Par Pacific has closed its Hawaii Renewables, LLC joint venture, securing a $100 million investment from Mitsubishi Corporation and ENEOS Corporation for the state's largest renewable fuels facility.
Par Pacific Holdings, Inc. announced today the successful closing of its strategic joint venture, Hawaii Renewables, LLC, marking a significant step toward transforming Hawaii's energy landscape. The venture, established to construct and operate a Renewable Fuels Facility at Par Pacific's existing Kapolei, Hawaii refinery, solidifies a major partnership with international energy leaders.
The successful closing brings Mitsubishi Corporation and ENEOS Corporation into the venture through their joint entity, Alohi Renewable Energy LLC. In a substantial endorsement of the project's potential, Alohi Renewable Energy has acquired a 36.5% equity stake in Hawaii Renewables in exchange for a $100 million cash consideration. Par Pacific retains the remaining majority interest and will manage the completion and ongoing operations of the new facility via its affiliate, Par Hawaii Refining, LLC.
The facility represents a critical investment in the state's decarbonization efforts and is on track to be completed by the end of the year. Once operational, it will stand as Hawaii’s largest renewable fuels manufacturing facility. The plant is engineered for high-volume production, with an expected annual output of approximately 61 million gallons of low-carbon fuels. This portfolio will include renewable diesel, sustainable aviation fuel (SAF), renewable naphtha, and low carbon liquified petroleum gases (LPGs). The facility is specifically designed with the flexibility to produce up to 60% SAF, directly addressing the significant air travel market in Hawaii.
The joint venture leverages Par Pacific’s existing world-class refining infrastructure and extensive logistics network across the Pacific. The partnership with Mitsubishi and ENEOS, leading global energy and trading companies from Japan, provides complementary strengths, including enhanced feedstock procurement expertise and expanded market access throughout the Pacific Basin. This collaboration is set to bolster the security and stability of Hawaii's energy supply while reducing greenhouse gas emissions.
Par Pacific's President & CEO, Will Monteleone, emphasized the strategic importance of the collaboration, noting that the joint venture "brings together the best of our three organizations and yields additional scale and expertise across feedstock origination, commercial optimization, and market access." The $100 million investment not only provides capital but also integrates deep expertise from two major global energy players, positioning the Kapolei facility as a cornerstone of sustainable fuel production in the region.
The project reinforces Par Pacific's commitment to supporting the transition to renewable energy sources and aligns with Hawaii's long-term sustainability goals.
