Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2024 | Aug. 02, 2024 | |
Entity Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2024 | |
Document Transition Report | false | |
Entity File Number | 333-186007 | |
Entity Registrant Name | PBF HOLDING COMPANY LLC | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 27-2198168 | |
Entity Address, Address Line One | One Sylvan Way, Second Floor | |
Entity Address, City or Town | Parsippany | |
Entity Address, State or Province | NJ | |
Entity Address, Postal Zip Code | 07054 | |
City Area Code | 973 | |
Local Phone Number | 455-7500 | |
Entity Current Reporting Status | No | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding (in shares) | 0 | |
Entity Central Index Key | 0001566011 | |
Amendment Flag | false | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2024 | |
Current Fiscal Year End Date | --12-31 | |
PBF Finance Corporation | ||
Entity Information [Line Items] | ||
Entity File Number | 333-186007-07 | |
Entity Registrant Name | PBF FINANCE CORPORATION | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 45-2685067 | |
Entity Current Reporting Status | No | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding (in shares) | 100 | |
Entity Central Index Key | 0001566097 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Current assets: | ||
Cash and cash equivalents | $ 1,351.1 | $ 1,760.8 |
Accounts receivable | 1,478.6 | 1,336.1 |
Accounts receivable - affiliate | 33.3 | 27.3 |
Inventories | 2,864.2 | 3,183.1 |
Prepaid and other current assets | 193.1 | 173 |
Total current assets | 5,920.3 | 6,480.3 |
Property, plant and equipment, net | 4,182.3 | 4,145.5 |
Deferred charges and other assets, net | 1,350.6 | 1,129.3 |
Total assets | 12,627.4 | 12,924.1 |
Current liabilities: | ||
Accounts payable | 1,120.6 | 952.9 |
Accounts payable - affiliate | 61.9 | 72 |
Accrued expenses | 2,770.7 | 2,968 |
Deferred revenue | 20.5 | 63.6 |
Total current liabilities | 4,247.6 | 4,296.3 |
Long-term debt | 1,251.5 | 1,245.9 |
Deferred tax liabilities | 22 | 24.8 |
Long-term financing lease liabilities - third party | 40.5 | 46.1 |
Other long-term liabilities | 270.1 | 269.2 |
Total liabilities | 6,691.9 | 6,762.3 |
Commitments and contingencies (Note 6) | ||
Equity: | ||
Member’s equity | 3,439.8 | 3,298.7 |
Retained earnings | 2,500.9 | 2,868.8 |
Accumulated other comprehensive loss | (18.3) | (18.8) |
Total PBF Holding Company LLC equity | 5,922.4 | 6,148.7 |
Noncontrolling interest | 13.1 | 13.1 |
Total equity | 5,935.5 | 6,161.8 |
Total liabilities and equity | 12,627.4 | 12,924.1 |
Third Party Lease | ||
Current assets: | ||
Lease right of use assets | 799.7 | 788.2 |
Current liabilities: | ||
Current operating lease liabilities | 164.7 | 131.1 |
Long-term operating lease liabilities | 595 | 607.9 |
Lease with Affiliate | ||
Current assets: | ||
Lease right of use assets | 374.5 | 380.8 |
Current liabilities: | ||
Current operating lease liabilities | 109.2 | 108.7 |
Long-term operating lease liabilities | $ 265.2 | $ 272.1 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Income Statement [Abstract] | ||||
Revenues | $ 8,726.6 | $ 9,148.4 | $ 17,363 | $ 18,433.9 |
Cost and expenses: | ||||
Cost of products and other | 8,045.5 | 7,988.2 | 15,723.6 | 15,867.9 |
Operating expenses (excluding depreciation and amortization expense as reflected below) | 581.9 | 571.4 | 1,236.6 | 1,320.4 |
Depreciation and amortization expense | 145.8 | 133 | 278.1 | 265.9 |
Cost of sales | 8,773.2 | 8,692.6 | 17,238.3 | 17,454.2 |
General and administrative expenses (excluding depreciation and amortization expense as reflected below) | 62.1 | 100.8 | 123.1 | 157.9 |
Depreciation and amortization expense | 1.8 | 2.3 | 3.5 | 4.2 |
Change in fair value of contingent consideration, net | 0 | (16.6) | (3.3) | (32.9) |
Loss (gain) on sale of assets | 0.2 | 0.2 | 0.7 | (1.4) |
Total cost and expenses | 8,837.3 | 8,779.3 | 17,362.3 | 17,582 |
Income (loss) from operations | (110.7) | 369.1 | 0.7 | 851.9 |
Other income (expense): | ||||
Interest expense (net of interest income of $13.8 million, $12.2 million, $31.0 million and $29.0 million, respectively) | (17.7) | (15.1) | (28.9) | (30) |
Change in fair value of catalyst obligations | 0 | 0.5 | 0 | 1.2 |
Other non-service components of net periodic benefit cost | 0.6 | 0.1 | 1.2 | 0.4 |
Income (loss) before income taxes | (127.8) | 354.6 | (27) | 823.5 |
Income tax benefit | (2.3) | 0 | (2.6) | (0.6) |
Net income (loss) | (125.5) | 354.6 | (24.4) | 824.1 |
Less: net income attributable to noncontrolling interest | 0 | 0.1 | 0 | 0.4 |
Net income (loss) attributable to PBF Holding Company LLC | $ (125.5) | $ 354.5 | $ (24.4) | $ 823.7 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Operations (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Income Statement [Abstract] | ||||
Interest income | $ 13.8 | $ 12.2 | $ 31 | $ 29 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income (loss) | $ (125.5) | $ 354.6 | $ (24.4) | $ 824.1 |
Other comprehensive income (loss): | ||||
Unrealized loss on available for sale securities | (0.2) | (0.5) | 0 | (0.1) |
Net gain on pension and other post-retirement benefits | 0.2 | 0.1 | 0.5 | 0.1 |
Total other comprehensive income (loss) | 0 | (0.4) | 0.5 | 0 |
Comprehensive income (loss) | (125.5) | 354.2 | (23.9) | 824.1 |
Less: comprehensive income attributable to noncontrolling interest | 0 | 0.1 | 0 | 0.4 |
Comprehensive income (loss) attributable to PBF Holding Company LLC | $ (125.5) | $ 354.1 | $ (23.9) | $ 823.7 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Changes in Equity Statement - USD ($) $ in Millions | Total | Member’s Equity | Accumulated Other Comprehensive Income (Loss) | Retained Earnings | Noncontrolling Interest |
Beginning balance at Dec. 31, 2022 | $ 5,617.1 | $ 2,959.7 | $ (4.4) | $ 2,649.6 | $ 12.2 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Member distributions | (1,099) | (1,099) | |||
Capital contributions from PBF LLC | 635 | 635 | |||
Distribution of assets to PBF LLC | (844.1) | (844.1) | |||
Stock-based compensation expense | 13.7 | 13.7 | |||
Comprehensive income (loss) | 824.1 | 823.7 | 0.4 | ||
Ending balance at Jun. 30, 2023 | 5,146.8 | 2,764.3 | (4.4) | 2,374.3 | 12.6 |
Beginning balance at Mar. 31, 2023 | 5,460.3 | 2,991.2 | (4) | 2,460.6 | 12.5 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Member distributions | (440.8) | (440.8) | |||
Capital contributions from PBF LLC | 610 | 610 | |||
Distribution of assets to PBF LLC | (844.1) | (844.1) | |||
Stock-based compensation expense | 7.2 | 7.2 | |||
Comprehensive income (loss) | 354.2 | (0.4) | 354.5 | 0.1 | |
Ending balance at Jun. 30, 2023 | 5,146.8 | 2,764.3 | (4.4) | 2,374.3 | 12.6 |
Beginning balance at Dec. 31, 2023 | 6,161.8 | 3,298.7 | (18.8) | 2,868.8 | 13.1 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Member distributions | (343.5) | (343.5) | |||
Capital contributions from PBF LLC | 135 | 135 | |||
Distribution of assets to PBF LLC | (8.8) | (8.8) | |||
Stock-based compensation expense | 14.9 | 14.9 | |||
Comprehensive income (loss) | (23.9) | 0.5 | (24.4) | ||
Ending balance at Jun. 30, 2024 | 5,935.5 | 3,439.8 | (18.3) | 2,500.9 | 13.1 |
Beginning balance at Mar. 31, 2024 | 6,127.2 | 3,373.3 | (18.3) | 2,759.1 | 13.1 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Member distributions | (132.7) | (132.7) | |||
Capital contributions from PBF LLC | 60 | 60 | |||
Stock-based compensation expense | 6.5 | 6.5 | |||
Comprehensive income (loss) | (125.5) | (125.5) | |||
Ending balance at Jun. 30, 2024 | $ 5,935.5 | $ 3,439.8 | $ (18.3) | $ 2,500.9 | $ 13.1 |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2024 | Jun. 30, 2023 | |
Cash flows from operating activities: | ||
Net income (loss) | $ (24.4) | $ 824.1 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation and amortization | 289.3 | 280.7 |
Stock-based compensation | 21 | 18.9 |
Change in fair value of catalyst obligations | 0 | (1.2) |
Deferred income taxes | (2.7) | 0.1 |
Non-cash change in inventory repurchase obligations | 0 | 8.5 |
Change in fair value of contingent consideration, net | (3.3) | (32.9) |
Pension and other post-retirement benefit costs | 26 | 23.9 |
Loss (gain) on sale of assets | 0.7 | (1.4) |
Changes in operating assets and liabilities: | ||
Accounts receivable | (142.5) | 99.5 |
Due to/from affiliates | (16.1) | (9.5) |
Inventories | 318.9 | (68.7) |
Prepaid and other current assets | (20.1) | (36.4) |
Accounts payable | 195.4 | (202.1) |
Accrued expenses | (204.2) | (322.5) |
Deferred revenue | (43.1) | 37.3 |
Other assets and liabilities | (19.5) | (19.4) |
Net cash provided by operating activities | 375.4 | 598.9 |
Cash flows from investing activities: | ||
Expenditures for property, plant, and equipment | (191.4) | (442) |
Expenditures for deferred turnaround costs | (400.2) | (268) |
Expenditures for other assets | (24.8) | (35) |
Proceeds from sale of assets | 0 | 4.4 |
Net cash used in investing activities | (616.4) | (740.6) |
Cash flows from financing activities: | ||
Contributions from PBF LLC | 135 | 635 |
Payment of contingent consideration | 0 | (80.1) |
Payments on financing leases | (6.1) | (5.8) |
Proceeds from insurance premium financing | 46.1 | 35 |
Deferred financing costs and other, net | (0.1) | (0.5) |
Net cash used in financing activities | (168.7) | (515.4) |
Net change in cash and cash equivalents | (409.7) | (657.1) |
Cash and cash equivalents, beginning of period | 1,760.8 | 2,153.9 |
Cash and cash equivalents, end of period | 1,351.1 | 1,496.8 |
Non-cash activities: | ||
Distribution of assets to PBF Energy Company LLC | (8.8) | 844.1 |
Accrued and unpaid capital expenditures | 68.3 | 108.6 |
Assets acquired or remeasured under operating and financing leases | 182.9 | 174.8 |
Cash paid during the period for: | ||
