Financial details of the agreement with Foster Wheeler were not disclosed. The acquisition of Kern, whose refinery is located in Bakersfield, California, is expected to close in the first quarter of 2008.
As part of the contract, NTR expects to invest in Kern’s refinery operations to expand its conversion capacity and to improve its product yield. Foster Wheeler’s work will initially concentrate on engineering assessments of specific projects, such as the possible addition of a transmix splitter, isomerization unit, hydrocracker and delayed coker to the refinery.
NTR is a special purpose acquisition company that focuses on the petroleum refining and marketing industry. It announced the acquisition of Kern from its sole shareholder, Casey Co, in early November.