debt
confidence high
sentiment positive
materiality 0.55
Par Pacific subsidiary enters prepaid commodity swap financing with Wells Fargo for renewable feedstocks
PAR PACIFIC HOLDINGS, INC.
- Hawaii Renewables (subsidiary) and Wells Fargo signed a Framework Agreement for monthly prepaid swaps on soybean oil and crude oil.
- Wells Fargo will prepay a fixed amount (subject to a cap) to HR; swaps settled monthly with a rolling one-year term.
- Par Pacific guarantees HR's obligations under the swap documentation and future letter of credit facility.
- HR granted Wells Fargo a security interest in commodity inventory and renewable feedstocks at approved locations.
- Initial term of one year, automatically renewable; exclusivity on inventory monetization transactions applies for six months.