Interest (net of capitalized interest of $9.1 million and $28.1 million in 2024 and 2023, respectively) | 68.6 | 46 |
Income taxes | 0.4 | 1.4 |
Members | ||
Cash flows from financing activities: | ||
Distributions to members | $ (343.6) | $ (1,099) |
Condensed Consolidated Statem_6
Condensed Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2024 | Jun. 30, 2023 | |
Statement of Cash Flows [Abstract] | ||
Capitalized interest | $ 9.1 | $ 28.1 |
DESCRIPTION OF THE BUSINESS AND
DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION | 6 Months Ended |
Jun. 30, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION | DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION Description of the Business PBF Holding Company LLC (“PBF Holding”), a Delaware limited liability company, and PBF Finance Corporation (“PBF Finance”), a wholly-owned subsidiary of PBF Holding, together with the Company’s consolidated subsidiaries, owns and operates oil refineries and related facilities in North America. PBF Holding is a wholly-owned subsidiary of PBF Energy Company LLC (“PBF LLC”). PBF Energy Inc. (“PBF Energy”) is the sole managing member of, and owner of, an equity interest representing approximately 99.3% of the outstanding economic interest in PBF LLC as of June 30, 2024. PBF Investments LLC, Toledo Refining Company LLC, Paulsboro Refining Company LLC, Delaware City Refining Company LLC, Chalmette Refining, L.L.C. (“Chalmette Refining”), PBF Energy Western Region LLC, Torrance Refining Company LLC, Torrance Logistics Company LLC, and Martinez Refining Company LLC (“MRC”) are PBF LLC’s principal operating subsidiaries and are all wholly-owned subsidiaries of PBF Holding. Collectively, PBF Holding and its consolidated subsidiaries are referred to hereinafter as the “Company” unless the context otherwise requires. PBF Logistics GP LLC (“PBFX GP”) serves as the general partner of PBF Logistics LP (“PBFX”). PBFX GP is wholly-owned by PBF LLC. St. Bernard Renewables LLC (“SBR”), is a jointly held investment between PBF LLC and Eni Sustainable Mobility US Inc., a controlled subsidiary of Eni S.p.A. In a series of transactions, PBF Holding has distributed certain assets to PBF LLC, which in turn contributed those assets to PBFX and SBR. Basis of Presentation The unaudited condensed consolidated financial information furnished herein reflects all adjustments (consisting of normal recurring accruals) which are, in the opinion of management, considered necessary for a fair presentation of the financial position and the results of operations and cash flows of the Company for the periods presented. All intercompany accounts and transactions have been eliminated in consolidation. These unaudited Condensed Consolidated Financial Statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information. Accordingly, they do not include all of the information and notes required by GAAP for complete financial statements. These interim Condensed Consolidated Financial Statements should be read in conjunction with the PBF Holding and PBF Finance financial statements included in the Annual Report on Form 10-K for the year ended December 31, 2023. The results of operations for the three and six months ended June 30, 2024 are not necessarily indicative of the results to be expected for the full year. |
INVENTORIES
INVENTORIES | 6 Months Ended |
Jun. 30, 2024 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | INVENTORIES Inventories consisted of the following: (in millions) June 30, 2024 December 31, 2023 Refined products and blendstocks $ 1,398.7 $ 1,536.5 Crude oil and feedstocks 1,307.5 1,495.4 Warehouse stock and other 158.0 151.2 2,864.2 3,183.1 Lower of cost or market adjustment — — Total inventories $ 2,864.2 $ 3,183.1 As of June 30, 2024 and December 31, 2023 there was no lower of cost or market adjustment recorded as the replacement value of inventories exceeded the last-in, first-out carrying value. |
ACCRUED EXPENSES
ACCRUED EXPENSES | 6 Months Ended |
Jun. 30, 2024 | |
Payables and Accruals [Abstract] | |
ACCRUED EXPENSES | ACCRUED EXPENSES Accrued expenses consisted of the following: (in millions) June 30, 2024 December 31, 2023 Inventory-related accruals $ 1,693.6 $ 1,716.2 Renewable energy credit and emissions obligations (a) 428.9 429.8 Accrued transportation costs 174.6 170.5 Excise and sales tax payable 145.6 137.3 Accrued salaries and benefits 76.9 185.5 Accrued refinery maintenance and support costs 58.4 60.2 Accrued utilities 51.4 71.0 Accrued capital expenditures 37.0 84.5 Environmental liabilities 12.7 15.7 Current finance lease liabilities 11.6 12.2 Accrued interest 9.8 32.4 Contingent consideration — 21.6 Other 70.2 31.1 Total accrued expenses $ 2,770.7 $ 2,968.0 __________________________ (a) The Company is subject to obligations to purchase Renewable Identification Numbers (“RINs”) required to comply with the Renewable Fuel Standard. The Company’s overall RINs obligation is based on a percentage of domestic shipments of on-road fuels as established by the Environmental Protection Agency (“EPA”). To the degree the Company is unable to blend the required amount of biofuels to satisfy its RINs obligation, RINs must be purchased on the open market to avoid penalties and fines. The Company records its RINs obligation on a net basis in Accrued expenses when its RINs liability is greater than the amount of RINs earned and purchased in a given period and in Prepaid and other current assets when the amount of RINs earned and purchased is greater than the RINs liability. In addition, the Company is subject to obligations to comply with federal and state legislative and regulatory measures, including regulations in the state of California pursuant to Assembly Bill 32 (“AB 32”), to address environmental compliance and greenhouse gas and other emissions. These requirements include incremental costs to operate and maintain the Company’s facilities as well as to implement and manage new emission controls and programs. Renewable energy credit and emissions obligations fluctuate with the volume of applicable product sales and timing of credit purchases. From time to time, the Company enters into forward purchase commitments in order to acquire its renewable energy and emissions credits at fixed prices. As of June 30, 2024, the Company had forward purchase commitments in excess of total accrued renewable energy and emissions obligations. The Company’s RIN obligations will be settled in accordance with established regulatory deadlines. The Company’s current AB 32 liability is part of an ongoing triennial period program which will next be settled in the fourth quarter of 2024. |
CREDIT FACILITIES AND DEBT
CREDIT FACILITIES AND DEBT | 6 Months Ended |
Jun. 30, 2024 | |
Debt Disclosure [Abstract] | |
CREDIT FACILITIES AND DEBT | CREDIT FACILITIES AND DEBT Debt outstanding consisted of the following: (in millions) June 30, 2024 December 31, 2023 6.00% senior unsecured notes due 2028 (“2028 Senior Notes”) $ 801.6 $ 801.6 7.875% senior unsecured notes due 2030 (“2030 Senior Notes”) 500.0 500.0 Revolving Credit Facility — — 1,301.6 1,301.6 Unamortized discount (3.0) (3.2) Unamortized deferred financing costs (47.1) (52.5) Long-term debt $ 1,251.5 $ 1,245.9 As of June 30, 2024, the Company is in compliance with all covenants, including financial covenants, in all its debt agreements. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 6 Months Ended |
Jun. 30, 2024 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | RELATED PARTY TRANSACTIONS Transactions and agreements with PBFX The Company entered into agreements with PBFX that establish fees for certain general and administrative services, and operational and maintenance services provided by the Company to PBFX. In addition, the Company executed terminal, pipeline, and storage services agreements with PBFX under which PBFX provides commercial transportation, terminaling, storage and pipeline services to the Company. These agreements with PBFX include: Commercial Agreements The Company has entered into long-term, fee-based commercial agreements with PBFX relating to assets associated with the contribution agreements, which PBF LLC entered into with PBFX, the majority of which include a minimum volume commitment and are supported by contractual fee escalations for inflation adjustments and certain increases in operating costs. Under these agreements, PBFX provides various pipeline, rail and truck terminaling and storage services to the Company and the Company has committed to provide PBFX with minimum fees based on minimum monthly throughput volumes. There were no agreements entered into during the three and six months ended June 30, 2024. Other Agreements In addition to the commercial agreements described above, the Company has entered into an omnibus agreement with PBFX, PBFX GP and PBF LLC, which has been amended and restated in connection with certain of the Contribution Agreements (as amended, the “Omnibus Agreement”). The Omnibus Agreement addresses the payment of an annual fee for the provision of various general and administrative services and reimbursement of salary and benefit costs for certain PBF Energy employees. Additionally, the Company and certain of its subsidiaries have entered into an operation and management services and secondment agreement with PBFX (as amended, the “Services Agreement”), pursuant to which the Company and its subsidiaries provide PBFX with the personnel necessary for PBFX to perform its obligations under its commercial agreements. PBFX reimburses the Company for the use of such employees and the provision of certain infrastructure-related services to the extent applicable to its operations, including storm water discharge and waste water treatment, steam, potable water, access to certain roads and grounds, sanitary