With a combined revenue of $21 trillion and $2.1 trillion in profits, the 2026 Fortune 500 is the definitive list of America's largest companies.

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The corporations on our annual list of the world's 500 largest companies combined to generate $41.7 trillion in revenue over the past year.

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Almost $20 trillion in revenue—and a record-breaking $1.87 trillion in profits. Introducing the 2025 Fortune 500, the definitive list of the biggest companies in America.

The corporations on our annual list posted aggregate revenues of $41 trillion for the second year in a row.

Industries included in the sector are mining, oil and gas exploration and services, pipelines, refining, and utilities.

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The corporations on our annual list of the world’s largest companies delivered a record $41 trillion in aggregate revenues.

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F500-2023-092-PBF Energy

The petroleum refiner and supplier leaped 38 spots on the Fortune 500 list this year, earning $47 billion in revenue, a 72% increase from the previous year. 
<ul> 
 	<li>In May 2023, PBF Energy announced a CEO transition plan. Tom Nimbley, who has led the company for over a decade, is transitioning to executive chairman effective July 1, 2023. PBF’s current president, Matthew C. Lucey, will assume the role of CEO.</li> 
 	<li>Nimbley said that one focus in 2023 will be shoring up the company’s refining systems. “We ran our assets hard in response to demand last year,” he said in the fourth-quarter earnings report. “Consequently, we are focused on investing in and maintaining our assets to ensure our operations remain safe, reliable, and available to supply the market.”</li> 
 	<li>PBF eliminated over $2 billion in debt in 2022, Nimbley said, effectively finishing the year with zero net debt.</li> 
</ul>

This year’s Fortune 500 marks the 68th running of the list.

This year’s Fortune 500 marks the 67th running of the list.

F500-2021-203-PBF Energy Inc.

PBF Energy is an independent petroleum refiner supplying unbranded transportation fuels and petroleum products.

This year's Fortune 500 marks the 66th running of the list.

F500-2020-125-PBF-Energy

The supplier of transportation fuels owns and operates petroleum refineries in California, New Jersey, Delaware, Louisiana, and Ohio.

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Everybody loves an up-and-comer: 2019's top three-year performers in revenues, profits, and stock returns.

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One of the largest oil refining and petroleum products players in the U.S., New Jersey–based PBF Energy quietly produces and handles much of the nation’s fuel. With large refining complexes in Delaware, New Jersey, Ohio, Louisiana, and California, PBF can process more than 1 million barrels of crude oil per day. PBF sells and handles logistics for gasoline, diesel, jet fuel, biofuels, and many other petroleum products, including asphalt. PBF also runs St. Bernard Renewables, a biorefinery outside New Orleans, in a 50-50 partnership with Italy’s Eni, churning out renewable diesel.

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PBF Energy (PBF): Company Profile, Stock Price, News, Rankings

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PBF Energy

pbf energy

Good day, everyone, and welcome to the PBF Energy First Quarter twenty twenty five Earnings Conference Call and Webcast. At this time, all participants have been placed in a listen only mode and the floor will be opened for questions following management prepared remarks. Please note that this conference is being recorded. It is now my pleasure to turn the floor over to Colin Murray of Investor Relations. Sir, you may begin.

Thank you, John. Good morning, and welcome to today's call. With me today are Matt Lucey, our President and CEO Mike Bukowski, our Senior Vice President and Head of Refining Karen Davis, our CFO and several other members of our management team. Copies of today's earnings release and our 10 Q filing, including supplemental information, are available on our website. Before getting started, I'd like to direct your attention to the Safe Harbor statement contained in today's press release.

Statements that express the company's or management's expectations or predictions of the future are forward looking statements intended to be covered by the safe harbor provisions under federal securities laws. Consistent with our prior periods, we will discuss our results excluding special items, which are described in today's press release. Also included in the press release is forward looking guidance information. For any questions on these items or other follow-up questions, please contact Investor Relations. For reconciliations of any non GAAP measures mentioned on today's call, please refer to the supplemental tables provided in the press release.

