financial statements as selling, general and administrative expenses. Our allocation for selling, general and administrative expenses was $2,743 and $2,915 for the three months ended March 31, 2014 and 2013, respectively.
	(b)	Labor Costs
	We have no employees and, as a result, actual employee expense costs for Alon Energy employees working in our operations have been allocated and recorded as payroll expense and included in direct operating expenses within the consolidated statements of operations. Our share of Alon Energy’s employee expense costs included in direct operating expenses were $6,615 and $6,308 for the three months ended March 31, 2014 and 2013, respectively.
	(c)	Insurance Costs
	Insurance costs related to the Big Spring refinery and wholesale marketing operations are allocated to us by Alon Energy based on estimated insurance premiums on a stand-alone basis relative to Alon Energy’s total insurance premium. Our allocation for insurance costs included in direct operating expenses was $1,818 and $2,604 for the three months ended March 31, 2014 and 2013, respectively.
	Distributions
	In March 2014, we paid a cash distribution of $11,250, of which $9,180 was paid to Alon Energy. In March 2013, we paid a cash distribution of $35,626, of which $29,070 was paid to Alon Energy.

Commitments_and_Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2014
Commitments and Contingencies Disclosure [Abstract]	'
Commitments and Contingencies Disclosure	'
	Commitments and Contingencies
	(a)	Commitments
	In the normal course of business, we have long-term commitments to purchase, at market prices, utilities such as natural gas, electricity and water for use by our refinery, terminals and pipelines. We are also party to various refined product and crude oil supply and exchange agreements. These agreements are typically short-term in nature or provide terms for cancellation.
	(b)	Contingencies
	The Partnership is involved in various legal actions arising in the ordinary course of business. We believe the ultimate disposition of these matters will not have a material effect on our financial position, results of operations or liquidity.
	(c)	Environmental
	We are subject to loss contingencies pursuant to federal, state, and local environmental laws and regulations. These laws and regulations govern the discharge of materials into the environment and may require us to incur future obligations to investigate the effects of the release or disposal of certain petroleum, chemical, and mineral substances at various sites; to remediate or restore these sites and to compensate others for damage to property and natural resources. These contingent obligations relate to sites owned by the Partnership and are associated with past or present operations. We are currently participating in environmental investigations, assessments and cleanups pertaining to the refinery, pipelines and terminals. We may be involved in additional future environmental investigations, assessments and cleanups. The magnitude of future costs are unknown and will depend on factors such as the nature and contamination at many sites, the timing, extent and method of the remedial actions which may be required, and the determination of our liability in proportion to other responsible parties.
	Environmental expenditures are expensed or capitalized depending on their future economic benefit. Expenditures that relate to an existing condition caused by past operations and that have no future economic benefit are expensed. Liabilities for expenditures of a non-capital nature are recorded when environmental assessment and/or remediation is probable, and the costs can be reasonably estimated. Substantially all amounts accrued are expected to be paid out over the next 15 years. The level of future expenditures for environmental remediation obligations is impossible to determine with any degree of reliability.
	We accrued environmental remediation obligations of $6,947 ($1,307 accrued liability and $5,640 non-current liability) at March 31, 2014 and December 31, 2013.

Subsequent_Event

Subsequent Event	3 Months Ended
	Mar. 31, 2014
Subsequent Event	'
Subsequent Event	'
	Subsequent Event
	Distribution Declared
	On May 1, 2014, the board of directors of the General Partner declared a cash distribution to our common unitholders of approximately $43,125, or $0.69 per common unit. The cash distribution will be paid on May 21, 2014 to unitholders of record at the close of business on May 14, 2014.