sewer access, electrical power, emergency response, filter press, fuel gas, API solids treatment, fire water and compressed air. The Services Agreement will terminate upon the termination of the Omnibus Agreement, provided that PBFX may terminate any service on 30-days’ notice. Affiliate Lease Agreements In the normal course of business, the Company enters into certain affiliate lease arrangements with PBFX for the use of certain storage, terminaling and pipeline assets. The terms for these affiliate leases generally range from seven to fifteen years. These leases are recorded on the Company’s Balance Sheets within Lease right of use assets-affiliate, Current operating lease liabilities-affiliate and Long-term operating lease liabilities-affiliate. Refer to the Company’s 2023 Annual Report on Form 10-K (“Note 9 - Related Party Transactions” and “Note 11 - Leases” of the Notes to Consolidated Financial Statements) for a more complete description of the agreements with PBFX. Summary of Transactions with PBFX A summary of the Company’s affiliate transactions with PBFX is as follows: Three Months Ended June 30, Six Months Ended June 30, (in millions) 2024 2023 2024 2023 Reimbursements under affiliate agreements: Services Agreement $ 2.1 $ 2.1 $ 4.3 $ 4.3 Omnibus Agreement 1.4 2.1 2.9 3.9 Total expenses under affiliate agreements (89.1) (84.8) (176.0) (173.8) Total reimbursements under the Omnibus Agreement are included in general and administrative expenses and reimbursements under the Services Agreement and expenses under affiliate agreements are included in Cost of products and other in the Company’s Condensed Consolidated Statements of Operations. Additionally, the Condensed Consolidated Balance Sheets include $4.6 million and $38.8 million recorded within Accounts receivable - affiliate and Accounts payable - affiliate, respectively, related to transactions with PBFX as of June 30, 2024 ($5.2 million and $43.7 million, respectively, as of December 31, 2023). Transactions and agreements with SBR The Company and its subsidiaries have entered into various agreements with SBR, related to the sale and purchase of environmental credits and hydrocarbon products. Commercial Agreements PBF Holding has entered into commercial agreements with SBR for the purchase and sale of RINs and Low Carbon Fuel Standard (“LCFS”) credits. The Agreement for the Sale and Purchase of Renewable Identification Numbers was initiated on June 1, 2023, and the Leadership for Energy Automated Processing Master Agreement for Purchasing and Selling of LCFS credits was initiated on August 1, 2023. Both agreements had initial terms of three months. Upon the expiration of the initial terms, both agreements have been, and may continue to be, automatically renewed for successive three-month periods, unless earlier terminated by the Company or SBR via written notice at least two months in advance of expiration. Operating Agreement The Company entered into an operation and management services and secondment agreement (the “Operating Agreement”) with SBR in June 2023, pursuant to which the Company provides SBR with the personnel necessary for SBR to operate so that it may perform its obligations under the commercial agreements. The Company charges SBR a fixed operating fee under the agreement and SBR reimburses the Company for the use of employees and the provision of certain infrastructure-related services to the extent applicable to its operations. Other Agreements In addition to the agreements described above, the Company entered into an omnibus agreement with SBR for the provision of executive management services and support for accounting and finance, legal, human resources, information technology, environmental, health and safety, and other administrative functions (the “SBR Omnibus Agreements”). Pursuant to the SBR Omnibus Agreement, the Company charges SBR a fixed administrative fee and SBR reimburses the Company for the services utilized. Furthermore, the Company entered into a common asset use and servitude agreement (the “CAUSA”) with SBR, pursuant to which the Company provides Chalmette Refining and SBR certain services with certain common use assets utilized. The cost of operations and maintenance for the common use assets is allocated between Chalmette Refining and SBR. Additionally, from time to time, the Company enters into short-term lease agreements for the use of marine vessels currently leased by SBR. Since these lease terms are less than one year, they are not recorded on the Company’s Consolidated Balance Sheet. Summary of Transactions with SBR A summary of the Company’s related party transactions with SBR is as follows: Three Months Ended June 30, Six Months Ended June 30, (in millions) 2024 2023 2024 2023 Transactions under commercial agreements: Sales $ 8.2 $ — $ 13.2 $ — Purchases (73.3) — (164.5) — Reimbursements under related party agreements: Operating Agreement 31.5 — 66.8 — SBR Omnibus Agreements 1.1 — 2.2 — CAUSA 1.5 — 3.5 — Total lease expense under related party agreements (1.7) — (1.7) — Total sales, consisting of refined product sales, and purchases, primarily related to environmental credit and hydrocarbon purchases, under the commercial agreements with SBR are included within Revenues and Cost of products and other, respectively, on the Company’s Condensed Consolidated Statements of Operations. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 6 Months Ended |
Jun. 30, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES In the ordinary conduct of the Company’s business, the Company is from time to time subject to lawsuits, investigations, and claims, including class action proceedings, mass tort actions, tort actions, environmental claims, and employee-related matters. The outcome of these matters cannot always be predicted accurately, but the Company accrues liabilities for these matters if the Company has determined that it is probable a loss has been incurred and the loss can be reasonably estimated. For such ongoing matters for which the Company has not recorded a liability but losses are reasonably possible, the Company is unable to estimate a range of possible losses at this time due to various reasons that may include but are not limited to, matters being in an early stage and not fully developed through pleadings, discovery or court proceedings, number of potential claimants being unknown or uncertainty regarding a number of different factors underlying the potential claims. However, the ultimate resolution of one or more of these contingencies could result in an adverse outcome that may have a material effect on the Company’s financial position, results of operations or cash flows. Environmental Matters The Company’s refineries, pipelines and related operations are subject to extensive and frequently changing federal, state and local laws and regulations, including, but not limited to, those relating to the discharge of materials into the environment or that otherwise relate to the protection of the environment (including in response to the potential impacts of climate change), waste management and the characteristics and the compositions of fuels. Compliance with existing and anticipated laws and regulations can increase the overall cost of operating the refineries, including remediation, operating costs, and capital costs to construct, maintain and upgrade equipment and facilities. These laws and permits raise potential exposure to future claims and lawsuits involving environmental and safety matters which could include soil and water contamination, air pollution, personal injury and property damage allegedly caused by substances which the Company manufactured, handled, used, released, or disposed of, transported, or that relate to pre-existing conditions for which the Company has assumed responsibility. The Company believes that its current operations are in compliance with existing environmental and safety requirements. However, there have been and will continue to be ongoing discussions about environmental and safety matters between the Company and federal and state authorities, including notices of violations (“NOVs”), citations, and other enforcement actions, some of which have resulted or may result in changes to operating procedures and in capital expenditures. While it is often difficult to quantify future environmental or safety related expenditures, the Company anticipates that continuing capital investments and changes in operating procedures will be required for the foreseeable future to comply with existing and new requirements, as well as evolving interpretations and more strict enforcement of existing laws and regulations. In connection with the acquisition of the Torrance refinery and related logistics assets, the Company assumed certain pre-existing environmental liabilities. The estimated costs related to these remediation obligations totaled $110.6 million as of June 30, 2024 ($114.9 million as of December 31, 2023) and related primarily to remediation obligations to address existing soil and groundwater contamination and the related monitoring and clean-up activities. Costs related to these obligations are reassessed periodically or when changes to the Company’s remediation approach are identified. The current portion of the environmental liability is recorded in Accrued expenses and the non-current portion is recorded in Other long-term liabilities. The aggregate environmental liability reflected on the Company’s Condensed Consolidated Balance Sheets was $152.4 million and $155.8 million at June 30, 2024 and December 31, 2023, respectively, of which $139.7 million and $140.1 million, respectively, were classified as Other long-term liabilities. These liabilities include remediation and monitoring costs expected to be incurred over an extended period of