I'll now turn the call over to Matt Lucey.

Thanks, Colin. Good morning, everyone, and thank you for joining the call. To say the first quarter was tumultuous would be an understatement. Between the uncertain economic environment and our Martinez Martinez event, there's been a lot to digest. I'm happy to report that Phase one of our restart plans for Martinez were recently completed.

Consistent with our March update, we safely restarted a number of the unaffected units, including the crude unit, hydrocracker and delayed coker. The refinery will be running in this limited configuration in the 85 to 105,000 barrels per day range. Getting to this point was no small lift for the Martinez team, especially given they were simultaneously continuing their initial work to rebuild the fire damaged areas, conducting the planned FCC turnaround and repair and preparing at successfully executing the start up. In the current configuration, we'll be supplying limited quantities of finished gasoline and jet fuel to the California markets. We will also be producing intermediates, which we intend to further process into finished products at Torrance.

Our business interruption waiting period ended on April 3, and we expect that we from that date forward, we will see the portion of our insurance program respond as well. As mentioned in our press release, our insurance have agreed to pay a first installment of $250,000,000 which we expect to receive this quarter. We are appreciative of the willingness of our insurance carriers to provide interim payments. This goes directly to the quality of our program and the relationships that have been established, in many cases, more than a decade ago. Despite the broader concerns in the market, the fundamentals are improving as we approach driving season.

Demand is resilient and showing signs of strength. Gasoline stocks are below the five year average, and distillate stocks are at the bottom of the range, and cracks are constructive.

That said, differentials for our preferred heavy and sour feedstocks are definitively a headwind.

These narrow differentials reduce capture rates for complex refiners such as PBF. We are encouraged, however, with the reintroduction of incremental OPEC plus barrels with the prospect of more to come. As these tight differentials begin to loosen, PBF will be a direct beneficiary. Longer term, we continue to see incremental product demand growth exceeding net refining capacity additions. This is a constructive setup for the global refining environment.

We are seeing more rationalizations than expected in 2025 and 'twenty six, with new additions declining as we look further out. PBF is focused on controlling the aspects of our business that we can control to best position ourselves going forward. In this current cycle, PBF's balance sheet provides us with the flexibility to weather challenging markets and look ahead to the next market cycle. To be successful and enhance value for our investors, we must operate safely, reliably and responsibly, and we must do it as efficiently as possible. As part of our ongoing review of our portfolio of assets to maximize value for investors, today, we announced the sale of our Knoxville and Philadelphia terminal assets for $175,000,000 This process began last year, and we expect the transaction will close in the second half of this year.

I'll now turn the call over to Mike Mikowski for comments on operations and our cost savings program, which are tracking ahead of plan.

Thank you, Matt. Good morning, everyone. Before updating the progress we've made on our refining business improvement program, or RBI for short, I'll provide some additional commentary on first quarter operations. On the West Coast, during a mid March weather event, a loss of steam occurred at Torrance, which shut down the majority of

refinery. Initial expectations were for five to seven days of downtime. After the initial repairs were completed within seven days, we began a sequence restart of the refining units in late March. Unfortunately, issues occurred during restart attempts, which primarily resulted from the initial rapid shutdown. The restart was completed in mid April.

In addition to the work on the West Coast, we executed turnarounds at the Chalmette and Delaware City refineries. In Chalmette, the turnaround was completed on time and on budget. I'd like to I would also like to congratulate and thank the Chalmette refinery for successfully and safely managing operations through a record breaking snowstorm and freezing temperatures in January. At Delaware City, a turnaround of the hydrocracker was performed according to plan. The work was completed in the April.

Shifting topics to RBI. Earlier in 2025, we announced the initiative as part of our ongoing strategic process to extract incremental value across our business. Since then, we have generated over 500 cost saving ideas through more than 40 idea generation sessions. Our teams are building out these ideas with actionable, quantifiable and measurable plans. Initially, we are focused on five main areas, including projects and turnarounds, strategic procurement opportunities, the East Coast refining system, the Torrance Refinery and the refining organizational structure.