Fair_Value_Tables

Fair Value (Tables)	3 Months Ended
	Mar. 31, 2014
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Abstract]	'
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis	'
	The following table sets forth the assets and liabilities measured at fair value on a recurring basis, by input level, in the consolidated balance sheets at March 31, 2014 and December 31, 2013:
		Level 1		Level 2		Level 3		Total
	As of March 31, 2014
	Liabilities:
	Commodity contracts (futures and forwards)	$	813	$	—	$	—	$	813
	Fair value hedge	—		3,127		—		3,127
	As of December 31, 2013
	Assets:
	Commodity contracts (futures and forwards)	$	22	$	—	$	—	$	22
	Liabilities:
	Fair value hedge	—		2,304		—		2,304
	RINs obligation	—		334		—		334

Derivative_Financial_Instrumen1

Derivative Financial Instruments (Tables)	3 Months Ended
	Mar. 31, 2014
Derivative Instruments and Hedging Activities Disclosure [Abstract]	'
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value	'
	The following table presents the effect of derivative instruments on the consolidated statements of financial position:
		As of March 31, 2014
		Asset Derivatives						Liability Derivatives
		Balance Sheet						Balance Sheet
		Location		Fair Value				Location		Fair Value
	Derivatives not designated as hedging instruments:
	Commodity contracts (futures and forwards)			$	—			Accrued liabilities		$	813
	Total derivatives not designated as hedging instruments			$	—					$	813
	Derivatives designated as hedging instruments:
	Fair value hedge			$	—			Other non-current liabilities		$	3,127
	Total derivatives designated as hedging instruments			—						3,127
	Total derivatives			$	—					$	3,940
		As of December 31, 2013
		Asset Derivatives						Liability Derivatives
		Balance Sheet						Balance Sheet
		Location		Fair Value				Location		Fair Value
	Derivatives not designated as hedging instruments:
	Commodity contracts (futures and forwards)	Accounts receivable		$	303			Accrued liabilities		$	281
	Total derivatives not designated as hedging instruments			$	303					$	281
	Derivatives designated as hedging instruments:
	Fair value hedge			$	—			Other non-current liabilities		$	2,304
	Total derivatives designated as hedging instruments			—						2,304
	Total derivatives			$	303					$	2,585
Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location	'
	Derivatives in fair value hedging relationships:
				Gain (Loss) Recognized in Income
				For the Three Months Ended
				March 31,
		Location		2014				2013
	Fair value hedge	Cost of sales		$	(823	)		$	(1,594	)
	Total derivatives			$	(823	)		$	(1,594	)
Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance	'
	Derivatives not designated as hedging instruments:
				Gain (Loss) Recognized in Income
				For the Three Months Ended
				March 31,
		Location		2014				2013
	Commodity contracts (futures & forwards)	Cost of sales		$	623			$	7,651
	Total derivatives			$	623			$	7,651
Summary of Offsetting Derivative Instruments by Type	'
	The following table presents offsetting information regarding our derivatives by type of transaction as of March 31, 2014 and December 31, 2013:
		Gross Amounts of Recognized Assets/Liabilities				Gross Amounts offset in the Statement of Financial Position				Net Amounts of Assets/Liabilities Presented in the Statement of Financial Position		Gross Amounts Not offset in the Statement of Financial Position					Net Amount
												Financial Instruments			Cash Collateral Pledged
	As of March 31, 2014
	Commodity Derivative Assets:
	Futures & forwards	$	43			$	(43	)		$	—	$	—		$	—	$	—
	Commodity Derivative Liabilities:
	Futures & forwards	$	856			$	(43	)		$	813	$	—		$	—	$	813
	Fair value hedge	3,127				—				3,127		—			—		3,127
	As of December 31, 2013
	Commodity Derivative Assets:
	Futures & forwards	$	514			$	(211	)		$	303	$	(281	)	$	—	$	22
	Commodity Derivative Liabilities:
	Futures & forwards	$	492			$	(211	)		$	281	$	(281	)	$	—	$	—
	Fair value hedge	2,304				—				2,304		—			—		2,304

Inventories_Tables

Inventories (Tables)	3 Months Ended
	Mar. 31, 2014
Inventory Disclosure [Abstract]	'
Schedule of Inventory	'
	Carrying value of inventories consisted of the following:
		March 31,		December 31,
		2014		2013
	Crude oil, refined products and blendstocks	$	21,202	$	25,246
	Crude oil inventory consigned to others	20,063		14,214
	Materials and supplies	9,371		9,686
	Total inventories	$	50,636	$	49,146