time. Estimated liabilities could increase in the future when the results of ongoing investigations become known, are considered probable and can be reasonably estimated. Legal Matters On November 24, 2022, the Martinez refinery, owned and operated by MRC, experienced a spent catalyst release that is currently being investigated by the Bay Area Air Quality Management District (“BAAQMD”), Contra Costa County (“CCC”), the Department of Justice and EPA, and the California Department of Fish and Game (“DFG”). To date, the BAAQMD has issued 35 NOVs, the CCC has issued two NOVs, and the DFG has made findings relating to the spent catalyst incident. On July 11, 2023 and October 6, 2023, the Martinez refinery experienced unintentional releases of petroleum coke dust and received inquiries or notices of investigation from the BAAQMD, the California Department of Industrial Relations, Division of Occupational Safety and Health (“CalOSHA”), the CCC, and the EPA. The BAAQMD also issued an NOV relating to the July 11, 2023 coke dust incident and an NOV relating to the October 6, 2023 coke dust incident. On December 15, 2023, the Martinez refinery experienced an unexpected flaring incident, and subsequently on December 18, 2023 a brush fire incident, and has received inquiries or notices of investigation from the BAAQMD, CalOSHA, and the CCC. The BAAQMD additionally issued an NOV relating to the December 15, 2023 flaring incident and four NOVs relating to the December 18, 2023 brush fire incident. The DFG, the CCC, and the BAAQMD have referred their findings and/or NOVs to the CCC District Attorney for the spent catalyst incident and various other incidents. On November 16, 2023, the CCC District Attorney and the BAAQMD announced a joint civil enforcement action against MRC that will include enforcement of the BAAQMD’s, the CCC’s, and the DFG’s claims from the spent catalyst incident, as well as additional enforcement claims from various incidents. For the spent catalyst, coke dust, flaring, brush fire, and other incidents, no penalties have been assessed to date by the various agencies, but it is reasonable to expect that penalties may be assessed; however, they are not currently estimable. |
REVENUES
REVENUES | 6 Months Ended |
Jun. 30, 2024 | |
Revenue from Contract with Customer [Abstract] | |
REVENUES | REVENUES The following table provides information relating to the Company’s revenues from external customers for each product or group of similar products for the periods presented: Three Months Ended June 30, (in millions) 2024 2023 Gasoline and distillates $ 7,442.9 $ 8,142.1 Asphalt and blackoils 667.4 385.0 Feedstocks and other 375.9 349.8 Chemicals 152.7 174.2 Lubricants 87.7 97.3 Total Revenues $ 8,726.6 $ 9,148.4 Six Months Ended June 30, (in millions) 2024 2023 Gasoline and distillates $ 15,041.9 $ 16,374.7 Asphalt and blackoils 1,141.0 788.2 Feedstocks and other 683.8 767.6 Chemicals 319.7 314.4 Lubricants 176.6 189.0 Total Revenues $ 17,363.0 $ 18,433.9 The Company’s revenues are generated from the sale of refined products. These revenues are largely based on the current spot (market) prices of the products sold, which represent consideration specifically allocable to the products being sold on a given day, and the Company recognizes those revenues upon delivery and transfer of title to the products to the Company’s customers. The time at which delivery and transfer of title occurs is the point when the Company’s control of the products is transferred to the Company’s customers and when its performance obligation to its customers is fulfilled. Delivery and transfer of title are specifically agreed to between the Company and customers within the contracts. The Company also has contracts which contain fixed pricing, tiered pricing, minimum volume features with makeup periods, or other factors that have not materially been affected by Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers. Deferred Revenue The Company records deferred revenue when cash payments are received or are due in advance of performance, including amounts which are refundable. Deferred revenue was $20.5 million and $63.6 million as of June 30, 2024 and December 31, 2023, respectively. Fluctuations in the deferred revenue balance are primarily driven by the timing and extent of cash payments received or due in advance of satisfying the Company’s performance obligations. The Company’s payment terms vary by type and location of customers and the products offered. The period between invoicing and when payment is due is not significant (i.e. generally within two months). For certain products or services and customer types, the Company requires payment before the products or services are delivered to the customer. |
INCOME TAXES
INCOME TAXES | 6 Months Ended |
Jun. 30, 2024 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES PBF Holding is a limited liability company treated as a “flow-through” entity for income tax purposes. Accordingly, there is generally no benefit or expense for federal or state income tax in the PBF Holding financial statements apart from the income tax attributable to the two subsidiaries acquired in connection with the acquisition of Chalmette Refining and the Company’s wholly-owned Canadian subsidiary, PBF Energy Limited, which are treated as C-Corporations for income tax purposes, with the tax provision calculated based on the effective tax rate for the periods presented. The income tax provision in the PBF Holding Condensed Consolidated Statements of Operations consists of the following: Three Months Ended June 30, Six Months Ended June 30, (in millions) 2024 2023 2024 2023 Current income tax (benefit) expense $ (0.2) $ 0.2 $ 0.1 $ (0.7) Deferred income tax (benefit) expense (2.1) (0.2) (2.7) 0.1 Total income tax benefit $ (2.3) $ — $ (2.6) $ (0.6) |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 6 Months Ended |
Jun. 30, 2024 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTS The tables below present information about the Company’s financial assets and liabilities measured and recorded at fair value on a recurring basis and indicate the fair value hierarchy of the inputs utilized to determine the fair values as of June 30, 2024 and December 31, 2023. The Company has elected to offset the fair value amounts recognized for multiple derivative contracts executed with the same counterparty; however, fair value amounts by hierarchy level are presented on a gross basis in the tables below. The Company may be required to post margin collateral or reclaim cash collateral from derivative counterparties based on contractual terms. At June 30, 2024 and December 31, 2023, the Company had the obligation to return cash collateral posted against its derivative obligations of $22.3 million and $23.7 million, respectively. Cash collateral related to derivative contracts is recorded net in the Condensed Consolidated Balance Sheets. The Company has no derivative contracts that are subject to master netting arrangements that are reflected gross on the Condensed Consolidated Balance Sheets. As of June 30, 2024 Fair Value Hierarchy Total Gross Fair Value Effect of Counter-party Netting Net Carrying Value on Balance Sheet (in millions) Level 1 Level 2 Level 3 Assets: Money market funds $ 12.4 $ — $ — $ 12.4 N/A $ 12.4 Commodity contracts 23.8 2.9 — 26.7 (26.7) — Liabilities: Commodity contracts 31.5 2.1 — 33.6 (26.7) 6.9 Renewable energy credit and emissions obligations — 428.9 — 428.9 — 428.9 As of December 31, 2023 Fair Value Hierarchy Total Gross Fair Value Effect of Counter-party Netting Net Carrying Value on Balance Sheet (in millions) Level 1 Level 2 Level 3 Assets: Money market funds $ 130.3 $ — $ — $ 130.3 N/A $ 130.3 Commodity contracts 80.1 — — 80.1 (46.9) 33.2 Liabilities: Commodity contracts 46.9 — — 46.9 (46.9) — Renewable energy credit and emissions obligations — 429.8 — 429.8 — 429.8 Contingent consideration obligation — — 21.6 21.6 — 21.6 The valuation methods used to measure financial instruments at fair value are as follows: • Money market funds categorized in Level 1 of the fair value hierarchy are measured at fair value based on quoted market prices and included within Cash and cash equivalents. • The commodity contracts categorized in Level 1 of the fair value hierarchy are measured at fair value based on quoted prices in an active market. The commodity contracts categorized in Level 2 of the fair value hierarchy are measured at fair value using a market approach based upon future commodity prices for similar instruments quoted in active markets. • The derivatives included with inventory intermediation agreement obligations and the catalyst obligations are categorized in Level 2 of the fair value hierarchy and are measured at fair value using a market approach based upon commodity prices for similar instruments quoted in active markets. • Renewable energy credit and emissions obligations primarily represent the Company’s liability for the purchase of (i) biofuel credits (primarily RINs in the U.S.) needed to satisfy its obligation to blend biofuels into the products the Company produces and (ii) emission credits under the AB 32 and similar programs (collectively, the cap-and-trade systems). To the degree the Company is unable to blend biofuels (such as ethanol and biodiesel) at percentages required under the biofuel programs, it must purchase biofuel credits to comply with these programs. Under the cap-and-trade systems, it must purchase emission credits to comply with these systems. The liability for environmental credits is in part based on the Company’s deficit for such credits as of the balance sheet date, if any, after considering any credits acquired, and is equal to the product of the credits deficit and the market price of these credits as of the balance sheet date. To the