On January 9, 2001, The Plaza Group signed a long-term contract with Frontier Oil and Refining Company (“Frontier”), a subsidiary of Frontier Oil Corporation, to market phenol, acetone, toluene and alpha methyl styrene (AMS) produced at Frontier’s El Dorado, Kansas, facility. The $50 million annual contract provides for the continued supply of these key raw materials that has been in place since The Plaza Group entered into its original agreement with Texaco Refining and Marketing in 1994.
The refinery and chemical complex at El Dorado, previously owned by Equilon, was purchased by Frontier in November 1999. The new agreement between The Plaza Group and Frontier formalizes the supply chain that has remained uninterrupted since the plant’s sale more than a year ago.
Randy Velarde, President of The Plaza Group, commented on the contract saying, “Our relationship with the folks at the El Dorado plant goes back almost to day one of our operations here at The Plaza Group. From its Texaco roots to its Equilon era and now as part of Frontier, the plant at El Dorado has continued to be an excellent source for many of our chemical intermediates. We are pleased to see the continuation of this relationship manifest itself in the new contract we have secured with Frontier.”