Our stated goal is to generate and deliver more than $200,000,000 of annualized run rate sustainable cost savings by year end 2025. This effort will ultimately touch all our locations, including some centralized functions. That said, in the four months since our initial announcement, we've had teams at Torrance and on the East Coast, and we are looking at various centralized groups such as capital turnaround to procurement. We are currently on track to exceed our stated goal of $200,000,000 of run rate savings by year end 2025. As a reminder, we will realize the full value of these savings in 2026 and a prorated portion in 2025 as we move through implementation.

In terms of next steps, we will continue implementing initiatives and tracking success while progressing the program through our remaining locations and functions to generate additional actionable ideas that will translate to real cost savings. Lastly, we've reviewed our 2025 capital program and have elected to eliminate a number of discretionary and small strategic projects from the 2025 plan without affecting our maintenance, environmental or safety related programs. Our revised total capital budget for 2025 is now in the $750,000,000 to $775,000,000 range. Capital expenditures to rebuild Martinez and bring it back to full operations are separate as these costs will be covered by insurance. We will continue to look at our capital going forward and make adjustments as needed depending on operations and market conditions.

We have a number of positive initiatives going on across our organizations, but our main priority will always be to focus on safe, reliable and responsible operations across the system. With that, I'll now turn the call over to Kara Davis for our financial overview.

Thanks, Mike. For the first quarter, we reported an adjusted net loss of $3.09 per share and adjusted EBITDA loss of $258,800,000 Our discussion of first quarter results excludes a $78,100,000 special item related to expenses resulting from the Martinez refinery incident and an $8,700,000 gain relating to PBF's fifty percent share of SBR's lower of cost or market adjustment for the quarter. As Matt said earlier, we received notice that our insurers have agreed to pay an unallocated first installment of insurance proceeds of $250,000,000 which we should receive in the second quarter. We expect that we will negotiate additional interim payments, most likely on a quarterly basis. However, the timing and amount of any agreed upon future payments will be dependent on the amount of covered expenditures that we actually incur plus calculated business interruption losses.

We are very early in the recovery and claim process and we expect that cash recoveries could lag to a certain extent our expenses incurred and covered losses. Our Q1 P and L reflects incremental OpEx at Martinez of $78,100,000 related to fire response, recovery and cleanup efforts, which are reflected as a Q1 special item. We anticipate recovering a portion of this amount through insurance, but the specific amount of the recovery will be determined as we progress further into the claims process. We also wrote down the net book value of the fire damaged assets by 56,000,000 and recorded a corresponding insurance receivable for the same amount plus an additional cost. Generally speaking, any insurance proceeds that we receive in future periods, including the $250,000,000 upfront payment expected this quarter, that is in excess of the $61,000,000 insurance receivable will be reflected as other operating income on our income statement.

It is our intent to present insurance proceeds that we report in other operating income as a special item going forward. Shifting back to our normal quarterly results discussion, also included in our results is a $17,000,000 loss related to PBF's equity investment in St. Bernard renewables. SBR produced an average of 10,000 barrels per day of renewable diesel in the first quarter. Second quarter RD production is expected to be 12,000 to 14,000 barrels per day as a result of plant catalyst change that began in March and ended in April.

Cash flow used in operations for the quarter was 661,400,000 which includes a working capital headwind of approximately $330,000,000 primarily related to the January 2025 tax receivable agreement payment of $131,000,000 and a temporary increase in hydrocarbon inventory levels related to the Martinez and Torrance downtime. We expect inventory levels to be reduced by approximately 2,000,000 barrels by the end of the second quarter as compared to March 31. Cash invested in consolidated CapEx for the first quarter was $218,300,000 which includes refining, corporate and logistics. This amount also includes approximately $28,000,000 of CapEx related to the Martinez incident. Additionally, our Board of Directors approved a regular quarterly dividend of $0.02 $75 per share.