extent that the Company has a better estimate of the cost at which it settles its obligation, such as agreements to purchase RINs at prices other than the current spot price, the Company considers those costs in valuing the remaining obligation. The environmental credit obligations are categorized in Level 2 of the fair value hierarchy and are measured at fair value using a market approach based on quoted prices from an independent pricing service. • When applicable, commodity contracts categorized in Level 3 of the fair value hierarchy consist of commodity price swap contracts that relate to forecasted purchases of crude oil for which quoted forward market prices are not readily available due to market illiquidity. The forward prices used to value these swaps are derived using broker quotes, prices from other third-party sources and other available market based data. • The contingent consideration obligation at December 31, 2023 is categorized in Level 3 of the fair value hierarchy and was estimated using discounted cash flow models based on management’s estimate of the future cash flows related to the earn-out periods. Our final earn-out payment of $18.8 million was paid in full during the second quarter of 2024. Non-qualified pension plan assets are measured at fair value using a market approach based on published net asset values of mutual funds as a practical expedient. As of June 30, 2024 and December 31, 2023, $19.3 million and $18.8 million, respectively, were included within Deferred charges and other assets, net for these non-qualified pension plan assets. The table below summarizes the changes in fair value measurements categorized in Level 3 of the fair value hierarchy, which primarily includes the prior year change in estimated future earnings related to the earn-out obligation associated with the acquisition of the Martinez Refinery and logistics assets: Three Months Ended June 30, Six Months Ended June 30, (in millions) 2024 2023 2024 2023 Balance at beginning of period $ 18.3 $ 123.4 $ 21.6 $ 150.5 Settlements (18.8) (78.2) (18.8) (83.6) Unrealized loss (gain) included in earnings 0.5 (27.7) (2.8) (49.4) Balance at end of period $ — $ 17.5 $ — $ 17.5 There were no transfers between levels during the three and six months ended June 30, 2024 or the three and six months ended June 30, 2023. Fair value of debt The table below summarizes the carrying value and fair value of debt as of June 30, 2024 and December 31, 2023. June 30, 2024 December 31, 2023 (in millions) Carrying Fair Carrying Fair 2028 Senior Notes (a) $ 801.6 $ 779.6 $ 801.6 $ 779.3 2030 Senior Notes (a) 500.0 511.9 500.0 514.8 1,301.6 1,291.5 1,301.6 1,294.1 Unamortized discount (3.0) n/a (3.2) n/a Less - Unamortized deferred financing costs (47.1) n/a (52.5) n/a Long-term debt $ 1,251.5 $ 1,291.5 $ 1,245.9 $ 1,294.1 ______________________ (a) The estimated fair value, categorized as a Level 2 measurement, was calculated based on the present value of future expected payments utilizing implied current market interest rates based on quoted prices of the outstanding senior notes. |
DERIVATIVES
DERIVATIVES | 6 Months Ended |
Jun. 30, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVES | DERIVATIVES The Company uses derivative instruments to mitigate certain exposures to commodity price risk. On July 31, 2023, the Company terminated the third amended and restated inventory intermediation agreement (the “Third Inventory Intermediation Agreement”). Prior to its termination, the Third Inventory Intermediation Agreement contained purchase obligations for certain volumes of crude oil, intermediates, and refined products. The purchase obligations related to crude oil, intermediates and refined products under this agreement were derivative instruments designated as fair value hedges in order to hedge the commodity price volatility of certain refinery inventory. The fair value of these purchase obligation derivatives was based on market prices of the underlying crude oil, intermediates, and refined products. The level of activity for these derivatives was based on the level of operating inventories. The Company also enters into economic hedges primarily consisting of commodity derivative contracts that are not designated as hedges and are used to manage price volatility in certain crude oil and feedstock inventories as well as crude oil, feedstock, and refined product sales or purchases. The objective in entering into economic hedges is consistent with the objectives discussed above for fair value hedges. As of June 30, 2024, there were 21,697,000 barrels of crude oil and 6,718,000 barrels of refined products (23,774,000 and 5,351,000, respectively, as of December 31, 2023), outstanding under short and long term commodity derivative contracts not designated as hedges representing the notional value of the contracts. The Company also uses derivative instruments to mitigate the risk associated with the price of credits needed to comply with various governmental and regulatory environmental compliance programs. For such contracts that represent derivatives, the Company elects the normal purchase normal sale exception under ASC 815, Derivatives and Hedging , and therefore does not record them at fair value. The following tables provide information regarding the fair values of derivative instruments as of June 30, 2024 and December 31, 2023, and the line items in the Condensed Consolidated Balance Sheets in which fair values are reflected. Description Balance Sheet Location Fair Value (in millions) Derivatives not designated as hedging instruments: June 30, 2024: Commodity contracts Accounts receivable $ (6.9) December 31, 2023: Commodity contracts Accounts receivable $ 33.2 The following table provides information regarding gains or losses recognized in income on derivative instruments and the line items in the Condensed Consolidated Statements of Operations in which such gains and losses are reflected. Description Location of Gain or (Loss) Recognized in Income on Derivatives Gain or (Loss) (in millions) Derivatives designated as hedging instruments: For the three months ended June 30, 2024: Derivatives included within the inventory intermediation agreement obligations Cost of products and other $ — For the three months ended June 30, 2023: Derivatives included within the inventory intermediation agreement obligations Cost of products and other $ (12.7) For the six months ended June 30, 2024: Derivatives included within the inventory intermediation agreement obligations Cost of products and other $ — For the six months ended June 30, 2023: Derivatives included within the inventory intermediation agreement obligations Cost of products and other $ (8.5) Derivatives not designated as hedging instruments: For the three months ended June 30, 2024: Commodity contracts Cost of products and other $ 28.0 For the three months ended June 30, 2023: Commodity contracts Cost of products and other $ 23.3 For the six months ended June 30, 2024: Commodity contracts Cost of products and other $ 2.5 For the six months ended June 30, 2023: Commodity contracts Cost of products and other $ 38.1 Hedged items designated in fair value hedges: For the three months ended June 30, 2024: Crude oil, intermediate and refined product inventory Cost of products and other $ — For the three months ended June 30, 2023: Crude oil, intermediate and refined product inventory Cost of products and other $ 12.7 For the six months ended June 30, 2024: Crude oil, intermediate and refined product inventory Cost of products and other $ — For the six months ended June 30, 2023: Crude oil, intermediate and refined product inventory Cost of products and other $ 8.5 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 6 Months Ended |
Jun. 30, 2024 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS Dividend Declared On August 1, 2024, PBF Energy, PBF Holding’s indirect parent, announced a dividend of $0.25 per share on its outstanding Class A common stock. The dividend is payable on August 29, 2024 to PBF Energy Class A common stockholders of record at the close of business on August 15, 2024. The Company may need to make cash distributions to PBF LLC to the extent necessary for PBF Energy to pay this dividend. |
DESCRIPTION OF THE BUSINESS A_2
DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION (Policies) | 6 Months Ended |
Jun. 30, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation The unaudited condensed consolidated financial information furnished herein reflects all adjustments (consisting of normal recurring accruals) which are, in the opinion of management, considered necessary for a fair presentation of the financial position and the results of operations and cash flows of the Company for the periods presented. All intercompany accounts and transactions have been eliminated in consolidation. These unaudited Condensed Consolidated Financial Statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information. Accordingly, they do not include all of the information and notes required by GAAP for complete financial statements. These interim Condensed Consolidated Financial Statements should be read in conjunction with the PBF Holding and PBF Finance financial statements included in the Annual Report on Form 10-K for the year ended December 31, 2023. The results of operations for the three and six months ended June 30, 2024 are not necessarily indicative of the results to be expected for the full year. |
INVENTORIES (Tables)
INVENTORIES (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Inventory Disclosure [Abstract] | |
Schedule of inventory | Inventories consisted of the following: (in millions) June 30, 2024 December 31, 2023 Refined products and blendstocks $ 1,398.7 $ 1,536.5 Crude oil and feedstocks 1,307.5 1,495.4 Warehouse stock and other 158.0 151.2 2,864.2 3,183.1 Lower of cost or market adjustment — — Total inventories $ 2,864.2 $ 3,183.1 |