Property_Plant_and_Equipment_N1

Property, Plant and Equipment, Net (Tables)	3 Months Ended
	Mar. 31, 2014
Property, Plant and Equipment, Net [Abstract]	'
Property, Plant and Equipment, Net	'
	Property, plant and equipment, net consisted of the following:
		March 31,			December 31,
		2014			2013
	Refining facilities	$	677,531		$	677,085
	Accumulated depreciation	(212,882		)	(204,200		)
	Property, plant and equipment, net	$	464,649		$	472,885

Additional_Financial_Informati1

Additional Financial Information (Tables)	3 Months Ended
	Mar. 31, 2014
Additional Financial Information [Abstract]	'
Schedule of Other Assets	'
	Other Assets, Net
		March 31,		December 31,
		2014		2013
	Deferred debt issuance costs	$	7,276	$	7,782
	Receivable from supply agreement	6,290		6,290
	Deferred turnaround and catalyst cost	19,384		7,774
	Other	9,098		9,420
	Total other assets	$	42,048	$	31,266
Schedule of Accrued Liabilities and Other Non-Current Liabilities	'
	Accrued Liabilities and Other Non-Current Liabilities
		March 31,		December 31,
		2014		2013
	Accrued Liabilities:
	Taxes other than income taxes, primarily excise taxes	$	23,880	$	30,354
	Accrued finance charges	870		1,365
	Environmental accrual (Note 11)	1,307		1,307
	Commodity contracts	813		281
	Other	6,201		11,185
	Total accrued liabilities	$	33,071	$	44,492
	Other Non-Current Liabilities:
	Consignment inventory obligation	$	32,697	$	24,482
	Environmental accrual (Note 11)	5,640		5,640
	Asset retirement obligations	1,995		1,973
	Other	2,799		2,799
	Total other non-current liabilities	$	43,131	$	34,894

Indebtedness_Tables

Indebtedness (Tables)	3 Months Ended
	Mar. 31, 2014
Debt Disclosure [Abstract]	'
Schedule of Long-term Debt Instruments	'
	Debt consisted of the following:
		March 31,		December 31,
		2014		2013
	Term loan credit facility	$	243,832	$	244,322
	Revolving credit facility	100,000		100,000
	Total debt	343,832		344,322
	Less: Current portion	2,500		2,500
	Total long-term debt	$	341,332	$	341,822

Description_of_Initial_Public_

Description of Initial Public Offering (Details) (Partner Type of Partners' Capital, Non-Affiliated)	0 Months Ended
	Nov. 26, 2012
Partner Type of Partners' Capital, Non-Affiliated	'
Partners' Capital Account, Units, Sold in Public Offering	11,500,000

Fair_Value_Details

Fair Value (Details) (Fair Value, Measurements, Recurring, USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Liabilities:	'	'
RINs obligation	'	$334
Commodity contracts (futures and forwards)	'	'
Assets:	'	'
Derivative Assets	'	22
Liabilities:	'	'
Derivative Liabilities	813	'
Fair value hedge	'	'
Liabilities:	'	'
Derivative Liabilities	3,127	2,304
Level 1	'	'
Liabilities:	'	'
RINs obligation	'	0
Level 1 | Commodity contracts (futures and forwards)	'	'
Assets:	'	'
Derivative Assets	'	22
Liabilities:	'	'
Derivative Liabilities	813	'
Level 1 | Fair value hedge	'	'
Liabilities:	'	'
Derivative Liabilities	0	0
Level 2	'	'
Liabilities:	'	'
RINs obligation	'	334
Level 2 | Commodity contracts (futures and forwards)	'	'
Assets:	'	'
Derivative Assets	'	0
Liabilities:	'	'
Derivative Liabilities	0	'
Level 2 | Fair value hedge	'	'
Liabilities:	'	'
Derivative Liabilities	3,127	2,304
Level 3	'	'
Liabilities:	'	'
RINs obligation	'	0
Level 3 | Commodity contracts (futures and forwards)	'	'
Assets:	'	'
Derivative Assets	'	0
Liabilities:	'	'
Derivative Liabilities	0	'
Level 3 | Fair value hedge	'	'
Liabilities:	'	'
Derivative Liabilities	$0	$0