We ended the quarter with approximately $469,000,000 in cash and approximately $1,770,000,000 of net debt. Maintaining our firm financial footing and a resilient balance sheet remain priorities. In the first quarter, we accessed the capital markets through our $800,000,000 upsized senior notes offering. This issuance bolsters our balance sheet and ensures that we have sufficient liquidity as we navigate the turbulent commodities markets and rebuild from the Martinez incident. At quarter end, our net debt to cap was 29%, and our current liquidity is approximately $2,400,000,000 based on a cash balance of $469,000,000 and $2,000,000,000 of available borrowing capacity under our ABL.

Our liquidity position is ample, and our plans to reduce inventory, receipt of the First Martinez insurance payment and receipt of the proceeds from the pending sale of the terminals should bolster this further. As we look ahead, we expect to use periods of strength to focus on delevering and preserving the balance sheet. Operator, we've completed our opening remarks, and we'd be pleased to take questions.

Thank you. In a moment, we'll open the call for questions. The company requests that all callers limit each turn to one question and one follow-up. You may rejoin the queue with additional questions.

You. We now have our first question. It comes from the line of Roger Read from Wells Fargo. Your line is now open. Please go ahead.

Let's, I guess, let's let's hit Martinez. Right? You've been in there enough now to get a feel for what the damage was, what the repair process ought to be. I think the expectation at the time or at least the initial expectation on the last time we talked about this was beginning of q four or in q four, you could get, you know, back up and running. So I'm just curious as you look at the unit, the repair process, permitting California, all that stuff, how is it, how is it looking on that front?

No change at this point. Long lead items have been ordered. And so, you know, once you get into the execution of of of some of the rebuild, you know, when when that equipment arrives, the schedule will will, you know, tighten, or stress will be put on the schedule. But at this point, we we're there's no change.

Okay. And then in terms of moving the product, like you said, the intermediates down from Martinez to Torrance, has that actually occurred yet? Like, you're you're comfortable with the way the the system will be integrated for the interim period?

It's happening today. Torrance is fully up and running and fully operational.

Great. Thanks. And then, Karen, since you gave this guidance, I'm just sort of curious volume guidance on renewable diesel, but how should we think about this whole confusing status with RINs and other sort of you know, BTC to PTC change and and other parts of how that's operate.

I I know you said, Karen and and she hit a hot button with me, Roger, that I can't. Okay. I don't care. I hear you caught on it. If you said the word rent, it's, like, set something off with.

I mean, the current market is is unstable or unstable, to say the least. I mean, rent the d four rent prices surged 75% since beginning of the year. You know, why is that? I guess there's three primary reasons. And this is the d four rent.

Right? So you've got the PTC questions. There's no clarity. Fine. There's now tariffs imposed on some of the feedstocks, so that increases cost and, you know, reduces supply.

And then you have the elimination for credits for imported fuels. So you have you have much less RD supply. So the d four RIN has to go up. The problem is the d six is tied to the d four. They're they're linked.

And so all indications suggest that we're gonna be on the potential of another RINsane event. And it's it's sort of interesting certainly with the current administration because you have this massive contradiction with the current administration where maybe the two strongest pillars of their whole platform is commitment to low energy prices and an intent to incentivize domestic manufacturing. But if this situation doesn't get rectified on the d six RINs, then, you know, the American consumer could face unintended consequences with higher gasoline prices, higher energy prices, and then we can get back to the D6 RIN threatening refining capacity, which we've been through before. And what's what's crazy about it is it can just so easily be rectified.

can do it in any number of ways, an infinite number of ways, is is right size the ethanol mandate. That reflects reality, you know, as opposed to setting it above the blend wall, which, you know, simply decouples the d six with d four, which is the original intent. The d four should be incenting new manufacturing of renewable diesel because you need those government support to to get the product in the marketplace. But the amount of ethanol in the fuel pool is unchanging, is not driven by RIN prices. So the d six being connected to the d four accomplishes two things.