ACCRUED EXPENSES (Tables)
ACCRUED EXPENSES (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Payables and Accruals [Abstract] | |
Schedule of accrued expenses | Accrued expenses consisted of the following: (in millions) June 30, 2024 December 31, 2023 Inventory-related accruals $ 1,693.6 $ 1,716.2 Renewable energy credit and emissions obligations (a) 428.9 429.8 Accrued transportation costs 174.6 170.5 Excise and sales tax payable 145.6 137.3 Accrued salaries and benefits 76.9 185.5 Accrued refinery maintenance and support costs 58.4 60.2 Accrued utilities 51.4 71.0 Accrued capital expenditures 37.0 84.5 Environmental liabilities 12.7 15.7 Current finance lease liabilities 11.6 12.2 Accrued interest 9.8 32.4 Contingent consideration — 21.6 Other 70.2 31.1 Total accrued expenses $ 2,770.7 $ 2,968.0 __________________________ (a) The Company is subject to obligations to purchase Renewable Identification Numbers (“RINs”) required to comply with the Renewable Fuel Standard. The Company’s overall RINs obligation is based on a percentage of domestic shipments of on-road fuels as established by the Environmental Protection Agency (“EPA”). To the degree the Company is unable to blend the required amount of biofuels to satisfy its RINs obligation, RINs must be purchased on the open market to avoid penalties and fines. The Company records its RINs obligation on a net basis in Accrued expenses when its RINs liability is greater than the amount of RINs earned and purchased in a given period and in Prepaid and other current assets when the amount of RINs earned and purchased is greater than the RINs liability. In addition, the Company is subject to obligations to comply with federal and state legislative and regulatory measures, including regulations in the state of California pursuant to Assembly Bill 32 (“AB 32”), to address environmental compliance and greenhouse gas and other emissions. These requirements include incremental costs to operate and maintain the Company’s facilities as well as to implement and manage new emission controls and programs. Renewable energy credit and emissions obligations fluctuate with the volume of applicable product sales and timing of credit purchases. From time to time, the Company enters into forward purchase commitments in order to acquire its renewable energy and emissions credits at fixed prices. As of June 30, 2024, the Company had forward purchase commitments in excess of total accrued renewable energy and emissions obligations. The Company’s RIN obligations will be settled in accordance with established regulatory deadlines. The Company’s current AB 32 liability is part of an ongoing triennial period program which will next be settled in the fourth quarter of 2024. |
CREDIT FACILITIES AND DEBT (Tab
CREDIT FACILITIES AND DEBT (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Debt Disclosure [Abstract] | |
Schedule of long-term debt instruments | Debt outstanding consisted of the following: (in millions) June 30, 2024 December 31, 2023 6.00% senior unsecured notes due 2028 (“2028 Senior Notes”) $ 801.6 $ 801.6 7.875% senior unsecured notes due 2030 (“2030 Senior Notes”) 500.0 500.0 Revolving Credit Facility — — 1,301.6 1,301.6 Unamortized discount (3.0) (3.2) Unamortized deferred financing costs (47.1) (52.5) Long-term debt $ 1,251.5 $ 1,245.9 |
RELATED PARTY TRANSACTIONS (Tab
RELATED PARTY TRANSACTIONS (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
PBF Logistics LP | |
Schedule of related party transactions | A summary of the Company’s affiliate transactions with PBFX is as follows: Three Months Ended June 30, Six Months Ended June 30, (in millions) 2024 2023 2024 2023 Reimbursements under affiliate agreements: Services Agreement $ 2.1 $ 2.1 $ 4.3 $ 4.3 Omnibus Agreement 1.4 2.1 2.9 3.9 Total expenses under affiliate agreements (89.1) (84.8) (176.0) (173.8) |
St. Bernard Renewables LLC | Equity Method Investment, Nonconsolidated Investee or Group of Investees | |
Schedule of related party transactions | A summary of the Company’s related party transactions with SBR is as follows: Three Months Ended June 30, Six Months Ended June 30, (in millions) 2024 2023 2024 2023 Transactions under commercial agreements: Sales $ 8.2 $ — $ 13.2 $ — Purchases (73.3) — (164.5) — Reimbursements under related party agreements: Operating Agreement 31.5 — 66.8 — SBR Omnibus Agreements 1.1 — 2.2 — CAUSA 1.5 — 3.5 — Total lease expense under related party agreements (1.7) — (1.7) — |
REVENUES (Tables)
REVENUES (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of revenues from external customers | The following table provides information relating to the Company’s revenues from external customers for each product or group of similar products for the periods presented: Three Months Ended June 30, (in millions) 2024 2023 Gasoline and distillates $ 7,442.9 $ 8,142.1 Asphalt and blackoils 667.4 385.0 Feedstocks and other 375.9 349.8 Chemicals 152.7 174.2 Lubricants 87.7 97.3 Total Revenues $ 8,726.6 $ 9,148.4 Six Months Ended June 30, (in millions) 2024 2023 Gasoline and distillates $ 15,041.9 $ 16,374.7 Asphalt and blackoils 1,141.0 788.2 Feedstocks and other 683.8 767.6 Chemicals 319.7 314.4 Lubricants 176.6 189.0 Total Revenues $ 17,363.0 $ 18,433.9 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Income Tax Disclosure [Abstract] | |
Schedule of components of income tax provision (benefit) | The income tax provision in the PBF Holding Condensed Consolidated Statements of Operations consists of the following: Three Months Ended June 30, Six Months Ended June 30, (in millions) 2024 2023 2024 2023 Current income tax (benefit) expense $ (0.2) $ 0.2 $ 0.1 $ (0.7) Deferred income tax (benefit) expense (2.1) (0.2) (2.7) 0.1 Total income tax benefit $ (2.3) $ — $ (2.6) $ (0.6) |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Fair Value Disclosures [Abstract] | |
Schedule of fair value, assets and liabilities measured on recurring basis | The tables below present information about the Company’s financial assets and liabilities measured and recorded at fair value on a recurring basis and indicate the fair value hierarchy of the inputs utilized to determine the fair values as of June 30, 2024 and December 31, 2023. The Company has elected to offset the fair value amounts recognized for multiple derivative contracts executed with the same counterparty; however, fair value amounts by hierarchy level are presented on a gross basis in the tables below. The Company may be required to post margin collateral or reclaim cash collateral from derivative counterparties based on contractual terms. At June 30, 2024 and December 31, 2023, the Company had the obligation to return cash collateral posted against its derivative obligations of $22.3 million and $23.7 million, respectively. Cash collateral related to derivative contracts is recorded net in the Condensed Consolidated Balance Sheets. The Company has no derivative contracts that are subject to master netting arrangements that are reflected gross on the Condensed Consolidated Balance Sheets. As of June 30, 2024 Fair Value Hierarchy Total Gross Fair Value Effect of Counter-party Netting Net Carrying Value on Balance Sheet (in millions) Level 1 Level 2 Level 3 Assets: Money market funds $ 12.4 $ — $ — $ 12.4 N/A $ 12.4 Commodity contracts 23.8 2.9 — 26.7 (26.7) — Liabilities: Commodity contracts 31.5 2.1 — 33.6 (26.7) 6.9 Renewable energy credit and emissions obligations — 428.9 — 428.9 — 428.9 As of December 31, 2023 Fair Value Hierarchy Total Gross Fair Value Effect of Counter-party Netting Net Carrying Value on Balance Sheet (in millions) Level 1 Level 2 Level 3 Assets: Money market funds $ 130.3 $ — $ — $ 130.3 N/A $ 130.3 Commodity contracts 80.1 — — 80.1 (46.9) 33.2 Liabilities: Commodity contracts 46.9 — — 46.9 (46.9) — Renewable energy credit and emissions obligations — 429.8 — 429.8 — 429.8 Contingent consideration obligation — — 21.6 21.6 — 21.6 |
Fair value, liabilities measured on recurring basis, unobservable input reconciliation | The table below summarizes the changes in fair value measurements categorized in Level 3 of the fair value hierarchy, which primarily includes the prior year change in estimated future earnings related to the earn-out obligation associated with the acquisition of the Martinez Refinery and logistics assets: Three Months Ended June 30, Six Months Ended June 30, (in millions) 2024 2023 2024 2023 Balance at beginning of period $ 18.3 $ 123.4 $ 21.6 $ 150.5 Settlements (18.8) (78.2) (18.8) (83.6) Unrealized loss (gain) included in earnings 0.5 (27.7) (2.8) (49.4) Balance at end of period $ — $ 17.5 $ — $ 17.5 |
Schedule of fair value of debt | The table below summarizes the carrying value and fair value of debt as of June 30, 2024 and December 31, 2023. June 30, 2024 December 31, 2023 (in millions) Carrying Fair Carrying Fair 2028 Senior Notes (a) $ 801.6 $ 779.6 $ 801.6 $ 779.3 2030 Senior Notes (a) 500.0 511.9 500.0 514.8 1,301.6 1,291.5 1,301.6 1,294.1 Unamortized discount (3.0) n/a (3.2) n/a Less - Unamortized deferred financing costs (47.1) n/a (52.5) n/a Long-term debt $ 1,251.5 $ 1,291.5 $ 1,245.9 $ 1,294.1 ______________________ (a) The estimated fair value, categorized as a Level 2 measurement, was calculated based on the present value of future expected payments utilizing implied current market interest rates based on quoted prices of the outstanding senior notes. |
DERIVATIVES (Tables)
