HollyFrontier 2013 Annual Report Download - page 22

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The following table sets forth information about our Rocky Mountain region operations, including non-GAAP performance
measures.
Years Ended December 31,
2013 2012 2011 (10)
Rocky Mountain Region (Cheyenne and Woods Cross
Refineries)
Crude charge (BPD) (1) 64,680 73,020 48,230
Refinery throughput (BPD) (2) 70,440 80,860 52,630
Refinery production (BPD) (3) 67,860 78,610 51,320
Sales of produced refined products (BPD) 68,870 77,550 50,750
Sales of refined products (BPD) (4) 72,280 80,980 51,750
Refinery utilization (5) 77.9% 88.0% 84.3%
Average per produced barrel (6)
Net sales $ 112.49 $ 116.44 $ 116.37
Cost of products (7) 94.63 89.29 91.33
Refinery gross margin 17.86 27.15 25.04
Refinery operating expenses (8) 8.65 6.91 6.41
Net operating margin $ 9.21 $ 20.24 $ 18.63
Refinery operating expenses per throughput barrel (9) $ 8.46 $ 6.63 $ 6.18
Feedstocks:
Sweet crude oil 43% 47% 52%
Sour crude oil 1% 1% 1%
Heavy sour crude oil 34% 31% 24%
Black wax crude oil 14% 11% 15%
Other feedstocks and blends 8% 10% 8%
Total 100% 100% 100%
Footnote references are provided under our Consolidated Refinery Operating Data table on page 8.
The Cheyenne Refinery facility is located on a 255-acre site and is a fully integrated refinery with crude distillation, vacuum
distillation, coking, FCCU, HF alkylation, catalytic reforming, hydrodesulfurization of naphtha and distillates, butane
isomerization, hydrogen production, sulfur recovery and product blending units. The operating units at the Cheyenne Refinery
include both newly constructed units and older units that have been upgraded over the years. Supporting Infrastructure includes
approximately 1.9 million barrels of feedstock and product tankage owned by HEP.
The Woods Cross Refinery facility is located on a 200-acre site and is a fully integrated refinery with crude distillation, solvent
deasphalter, FCC, HF alkylation, catalytic reforming, hydrodesulfurization, isomerization, sulfur recovery and product blending
units. The operating units at the Woods Cross Refinery include newly constructed units, older units that have been relocated from
other facilities, upgraded and re-erected in Woods Cross, and units that have been operating as part of the Woods Cross facility
(with periodic major maintenance) for many years, in some very limited cases since before 1950. Supporting Infrastructure includes
approximately 1.5 million barrels of feedstock and product tankage, of which 0.2 million barrels of tankage are owned by HEP.
The facility typically processes or blends an additional 2,000 BPSD of natural gasoline, butane and gas oil over its 31,000 BPSD
capacity.
We own and operate 4 miles of hydrogen pipeline that connects the Woods Cross Refinery to a hydrogen plant located on the
property of Chevron's Salt Lake City Refinery. Additionally, HEP owns and operates 12 miles of crude oil and refined products
pipelines that allows us to connect our Woods Cross Refinery to common carrier pipeline systems.
We are expanding the Woods Cross refinery to a planned capacity of 45,000 BPSD at an anticipated cost of approximately $300.0
million. On November 18, 2013, the Utah Division of Air Quality issued a revised air quality permit (the “Approval Order”)
authorizing the expansion. On December 18, 2013, two local environmental groups filed an administrative appeal challenging the
issuance of the Approval Order and seeking a stay of the Approval Order. The matter is now pending before an administrative law
judge of the Utah Department of Environmental Quality. The expansion is expected to be completed in the fourth quarter of 2015.
The expansion scope includes the relocation / revamp of crude, fluid catalytic cracking, and polymerization units as well an
expansion of the diesel hydrotreater. The expansion, and expected completion timeline and cost, are subject to the Woods Cross
refinery successfully obtaining the Approval Order.
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