CVR Energy, Inc. (NYSE:CVI) rose Wednesday after the company reported a $492-million special dividend. The company also reported it is interested in renewable fuels and is no longer interested in buying another crude oil refinery.
The Company will focus on renewable fuels and is no longer interested in acquiring another crude oil refinery. In connection therewith, the Board approved expenditures of up to $10 million to progress its renewable diesel initiatives, including: The completion of process design to convert an existing hydrotreater at the Coffeyville refinery to renewable diesel service; and
The completion of process design and the ordering of certain long-lead equipment for a feed pretreater for the Wynnewood refinery to lower carbon intensity and feed cost. The pretreater design could be expandable to also process feed for the potential Coffeyville refinery renewable diesel conversion.
"For the past few years, we have explored a number of refining acquisitions in PADD 4 and elsewhere. However, given our unwillingness to overpay for assets and our belief that the industry is pivoting towards renewable fuels, we are electing to focus our capital on sustainable initiatives," said Dave Lamp, CVR Energy’s Chief Executive Officer.
CVI shares chugged ahead $1.89, or 9%, to $22.87.
