HollyFrontier 2013 Annual Report Download - page 19

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11
Principal Products
Set forth below is information regarding the principal products produced at our El Dorado and Tulsa Refineries:
Years Ended December 31,
2013 2012 2011
Mid-Continent Region (El Dorado and Tulsa Refineries)
Sales of produced refined products:
Gasolines 47% 48% 44%
Diesel fuels 31% 29% 32%
Jet fuels 8% 9% 7%
Fuel oil 1% 1% —%
Asphalt 3% 2% 4%
Lubricants 4% 5% 6%
Gas oil / intermediates —% —% 3%
LPG and other 6% 6% 4%
Total 100% 100% 100%
Crude Oil and Feedstock Supplies
Both of our Mid-Continent Refineries are connected via pipeline to Cushing, Oklahoma, a significant crude oil pipeline trading
and storage hub. The El Dorado and the Tulsa Refineries are located approximately 125 miles and 50 miles, respectively, from
Cushing, Oklahoma. Local pipelines provide direct access to regional Oklahoma crude production as well as access to United
States onshore, Gulf of Mexico, Canadian and other foreign crudes. The proximity of the refineries to the Cushing pipeline and
storage hub provides the flexibility to optimize their crude slate with a wide variety of crude oil supply options. Additionally, we
have transportation service agreements to transport Canadian crude oil on the Spearhead and Keystone Pipelines, enabling us to
transport Canadian crude oil to Cushing for subsequent shipment to either of our Mid-Continent Refineries or to our Navajo
Refinery.
We also purchase isobutane, natural gasoline, butane and other feedstocks for processing at our Mid-Continent Refineries. The El
Dorado Refinery is connected to Conway, Kansas, a major gas liquids trading and storage hub, via the Oneok Pipeline. From time
to time, other feedstocks such gas oil, naptha and light cycle oil are purchased from other refiners for use at our refineries.
Southwest Region (Navajo Refinery)
Facilities
The Navajo Refinery has a crude oil processing capacity of 100,000 barrels per stream day and has the ability to process sour
crude oils into high value light products such as gasoline, diesel fuel and jet fuel. For 2013, gasoline and diesel fuel (excluding
volumes purchased for resale) represented 51% and 39%, respectively, of our Southwest sales volumes.
The following table sets forth information about our Southwest region operations, including non-GAAP performance measures.
Years Ended December 31,
2013 2012 2011 (10)
Southwest Region (Navajo Refinery)
Crude charge (BPD) (1) 87,910 93,830 83,700
Refinery throughput (BPD) (2) 97,310 103,120 93,260
Refinery production (BPD) (3) 94,490 100,810 91,810
Sales of produced refined products (BPD) 94,830 99,160 93,950
Sales of refined products (BPD) (4) 104,320 104,620 98,540
Refinery utilization (5) 87.9% 93.8% 83.7%
Average per produced barrel (6)
Net sales $ 117.79 $ 122.62 $ 118.76
Cost of products (7) 103.88 95.70 98.40
Refinery gross margin 13.91 26.92 20.36
Refinery operating expenses (8) 6.04 6.07 5.44
Net operating margin $ 7.87 $ 20.85 $ 14.92
Refinery operating expenses per throughput barrel (9) $ 5.89 $ 5.84 $ 5.48
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