It raises the price of gasoline, and it potentially threatens refineries. So I will be doing everything in my power to get that message out. Indeed, going down to Washington and making sure that they understand the contradictions that exist. I'm not sure that that's exact that diatribe is what you're looking for, but I want to get it off my chest anyway.

Well, maybe if we could hone in just a little bit on SBR there, though, like, understand catalyst change outs and stuff like that. But if we were to look at SBR in isolation, I mean, how do you think it's performing in this you know, we're we're still waiting for, as you mentioned, you know, clarity on some of the the new rules. Just

Just I I think that in isolation, the the net net is actually the landscape has improved for SBR because, you know, on Blender's tax credit, which was $1 the PTC is that sort of nebulous guidance is now, will receive a little less than half of that. But the D4 RIN has risen more than that fall off in the blender tax credit. So the outlook for SBR specifically, coming out of the catalyst change, which by the way, we are expecting improvements from the catalyst itself as UOP has been making investments in improving the catalyst. So the the outlook for SBR unto itself is certainly improved going forward with the higher rent price, But then that that just creates d six problems that need to get addressed.

Thank you. And the next question comes from Manav Gupta from UBS. Your line is now open. Please go ahead.

Good morning, guys. I wanted to get your view on the crude quality discounts. Looks like OPEC is raising volumes. We've also seen some rebound in refining cracks, but the reason refining estimates are not moving up or probably even slightly moving down is because these crude quality discounts are are very low. And so in your opinion, as OPEC brings back these barrels, what do you expect to happen for the heavy light spreads, on the Gulf Coast or or or or all coast right now?

Yeah. Thanks, Manav. I mean, I think it certainly has taken us as sort of a positive note from the words we've seen from OPEC plus over the last couple weeks. You know, first one of the official reactions for the increases for May. And then, you know, we should be receiving more news next week, you know, as the JMCC moves through.

Clearly, there's a lot of, you know, commentary and and information that's in the market that is talking about an increased taper. But next week also, we should receive OSPs and all those other nice things that come along there. And, you know, broadly speaking, as you mentioned, yes, we've been in a very narrow range, but it's certainly our expectation with the changes that are, you know, coming to the market with OPEC policy that we should see differential start to widen out.

From from my you know, from a hundred thousand foot view, I mean, Tom Tom covers it, sort of down to the to the barrel. But on a, you know, real high level view, I think the what's in the marketplace now and and admittedly some speculation, the moves of OPEC over the next couple months could overwhelm a lot of the headwinds that we've had, you know, whether it's on Venezuela or other tariffs and sanctions that have disrupted our our business and, you know, Mexican production coming off of it. But the taper move from OPEC plus is a big, big factor in your question. And I don't know if there's a a more levered beneficiary to move than PBL.

Perfect, sir. So I'm going to repeat this question which I had asked you, I think, three or four quarter calls again, ago, which was basically that it looks like the state of California is trying to push out refineries. And I think, Matt, your response was whether they are trying to do this or not, we are needed. If you push keep pushing us out, it will create a lot more volatility for product prices and consumers will suffer. I'm just trying to understand the way things have gone in the last three or four quarters.

It's becoming increasingly clear from your peers that this is a relentless push to get rid of refineries in the state of California. And I just wanted your comments on it. Are you also feeling the same way that or do you think, you know, something might change here and they might realize they're doing the wrong thing here?

Well, I appreciate the question. And and I'd say, Manav, to call the situation California dynamic would be a huge understatement. And maybe just maybe it's it's a case of, you know, nothing focuses mine like a pending hanging or a looming energy crisis. But I actually think there's been recognition in the state, certainly in the last couple months, how critical our products are for the well-being of the people within the state. And indeed, not only how important they are, but indeed the recognition that they're gonna be in demand for many decades to come.

And if you go and look at the state's numbers pro form a for the announced closures, by next year, we see the market short 250,000 barrels a day of gasoline or over 250,000 barrels a day of gasoline, which will force the market to attract higher cost imports. So we believed in, as I said three or four quarters ago, whenever it was, that our system of two refineries between Torrance and Martinez has been and is today, going forward, one of best systems out there in California. And but whatever I said three or four quarters ago, our system is even more critical to the state today. And certainly for the situation not to deteriorate any further, there must be recognition by the stakeholders. There has to be a level playing field for the participants in the in the market.

