CVR Energy is making a major push to expand its refining empire, announcing a $4.2 billion agreement to acquire two refineries and a related marketing business from Marathon Petroleum Corporation in a deal that will nearly double its refining capacity and significantly strengthen its earnings potential.
Under the definitive agreement, CVR Energy will acquire Marathon’s St. Paul Park refinery in Minnesota and Mandan refinery in North Dakota, along with the associated marketing business. The transaction carries a purchase price of approximately $4.2 billion, plus net working capital.
The acquisition marks a major expansion of CVR Energy’s refining and distribution footprint, giving the company access to new markets while adding substantial processing capacity and a broader marketing platform.
The financial projections are equally significant.
The acquired assets generated approximately $1.2 billion in EBITDA during the 12 months ended September 30, 2026, reflecting favourable market conditions and adjusted for CVR Energy’s accounting policies.
For the nine months ended September 30, 2026, CVR Energy’s EBITDA would have climbed from approximately $900 million on a standalone basis to around $2 billion on a pro forma basis had the acquisition already been completed.
The impact on earnings per share is even more striking. CVR’s earnings per share for the same nine-month period would have increased from $3.73 to $7.67, representing an increase of more than 105%.
These projections exclude an estimated $70 million in additional annual run-rate synergies, expected primarily from selling, general and administrative expenses, as well as commercial and operational improvements.
CVR Energy President and Chief Executive Officer Dane Neumann said the transaction delivers on the company’s strategy to expand and diversify its business while positioning it for sustained growth.
“We are thrilled to deliver on our plan to strategically grow and diversify our business. We are acquiring 2 well-maintained, highly productive refineries from Marathon that have generated more than $1.1 billion of EBITDA for the first nine months of 2026. In light of current favorable market conditions, we expect the Acquired Business to continue to generate substantial cash flows over at least the next twelve months,” said Dane Neumann, President and Chief Executive Officer of CVR Energy.
"Marathon has been an excellent steward of these high-quality assets, and we look forward to welcoming the hardworking employees at these facilities into the CVR Energy family. Looking ahead, with a larger and stronger asset portfolio, we believe CVR Energy is well-positioned to deliver more durable cash flow through the cycle, provide meaningful commercial and operational synergies and significant per share accretion, strengthening CVR Energy’s position while serving as a platform for future growth.”
Beyond the immediate boost in refining capacity and earnings, the deal is expected to strengthen CVR Energy’s competitive position, improve cash flow resilience across market cycles and create opportunities for further operational efficiencies.
The expanded asset base and marketing network could also give the company greater flexibility to pursue future acquisitions and capture additional margin improvement opportunities.
With two established refineries and an integrated marketing business joining its portfolio, CVR Energy is positioning itself for a significantly larger role in the US refining and fuels market.