Schedule_of_Derivative_Instrum

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Derivatives not designated as hedging instruments:	'	'
Derivative Instruments Not Designated as Hedging Instruments, Asset, at Fair Value	$0	$303
Derivative Instruments Not Designated as Hedging Instruments, Liability, at Fair Value	813	281
Derivatives designated as hedging instruments:	'	'
Fair Value Hedge Assets	0	0
Fair Value Hedge Liabilities	3,127	2,304
Derivative Assets	0	303
Derivative Liabilities	3,940	2,585
Accounts Receivable | Commodity contracts (futures and forwards)	'	'
Derivatives not designated as hedging instruments:	'	'
Derivative Instruments Not Designated as Hedging Instruments, Asset, at Fair Value	0	303
Accrued Liabilities | Commodity contracts (futures and forwards)	'	'
Derivatives not designated as hedging instruments:	'	'
Derivative Instruments Not Designated as Hedging Instruments, Liability, at Fair Value	813	281
Other Noncurrent Assets | Fair value hedge	'	'
Derivatives designated as hedging instruments:	'	'
Fair Value Hedge Assets	0	0
Other Noncurrent Liabilities | Fair value hedge	'	'
Derivatives designated as hedging instruments:	'	'
Fair Value Hedge Liabilities	$3,127	$2,304

Schedule_of_Fair_Value_Hedging

Schedule of Fair Value Hedging Instruments (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Derivative Instruments, Gain (Loss)	'	'
Gain (Loss) on Fair Value Hedges Recognized in Earnings	($823)	($1,594)
Fair value hedge | Cost of Sales	'	'
Derivative Instruments, Gain (Loss)	'	'
Gain (Loss) on Fair Value Hedges Recognized in Earnings	($823)	($1,594)

Schedule_of_Derivative_Instrum1

Schedule of Derivative Instruments, Gain (Loss) in Statements of Financial Performance (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Derivative Instruments, Gain (Loss)	'	'
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net	$623	$7,651
Commodity contracts (futures and forwards) | Cost of Sales	'	'
Derivative Instruments, Gain (Loss)	'	'
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net	$623	$7,651

Schedule_of_Offseting_Derivati

Schedule of Offseting Derivative Instruments by Type (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Commodity contracts (futures and forwards)	'	'
Derivative Asset, Fair Value, Net	'	'
Gross Amounts of Recognized Assets	$43	$514
Gross Amounts offset in the Statement of Financial Position	-43	-211
Net Amounts of Assets Presented in the Statement of Financial Position	0	303
Derivative Asset, Not Subject to Master Netting Arrangement	0	-281
Cash Collateral Received	0	0
Derivative Asset, Net Amount	0	22
Derivative Liability, Fair Value, Net	'	'
Gross Amounts of Recognized Liabilities	856	492
Gross Amounts offset in the Statement of Financial Position	-43	-211
Net Amounts of Liabilities Presented in the Statement of Financial Position	813	281
Derivative Liability, Not Subject to Master Netting Arrangement	0	-281
Cash Collateral Pledged	0	0
Derivative Liability, Net Amount	813	0
Fair value hedge	'	'
Derivative Liability, Fair Value, Net	'	'
Gross Amounts of Recognized Liabilities	3,127	2,304
Gross Amounts offset in the Statement of Financial Position	0	0
Net Amounts of Liabilities Presented in the Statement of Financial Position	3,127	2,304
Derivative Liability, Not Subject to Master Netting Arrangement	0	0
Cash Collateral Pledged	0	0
Derivative Liability, Net Amount	$3,127	$2,304

Derivative_Financial_Instrumen2

Derivative Financial Instruments Textuals (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014
Derivative	'
Compliance Program Costs	$2,926
Notional Amount of Fair Value Hedge Instruments	312,000

Inventories_Details

Inventories (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Inventory Disclosure [Abstract]	'	'
Crude oil, refined products and blendstocks	$21,202	$25,246
Crude oil inventory consigned to others	20,063	14,214
Materials and supplies	9,371	9,686
Total inventories	$50,636	$49,146

Inventories_Textuals_Details

Inventories Textuals (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Inventory Disclosure [Abstract]	'	'
Excess of Replacement or Current Costs over Stated LIFO Value	$25,979	$21,216