So I will tell you, I have been more than pleased and encouraged by the recent conversations we've had. Words like we need to work collaboratively, which is somewhat unthinkable not not too long ago. But the refineries, look, at the end of the day, they need to execute a business plan that makes sense. And otherwise, this trend of closures will continue. We believe, I think I said this probably some time ago, the value and best use for our assets are in refining.

But that absolutely requires a business environment that allows us to succeed. And I've gotten some indications that that is well understood within the state. So there's because the other reality is the alternative values in California are compelling. It's not it's not like many other situations. The underlying value of these assets is fairly extraordinary.

So that creates a high bar of what must be made in refining. So I've been encouraged by the state. I've had we are we have a team embedded there. People focused on it for a % of what they do, and and indeed, I've had a number of conversations with them. And so, you know, at the moment, I believe our refineries are well positioned to not only deliver the low cost products that the state is desperately gonna need going forward, but just to provide strong returns and results for our shareholders.

You. And the next question comes from the line of Doug Leggate from Wolfe Research. Your line is now open. Please go ahead. Doug, your line is now open.

Hey, good morning. This is John Abbott on for Doug Leggett. Our first question is on your net debt our first question is on your net debt trajectory. Could you walk us through on how that plays out and whether or not you may think you may need additional financing?

Sure. Thanks thanks, John. Thanks for the, thanks for the question. You know, as as we've said in the past, our capital allocation policy is to prioritize the the balance sheet in supporting operations, CapEx, and maintaining our dividend. And our approach to the balance sheet has been to use up cycles like we saw in 2022 and '23 to reduce debt and to to build a balance sheet, preserve our balance sheet so that we can be resilient through down cycles like we've experienced in the past three quarters few quarters.

So, going forward, as the market continues to improve as as we believe the macro suggests it will and as cash generation correspondingly approves and when we receive proceeds from the terminal sale, we expect that our focus will again pivot to delivering and prioritizing the balance sheet. As you know, we did access the capital market, raised $800,000,000 in an unsecured offering that bolstered our liquidity and to a level where we are comfortable. And at this point in time, we don't anticipate accessing capital markets.

follow-up question, it's on the capital reduction. How much

of that could be permanent? Or is it all transitory?

Well, when you say it's permanent in regards to lowering our capital program going forward, our capital program and our turnaround spend is part of our RBI program. And so we are expecting to see, again, within the confines of the scale that we provided in regards to RBI, we expect to receive real benefits on reducing capital, bending the cost curve permanently in regards to the specific cuts that were made here. They discretionary projects, if you want to comment, Mike.

Yes. I mean, we went through a portfolio optimization process and we didn't defer some spending, some of them were cuts. As Matt mentioned, as part of the RBI program, we have developed longer term initiatives to lower the capital spend going forward. I think it's probably premature at this point to say to what extent that's going to be relative to these cuts, but there are an expectation that going forward we will have sustainable reductions in how we spend capital and spending them more to spend it more efficiently.

Appreciate it. Thank you for taking our questions.

Thank you. The next question comes from Paul Cheng from Scotiabank. Your line is now open. Please go ahead.

Thank you. Good morning. Matt and Karen, with the uncertainty in the economy because of the tariff war and everything, in the event, if economy take a more thorough note and correspondingly demand and margin will not improve the kind of way that we all think it may. At what point that the dividend will become a question on the table for the company? And I mean, what is the criteria or that you think that this is a sacred then you will do everything else that and not touching the dividend?

That's the first question. Second question is that in the second quarter, how should we look at the operating are we finding operating costs, particularly in California? And also that once we finish the business improvement plan by the end of the year, you get to that $200,000,000 1 way. What's the refining OpEx that one way we should reasonably can expand? Thank you.

