Calumet Specialty Products Partners closed two transactions that together fund the working capital needs of Montana Renewables (MRL). A supply and offtake agreement (SOA) with Macquarie Commodities and Global Markets provides inventory monetization for renewable feedstocks and products, as well as intermediation services connected with the purchase of renewable feedstocks. Simultaneously, a $90 million asset backed loan revolving credit facility was executed with Wells Fargo Bank, secured by accounts receivables and open blenders tax credit refunds.
“Now that Montana Renewables has commenced operations, these transactions ensure that our working capital needs are met going forward,” Bruce Fleming, EVP of Montana Renewables, said. “Third party inventory financing has been in the MRL plan since day one, and we are pleased to execute on the plan as we launch operations.”