DERIVATIVES (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of fair value of derivative instruments | The following tables provide information regarding the fair values of derivative instruments as of June 30, 2024 and December 31, 2023, and the line items in the Condensed Consolidated Balance Sheets in which fair values are reflected. Description Balance Sheet Location Fair Value (in millions) Derivatives not designated as hedging instruments: June 30, 2024: Commodity contracts Accounts receivable $ (6.9) December 31, 2023: Commodity contracts Accounts receivable $ 33.2 |
Schedule of derivative instruments, gain (loss) recognized in income | The following table provides information regarding gains or losses recognized in income on derivative instruments and the line items in the Condensed Consolidated Statements of Operations in which such gains and losses are reflected. Description Location of Gain or (Loss) Recognized in Income on Derivatives Gain or (Loss) (in millions) Derivatives designated as hedging instruments: For the three months ended June 30, 2024: Derivatives included within the inventory intermediation agreement obligations Cost of products and other $ — For the three months ended June 30, 2023: Derivatives included within the inventory intermediation agreement obligations Cost of products and other $ (12.7) For the six months ended June 30, 2024: Derivatives included within the inventory intermediation agreement obligations Cost of products and other $ — For the six months ended June 30, 2023: Derivatives included within the inventory intermediation agreement obligations Cost of products and other $ (8.5) Derivatives not designated as hedging instruments: For the three months ended June 30, 2024: Commodity contracts Cost of products and other $ 28.0 For the three months ended June 30, 2023: Commodity contracts Cost of products and other $ 23.3 For the six months ended June 30, 2024: Commodity contracts Cost of products and other $ 2.5 For the six months ended June 30, 2023: Commodity contracts Cost of products and other $ 38.1 Hedged items designated in fair value hedges: For the three months ended June 30, 2024: Crude oil, intermediate and refined product inventory Cost of products and other $ — For the three months ended June 30, 2023: Crude oil, intermediate and refined product inventory Cost of products and other $ 12.7 For the six months ended June 30, 2024: Crude oil, intermediate and refined product inventory Cost of products and other $ — For the six months ended June 30, 2023: Crude oil, intermediate and refined product inventory Cost of products and other $ 8.5 |
DESCRIPTION OF THE BUSINESS A_3
DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION (Details) | Jun. 30, 2024 |
PBF Energy | Class A Common Stock | |
Description of Business [Line Items] | |
Percentage of ownership in PBF LLC | 99.30% |
INVENTORIES (Details)
INVENTORIES (Details) - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Inventory [Line Items] | ||
Refined products and blendstocks | $ 1,398,700,000 | $ 1,536,500,000 |
Crude oil and feedstocks | 1,307,500,000 | 1,495,400,000 |
Warehouse stock and other | 158,000,000 | 151,200,000 |
Inventory, Gross | 2,864,200,000 | 3,183,100,000 |
Lower of cost or market adjustment | 0 | 0 |
Total inventories | 2,864,200,000 | 3,183,100,000 |
Scenario, Adjustment | ||
Inventory [Line Items] | ||
Lower of cost or market adjustment | $ 0 | $ 0 |
ACCRUED EXPENSES (Details)
ACCRUED EXPENSES (Details) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 | |
Accrued Expenses: | |||
Inventory-related accruals | $ 1,693.6 | $ 1,716.2 | |
Renewable energy credit and emissions obligations | [1] | 428.9 | 429.8 |
Accrued transportation costs | 174.6 | 170.5 | |
Excise and sales tax payable | 145.6 | 137.3 | |
Accrued salaries and benefits | 76.9 | 185.5 | |
Accrued refinery maintenance and support costs | 58.4 | 60.2 | |
Accrued utilities | 51.4 | 71 | |
Accrued capital expenditures | 37 | 84.5 | |
Environmental liabilities | 12.7 | 15.7 | |
Current finance lease liabilities | 11.6 | 12.2 | |
Accrued interest | 9.8 | 32.4 | |
Contingent consideration | 0 | 21.6 | |
Other | 70.2 | 31.1 | |
Total accrued expenses | $ 2,770.7 | $ 2,968 | |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Total accrued expenses | Total accrued expenses | |
[1]The Company is subject to obligations to purchase Renewable Identification Numbers (“RINs”) required to comply with the Renewable Fuel Standard. The Company’s overall RINs obligation is based on a percentage of domestic shipments of on-road fuels as established by the Environmental Protection Agency (“EPA”). To the degree the Company is unable to blend the required amount of biofuels to satisfy its RINs obligation, RINs must be purchased on the open market to avoid penalties and fines. The Company records its RINs obligation on a net basis in Accrued expenses when its RINs liability is greater than the amount of RINs earned and purchased in a given period and in Prepaid and other current assets when the amount of RINs earned and purchased is greater than the RINs liability. In addition, the Company is subject to obligations to comply with federal and state legislative and regulatory measures, including regulations in the state of California pursuant to Assembly Bill 32 (“AB 32”), to address environmental compliance and greenhouse gas and other emissions. These requirements include incremental costs to operate and maintain the Company’s facilities as well as to implement and manage new emission controls and programs. Renewable energy credit and emissions obligations fluctuate with the volume of applicable product sales and timing of credit purchases. From time to time, the Company enters into forward purchase commitments in order to acquire its renewable energy and emissions credits at fixed prices. As of June 30, 2024, the Company had forward purchase commitments in excess of total accrued renewable energy and emissions obligations. The Company’s RIN obligations will be settled in accordance with established regulatory deadlines. The Company’s current AB 32 liability is part of an ongoing triennial period program which will next be settled in the fourth quarter of 2024. |
CREDIT FACILITIES AND DEBT (Sum
CREDIT FACILITIES AND DEBT (Summary of Long-Term Debt) (Details) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 | |
Debt Instrument [Line Items] | |||
Long-term Debt, Gross | $ 1,301.6 | $ 1,301.6 | |
Unamortized discount | (3) | (3.2) | |
Unamortized deferred financing costs | (47.1) | (52.5) | |
Long-term debt | $ 1,251.5 | 1,245.9 | |
$6.00% senior unsecured notes due 2028 (“2028 Senior Notes”) | |||
Debt Instrument [Line Items] | |||
Interest rate | 6% | ||
$7.875% senior unsecured notes due 2030 (“2030 Senior Notes”) | |||
Debt Instrument [Line Items] | |||
Interest rate | 7.875% | ||
Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Revolving Credit Facility | $ 0 | 0 | |
$6.00% senior unsecured notes due 2028 (“2028 Senior Notes”) | |||
Debt Instrument [Line Items] | |||
Long-term Debt | [1] | 801.6 | 801.6 |
$7.875% senior unsecured notes due 2030 (“2030 Senior Notes”) | |||
Debt Instrument [Line Items] | |||
Long-term Debt | [1] | $ 500 | $ 500 |
[1]The estimated fair value, categorized as a Level 2 measurement, was calculated based on the present value of future expected payments utilizing implied current market interest rates based on quoted prices of the outstanding senior notes. |
RELATED PARTY TRANSACTIONS (Nar
RELATED PARTY TRANSACTIONS (Narrative) (Details) | 6 Months Ended |
Jun. 30, 2024 | |
Related Party Transactions [Abstract] | |
Service agreement, number of days notice needed for service termination | 30 days |
RELATED PARTY TRANSACTIONS (Sum
RELATED PARTY TRANSACTIONS (Summary of Transactions with PBFX) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | |
Related Party Transaction [Line Items] | |||||
Accounts receivable | $ 1,478.6 | $ 1,478.6 | $ 1,336.1 | ||
Accrued expenses | 2,770.7 | 2,770.7 | 2,968 | ||
PBF Logistics LP | |||||
Related Party Transaction [Line Items] | |||||
Accounts receivable | 4.6 | 4.6 | 5.2 | ||
Accrued expenses | 38.8 | 38.8 | $ 43.7 | ||
PBF Logistics LP | Cost of products and other | |||||
Related Party Transaction [Line Items] | |||||
Total expenses under affiliate agreements | (89.1) | $ (84.8) | (176) | $ (173.8) | |
PBF Logistics LP | Services Agreement | General and Administrative Expense | |||||
Related Party Transaction [Line Items] | |||||
Total expenses under affiliate agreements | 2.1 | 2.1 | 4.3 | 4.3 | |
PBF Logistics LP | Omnibus Agreement | General and Administrative Expense | |||||
Related Party Transaction [Line Items] | |||||
Total expenses under affiliate agreements | $ 1.4 | $ 2.1 | $ 2.9 | $ 3.9 |
RELATED PARTY TRANSACTIONS (S_2
RELATED PARTY TRANSACTIONS (Summary of Transactions with SBR) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | |
Related Party Transaction [Line Items] | |||||
Revenues | $ 8,726.6 | $ 9,148.4 | $ 17,363 | $ 18,433.9 | |
Accounts receivable | 1,478.6 | 1,478.6 | $ 1,336.1 | ||
Accrued expenses | 2,770.7 | 2,770.7 | 2,968 | ||
St. Bernard Renewables LLC | |||||
Related Party Transaction [Line Items] | |||||
Accounts receivable | 28.7 | 28.7 | 22.1 | ||
Accrued expenses | 23.1 | 23.1 | $ 28.3 | ||
St. Bernard Renewables LLC | Equity Method Investment, Nonconsolidated Investee or Group of Investees | |||||
Related Party Transaction [Line Items] | |||||
Revenues | 8.2 | 0 | 13.2 | 0 | |
Purchases from related party | (73.3) | 0 | (164.5) | 0 | |
St. Bernard Renewables LLC | Equity Method Investment, Nonconsolidated Investee or Group of Investees | General and Administrative Expense | Operating Agreement | |||||
Related Party Transaction [Line Items] | |||||
Total expenses under affiliate agreements | 31.5 | 0 | 66.8 | 0 | |
St. Bernard Renewables LLC | Equity Method Investment, Nonconsolidated Investee or Group of Investees | General and Administrative Expense | Omnibus Agreement | |||||
Related Party Transaction [Line Items] | |||||
Total expenses under affiliate agreements | 1.1 | 0 | 2.2 | 0 | |