On the first one, tough to tough to answer in a hypothetical situation. Obviously, we're watching the economy very, very closely, and we always, you know, hope for the best and prepare for the worst. You know, over the last fifteen years, we've seen downturns in the economy that have come in different forms and fashion that were sort of unfathomable. So to sort of hypothetically talk about a recessionary period is hard to do in a vacuum. That being said, we set our dividend sort of as a through cycle dividend.

If there is a major turndown in the marketplace, we're going to manage our business as conservatively and as appropriately as we possibly can in regards to how we run our refineries, how we invest the capital and how we manage the balance sheet. So but we're comfortable with where we are. And like I said, the original design of the dividend was certainly through cycles. Mike, do you want to?

Yes. Relative to the RPI program, so our baseline is 2023 OpEx is what we use to set up how we're deviate or how we're using the differentiations on OpEx savings. And I would look at the $200,000,000 and consider about one fourth of it's going to come from capital and turnarounds as well. So that's to give you some information on how you want to look at OpEx going forward. That being said, the program doesn't stop in 2025.

We will continue driving additional reductions in OpEx going forward. I mean, our expectations are as high as $350,000,000 of run rate savings by the end of twenty twenty

Yes, because importantly, Mike's comments and everyone should understand them. The team has essentially circled over $200,000,000 of run rate savings to date. They haven't been achieved yet. They're going to be achieved over the course of this year, but they've categorized them and they've been circled in terms of we're going to execute on those. And we haven't been to all our plans yet.

So the number of savings will go up as we complete the program.

I Mike, do guys have a number you can share in terms of California OpEx in the second quarter?

We're not ready to share that number yet.

That's it'd be very, very difficult to dissect, Paul, because, again, you're it's it's one region. We don't report on the individual assets. And with the turnaround and the insurance, it becomes somewhat difficult to forensically dissect for you.

Thank you. The next question comes from Matthew Blair from TPH. Your line is now open. Please go ahead.

Thank you, and good morning. On the RBI program, you mentioned you're on track to exceed the 200,000,000, goal here, which seems quite encouraging. Do you have any examples you could share of areas where you're you're seeing more opportunity than you originally expected?

So actually, quite frankly, when we did the due diligence initially, from a from the category basis, we're actually right where we wanted to be from from each nothing's really standing out as as jumping out as a big surprise. We thought energy would be a big opportunity, and it is. We thought that our our turnaround performance would be an opportunity, and we're seeing significant opportunity there as well. And then, lastly, we have not, in the past, really leveraged our our spend across the organization. And so the strategic procurement opportunities are a big focus for us as well.

But it's roughly kind of evenly divided among those areas so far.

Sounds good. And then could I just clarify two points from your Q1 reporting? I guess, first, do you have an EBITDA estimate associated with the logistics asset sale? And then second, could you also provide the your share of the RD EBITDA in the first quarter? Thank you.

So in regards to the asset sales, these are two terminals that PBF Logistics, when we had MLP acquired going back eight or nine years ago when we first bought the claims assets. Philadelphia terminal that we agreed to sell yesterday was one of three terminals in that package of assets. And then subsequently PBF Logistics, the MLP acquired the Knoxville terminal. From a strategic standpoint, they made real sense for a public publicly traded MLP. And there were some ancillary benefits to our connection to our refining business, but we were able to accomplish the benefits through contracts and main maintaining access to the terminals.

So from a, you know, from a strategic standpoint, the the terminals were definitely nine four, and they're going to a third party that that, you know, has a different cost of capital and can value them in a more attractive way. And indeed, we're selling these two terminals for more than 10 times our EBITDA.

And then with with respect to SBR, SBR's standalone EBITDA was 7, $17,000,000 loss. So our our half of that would be half half of that. And then also circling back to a a question that Roger Read asked, we did like so many of our peers, we did record 45 z revenue based on the provisional guidance that's out there. But as Matt mentioned, whereas we were receiving about a a dollar on BTC, it's it's less than half than that under the BTC program.

PBF Energy (PBF) Q1 2025 Earnings Call Transcript

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