Inventory_Financing_Agreement_

Inventory Financing Agreement Textuals (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Non-current liability for consignment inventory	$32,697	$24,482
Receivable from supply agreement	6,290	6,290
Derivative liabilities	813	281
Consigned inventory | Forward Contracts	'	'
Derivative liabilities	628	263
J.Aron	'	'
Accounts receivable, net, current	15,094	11,640
Non-current liability for consignment inventory	32,697	24,482
Receivable from supply agreement	$6,290	$6,290

Property_Plant_and_Equipment_N2

Property, Plant and Equipment, Net (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Property, Plant and Equipment, Net	'	'
Refining facilities	$677,531	$677,085
Accumulated depreciation	-212,882	-204,200
Property, plant and equipment, net	$464,649	$472,885

Other_Assets_Details

Other Assets (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Other Assets [Abstract]	'	'
Deferred debt issuance costs	$7,276	$7,782
Receivable from supply agreement	6,290	6,290
Deferred turnaround and catalyst cost	19,384	7,774
Other	9,098	9,420
Total other assets	$42,048	$31,266

Accrued_Liabilities_and_Other_

Accrued Liabilities and Other Non-Current Liabilities (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Accrued Liabilities:	'	'
Taxes other than income taxes, primarily excise taxes	$23,880	$30,354
Accrued finance charges	870	1,365
Environmental accrual (Note 11)	1,307	1,307
Commodity contracts	813	281
Other	6,201	11,185
Total accrued liabilities	33,071	44,492
Other Non-Current Liabilities:	'	'
Consignment inventory obligation	32,697	24,482
Environmental accrual (Note 11)	5,640	5,640
Asset retirement obligations	1,995	1,973
Other	2,799	2,799
Total other non-current liabilities	$43,131	$34,894

Indebtedness_Details

Indebtedness (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Debt Instruments [Abstract]	'	'
Term loan credit facility	$243,832	$244,322
Revolving credit facility	100,000	100,000
Total debt	343,832	344,322
Less: Current portion	2,500	2,500
Total long-term debt	$341,332	$341,822

Indebtedness_Textuals_Details

Indebtedness Textuals (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Debt Instrument	'	'
Letters of credit outstanding, amount	$103,363	$109,772
Debt instrument, covenant compliance	'we were in compliance with these covenants	'

Partners_Equity_Details

Partners' Equity (Details) (USD $)	3 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Partners' Capital [Abstract]	'	'
Distribution Made to Limited Partner, Cash Distributions Paid	$11,250	$35,626
Distribution Made to Limited Partner, Distributions Paid, Per Unit	$0.18	$0.57

RelatedParty_Transactions_Deta

Related-Party Transactions (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Related Party Expense, Allocated Corporate Overhead Costs	$2,743	$2,915
Related Party Expense, Allocated Labor Costs	6,615	6,308
Related Party Expense, Allocated Insurance Costs	1,818	2,604
Distribution Made to Limited Partner, Cash Distributions Paid	11,250	35,626
Partner Type of Partners' Capital, Affiliated	'	'
Distribution Made to Limited Partner, Cash Distributions Paid	$9,180	$29,070

Remediation_Obligations_Detail

Remediation Obligations (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Commitments and Contingencies Disclosure [Abstract]	'	'
Site Contingency, Time Frame of Disbursements	'15 years	'
Accrual for Environmental Loss Contingencies	$6,947	$6,947
Accrued Environmental Loss Contingencies, Current	1,307	1,307
Accrued Environmental Loss Contingencies, Noncurrent	$5,640	$5,640

Subsequent_Event_Details

Subsequent Event (Details) (USD $)	3 Months Ended		0 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013	1-May-14
			Cash Distribution
Subsequent Event	'	'	'
Distribution Made to Limited Partner, Declaration Date	'	'	1-May-14
Distribution Made to Limited Partner, Distributions Declared, Per Unit	'	'	$0.69
Distribution Made to Limited Partner, Cash Distributions Paid	$11,250	$35,626	$43,125
Distribution Made to Limited Partner, Distribution Date	'	'	21-May-14
Distribution Made to Limited Partner, Date of Record	'	'	14-May-14