St. Bernard Renewables LLC | Equity Method Investment, Nonconsolidated Investee or Group of Investees | General and Administrative Expense | CAUSA | |||||
Related Party Transaction [Line Items] | |||||
Total expenses under affiliate agreements | 1.5 | 0 | 3.5 | 0 | |
St. Bernard Renewables LLC | Equity Method Investment, Nonconsolidated Investee or Group of Investees | Cost of products and other | Lease Agreements | |||||
Related Party Transaction [Line Items] | |||||
Total expenses under affiliate agreements | $ (1.7) | $ 0 | $ (1.7) | $ 0 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Loss Contingencies [Line Items] | ||
Environmental liability | $ 152.4 | $ 155.8 |
Environmental liability, noncurrent | 139.7 | 140.1 |
Environmental Issue | Torrance Refinery | ||
Loss Contingencies [Line Items] | ||
Environmental liability | $ 110.6 | $ 114.9 |
REVENUES (Details)
REVENUES (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | |
Total Revenues | $ 8,726.6 | $ 9,148.4 | $ 17,363 | $ 18,433.9 | |
Deferred revenue | 20.5 | 20.5 | $ 63.6 | ||
Gasoline and distillates | |||||
Total Revenues | 7,442.9 | 8,142.1 | 15,041.9 | 16,374.7 | |
Asphalt and blackoils | |||||
Total Revenues | 667.4 | 385 | 1,141 | 788.2 | |
Feedstocks and other | |||||
Total Revenues | 375.9 | 349.8 | 683.8 | 767.6 | |
Chemicals | |||||
Total Revenues | 152.7 | 174.2 | 319.7 | 314.4 | |
Lubricants | |||||
Total Revenues | $ 87.7 | $ 97.3 | $ 176.6 | $ 189 |
INCOME TAXES (Details)
INCOME TAXES (Details) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 USD ($) | Jun. 30, 2023 USD ($) | Jun. 30, 2024 USD ($) subsidiary | Jun. 30, 2023 USD ($) | |
Income Tax Disclosure [Abstract] | ||||
Number of subsidiaries acquired | subsidiary | 2 | |||
Current income tax (benefit) expense | $ (0.2) | $ 0.2 | $ 0.1 | $ (0.7) |
Deferred income tax (benefit) expense | (2.1) | (0.2) | (2.7) | 0.1 |
Total income tax benefit | $ (2.3) | $ 0 | $ (2.6) | $ (0.6) |
FAIR VALUE MEASUREMENTS (Measur
FAIR VALUE MEASUREMENTS (Measured on Recurring Basis) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Jun. 30, 2024 | Dec. 31, 2023 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets, Effect of Counter-party Netting | $ (22.3) | $ (23.7) |
Derivative, Collateral, Obligation to Return Cash | 22.3 | 23.7 |
Payment for Contingent Consideration Liability, Operating Activities | 18.8 | |
Other Assets | Pension Benefits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Defined Benefit Plan, Plan Assets, Amount | 19.3 | 18.8 |
Fair Value, Measurements, Recurring | Commodity contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 33.6 | 46.9 |
Derivative, Collateral, Right to Reclaim Cash | (26.7) | (46.9) |
Derivative Liability | 6.9 | 0 |
Fair Value, Measurements, Recurring | Commodity contracts | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 31.5 | 46.9 |
Fair Value, Measurements, Recurring | Commodity contracts | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 2.1 | 0 |
Fair Value, Measurements, Recurring | Commodity contracts | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 0 | 0 |
Fair Value, Measurements, Recurring | Renewable energy credit and emissions obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative, Collateral, Right to Reclaim Cash | 0 | 0 |
Obligations, Fair Value Disclosure | 428.9 | 429.8 |
Fair Value, Measurements, Recurring | Renewable energy credit and emissions obligations | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Obligations, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | Renewable energy credit and emissions obligations | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Obligations, Fair Value Disclosure | 428.9 | 429.8 |
Fair Value, Measurements, Recurring | Renewable energy credit and emissions obligations | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Obligations, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | Contingent consideration obligation | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative, Collateral, Right to Reclaim Cash | 0 | |
Obligations, Fair Value Disclosure | 21.6 | |
Fair Value, Measurements, Recurring | Contingent consideration obligation | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Obligations, Fair Value Disclosure | 0 | |
Fair Value, Measurements, Recurring | Contingent consideration obligation | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Obligations, Fair Value Disclosure | 0 | |
Fair Value, Measurements, Recurring | Contingent consideration obligation | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Obligations, Fair Value Disclosure | 21.6 | |
Fair Value, Measurements, Recurring | Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 12.4 | 130.3 |
Fair Value, Measurements, Recurring | Money market funds | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 12.4 | 130.3 |
Fair Value, Measurements, Recurring | Money market funds | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 0 | 0 |
Fair Value, Measurements, Recurring | Money market funds | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 0 | 0 |
Fair Value, Measurements, Recurring | Commodity contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 26.7 | 80.1 |
Derivative assets, Effect of Counter-party Netting | (26.7) | (46.9) |
Derivative assets, Net Carrying Value on Balance Sheet | 0 | 33.2 |
Derivative, Collateral, Obligation to Return Cash | 26.7 | 46.9 |
Fair Value, Measurements, Recurring | Commodity contracts | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 23.8 | 80.1 |
Fair Value, Measurements, Recurring | Commodity contracts | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 2.9 | 0 |
Fair Value, Measurements, Recurring | Commodity contracts | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | $ 0 | $ 0 |
FAIR VALUE MEASUREMENTS (Change
FAIR VALUE MEASUREMENTS (Change in Fair Value at Level 3) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Change in Fair Value Measurement Categorized in Level 3 [Roll Forward] | ||||
Transfers into Level 3 | $ 0 | $ 0 | $ 0 | $ 0 |
Transfers out of Level 3 | 0 | 0 | 0 | 0 |
Contingent consideration obligation | ||||
Change in Fair Value Measurement Categorized in Level 3 [Roll Forward] | ||||
Balance at beginning of period | 18,300,000 | 123,400,000 | 21,600,000 | 150,500,000 |
Settlements | (18,800,000) | (78,200,000) | (18,800,000) | (83,600,000) |
Unrealized loss (gain) included in earnings | 500,000 | (27,700,000) | (2,800,000) | (49,400,000) |
Balance at end of period | $ 0 | $ 17,500,000 | $ 0 | $ 17,500,000 |
FAIR VALUE MEASUREMENTS (Fair V
FAIR VALUE MEASUREMENTS (Fair Value and Carrying Value of Debt) (Details) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Long-term Debt, Gross | $ 1,301.6 | $ 1,301.6 | |
Unamortized discount | (3) | (3.2) | |
Less - Unamortized deferred financing costs | (47.1) | (52.5) | |
Long-term debt, Carrying value | 1,251.5 | 1,245.9 | |
Long-term debt, Fair value | 1,291.5 | 1,294.1 | |
Long-term debt, excluding current maturities, Fair value | 1,291.5 | 1,294.1 | |
$6.00% senior unsecured notes due 2028 (“2028 Senior Notes”) | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Long-term Debt | [1] | 801.6 | 801.6 |
Long-term debt, Fair value | [1] | 779.6 | 779.3 |
$7.875% senior unsecured notes due 2030 (“2030 Senior Notes”) | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Long-term Debt | [1] | 500 | 500 |
Long-term debt, Fair value | [1] | $ 511.9 | $ 514.8 |
[1]The estimated fair value, categorized as a Level 2 measurement, was calculated based on the present value of future expected payments utilizing implied current market interest rates based on quoted prices of the outstanding senior notes. |
DERIVATIVES (Narrative) (Detail
DERIVATIVES (Narrative) (Details) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 USD ($) bbl | Jun. 30, 2023 USD ($) | Jun. 30, 2024 USD ($) bbl | Jun. 30, 2023 USD ($) | Dec. 31, 2023 bbl | |
Derivative [Line Items] | |||||
Derivative, fair value hedge ineffectiveness | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Crude Oil Commodity Contract | Not Designated as Hedging Instrument | |||||
Derivative [Line Items] | |||||
Derivative, notional amount, volume | 21,697,000 | 21,697,000 | 23,774,000 | ||
Refined Product Commodity Contract | Not Designated as Hedging Instrument | |||||
Derivative [Line Items] | |||||
Derivative, notional amount, volume | 6,718,000 | 6,718,000 | 5,351,000 |
DERIVATIVES (Fair Value of Deri
DERIVATIVES (Fair Value of Derivative Instruments) (Details) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Not Designated as Hedging Instrument | Commodity contracts | Accounts receivable | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value Asset/(Liability) | $ (6.9) | $ 33.2 |
DERIVATIVES (Gain (Loss) Recogn
DERIVATIVES (Gain (Loss) Recognized in Income) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Cost of Revenue | Cost of Revenue | Cost of Revenue | Cost of Revenue |
Commodity contracts | Not Designated as Hedging Instrument | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain or (Loss) Recognized in Income on Derivatives | $ 28 | $ 23.3 | $ 2.5 | $ 38.1 |
Derivatives included within inventory intermediation agreement obligations | Designated as Hedging Instrument | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain or (Loss) Recognized in Income on Derivatives | 0 | (12.7) | 0 | (8.5) |
Intermediates and Refined Products Inventory | Designated as Hedging Instrument | Fair Value Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain or (Loss) Recognized in Income on Derivatives | $ 0 | $ 12.7 | $ 0 | $ 8.5 |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) | Aug. 01, 2024 $ / shares |
Subsequent Event | Class A Common Stock | |
Subsequent Event [Line Items] | |
Dividends declared per share (in dollars per share) | $ 0.25 |