Par Pacific, Mitsubishi, and ENEOS to Establish Joint Venture for Renewable Fuels in Hawaii
Rhea-AI Summary
Par Pacific Holdings (NYSE:PARR) has announced a strategic joint venture called Hawaii Renewables, LLC with Mitsubishi Corporation and ENEOS Corporation. The partnership involves Mitsubishi and ENEOS forming Alohi Renewable Energy, LLC, which will acquire a 36.5% equity stake for $100 million, while Par Pacific retains the remaining interest.
The facility, currently under construction in Kapolei Hawaii, will be the state's largest renewable fuels manufacturing facility, expected to produce 61 million gallons annually of renewable diesel, sustainable aviation fuel (SAF), renewable naphtha, and low carbon LPG. The plant can produce up to 60% SAF and is designed with flexibility to adjust production based on market conditions.
The joint venture leverages Par Pacific's existing infrastructure, Lutros LLC's pretreatment technology, and combines expertise in feedstock procurement, commercial optimization, and market access across the Pacific Basin.
Positive
- Strategic $100 million investment from major partners Mitsubishi and ENEOS
- Facility will be Hawaii's largest renewable fuels plant with 61 million gallons annual production capacity
- Flexible production capability with up to 60% SAF output
- Leverages existing infrastructure and new pretreatment technology for cost advantages
- Access to expanded distribution network including Mitsubishi's Long Beach terminal
Negative
- Project completion and operational status subject to construction risks
- Transaction still requires regulatory approvals
- Production output dependent on successful feedstock procurement
News Market Reaction
On the day this news was published, PARR declined 0.43%, reflecting a mild negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
HOUSTON and TOKYO, July 21, 2025 (GLOBE NEWSWIRE) -- Par Pacific Holdings, Inc. (including its subsidiaries and affiliates, “Par Pacific”), Mitsubishi Corporation (“Mitsubishi”), and ENEOS Corporation ("ENEOS”) today announced the signing of definitive agreements to establish Hawaii Renewables, LLC (“Hawaii Renewables”), a joint venture to produce renewable fuels at Par Pacific’s refinery in Kapolei Hawaii. Mitsubishi and ENEOS will form Alohi Renewable Energy, LLC, which will acquire a
Hawaii Renewables will leverage Par Pacific's existing refining and logistics infrastructure and Lutros, LLC’s new and advantaged pretreatment technology. Construction is currently underway, and the facility is expected to be completed and operational by the end of the year. Once fully operational, Hawaii Renewables will be the state’s largest renewable fuels manufacturing facility and is expected to produce approximately 61 million gallons per year of renewable diesel (“RD”), sustainable aviation fuel (“SAF”), renewable naphtha and low carbon liquified petroleum gases.
The facility is designed to produce up to
This strategic partnership will combine Par Pacific’s advantaged West Coast and Pacific asset base and operational capabilities with Mitsubishi’s global integrated business, including access to Mitsubishi’s Petro-Diamond Inc. Terminal in Long Beach, California and global feedstock procurement expertise. As Japan's leading energy company, ENEOS will strengthen the partnership by leveraging its historical success in fuel refining and trading across Asia-Pacific and North America.
“We are thrilled to partner with Mitsubishi and ENEOS through the formation of this strategic joint venture,” said Will Monteleone, Par Pacific’s President & Chief Executive Officer. “Creating the Hawaii Renewables joint venture brings together the best of our three organizations and yields additional scale and expertise across feedstock origination, commercial optimization, and market access throughout the Pacific Basin.”
“We are so honored to partner with Par Pacific in the renewable fuels business," said Masaru Saito, Group CEO, Environmental Energy Group, Mitsubishi Corporation. "We view this partnership as an important step for our SAF initiative, supporting aviation sector decarbonization across Hawaii and beyond through our feedstock procurement and renewable fuels sales expertise."
“We anticipate this project will deliver a stable supply of energy and contribute to a carbon-neutral society,” said Marcus Echigoya, Senior Vice President, Managing Executive Officer, ENEOS Corporation. “ENEOS aims to contribute to this initiative by utilizing our deep experience in fuel refining and marketing, with an emphasis on enhancing Hawaii Renewable’s feedstock procurement capabilities.”
The closing of the joint venture transaction is subject to customary closing conditions and regulatory approvals. Lazard served as financial advisor to Par Pacific on this transaction.
About Par Pacific
Par Pacific Holdings, Inc. (NYSE: PARR), headquartered in Houston, Texas, is a growing energy company providing both renewable and conventional fuels to the western United States. Par Pacific owns and operates 219,000 bpd of combined refining capacity across four locations in Hawaii, the Pacific Northwest and the Rockies, and an extensive energy infrastructure network, including 13 million barrels of storage, and marine, rail, rack, and pipeline assets. In addition, Par Pacific operates the Hele retail brand in Hawaii and the “nomnom” convenience store chain in the Pacific Northwest. Par Pacific also owns
About Mitsubishi Corporation
Mitsubishi Corporation is a global integrated business enterprise that develops and operates business together with its offices and subsidiaries worldwide. MC has eight Business Groups that operate across virtually every industry: Environmental Energy, Material Solution, Mineral Resources, Urban Development and Infrastructure, Mobility, Food Industry, Smart-Life Creation, and Power Solution.
About ENEOS Corporation
ENEOS Group is Japan’s leading energy company with manufacturing and sales facilities throughout the world. ENEOS has developed businesses in the refining and marketing of petroleum products, petrochemical products, and lubricants. While fulfilling our responsibility of providing a stable supply of energy and materials both now and in the future, we will realize a carbon neutral society through energy transition. This is also a great challenge for mankind, and we, the ENEOS Group, will maximize our corporate value by steadily taking on the challenge.
Forward-Looking Statements
This news release includes certain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to qualify for the “safe harbor” from liability established by the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact are forward-looking statements. Forward-looking statements include, without limitation, statements about Par Pacific's plans to invest in renewable fuels production. There can be no assurances that Par Pacific will be successful in its renewable fuels production efforts, which are subject to various risks and uncertainties. We cannot provide assurances that the assumptions upon which these forward-looking statements are based will prove to have been correct. Should one of these risks materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those expressed or implied in any forward-looking statements, and investors are cautioned not to place undue reliance on these forward-looking statements, which are current only as of this date. We do not intend to update or revise any forward-looking statements made herein or any other forward-looking statements as a result of new information, future events or otherwise. We further expressly disclaim any written or oral statements made by a third party regarding the subject matter of this news release.
Par Pacific Contacts
Investors:
Ashimi Patel
VP, Investor Relations & Sustainability
+1 (832) 916-3355
apatel@parpacific.com
Media Inquiries:
Marc Inouye
Director, Government & Public Affairs
+1 (808) 203-2344
minouye@parpacific.com
Mitsubishi Corporation Contacts
Media Inquiries:
Telephone: +81-3-3210-2171
ENEOS Contacts
Media Inquiries:
pr@eneos.com
FAQ
What is the size of the investment in Par Pacific's (PARR) Hawaii Renewables joint venture?
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What percentage of SAF can Par Pacific's Hawaii facility produce?
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