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2024 PA R PAC I F I C H O L D I N G S , I N C . AN N UAL REPO RT
Par Pacific is a growing energy company providing both renewable and conventional fuels to the western United States. We combine experience in the energy industry with corporate financing know-how. We bring this unique strength to complex markets where we seek out diamonds in the rough. As a nimble, entrepreneurial organization, we actively pursue new opportunities in response to local market demands and changing external environments.
Our Holdings at a Glance REFINING Our four refineries operate in logistically-complex markets, processing crude oil into refined products to serve our local communities. Par Hawaii Refining U.S. Oil Wyoming Refining Company Par Montana LOGISTICS We own and operate an extensive energy infrastructure network, including 13 million barrels of storage, and marine, rail, rack, and pipeline assets across the western United States. RETAIL Our commitment to excellence extends to the retail sector with the development and successful launch of Hele gas stations in Hawaii and nomnom locations in the Pacific Northwest. Hele nomnom
Dear Fellow Shareholders, 2024 was a challenging financial year for our business; nonetheless, we continue to advance strategic growth projects to ensure we address market needs far into the future. During the year, the global refining market quickly moved from shortage to excess, and our 2024 benchmark refining market indices declined over 40% compared to 2023. As a result, Adjusted Earnings declined over 95% to $0.37 per share and Adjusted EBITDA declined over 65% to $239 million. Normally, a decline of this magnitude would represent an existential moment. However, we have enormously improved the underlying profitability of our business in the five years since the 2020 COVID lockdowns. We have positioned the company to both capture upside, while simultaneously insulating our earnings during market pull backs. The combination of rationalized refining capacity, surging demand for distillates, and dramatically increased global freight rates drove healthy financial returns to our enterprise in 2022 and 2023, and we did not let that opportunity go to waste. We operated our plants safely and reliably during two of the best years in refining market history, generating over $1 billion in cash from operations. Our significant net operating loss (NOL) position enabled us to allocate most of these substantial profits towards achieving our strategic objectives, rather than to taxes. Since 2020, we have strengthened our balance sheet, enhanced our working capital position, renegotiated key contracts, and acquired the Montana assets from ExxonMobil. Each of these actions has improved our operational and financial position, and serve as a source for future earnings growth. The best example of the improvement in our business resiliency and earnings power lies in our oldest business: Hawaii Refining. Since 2019, we have improved Adjusted Gross Margin relative to the market index by over $6 per barrel, translating to a $140 million increase in 2024 contribution compared to 2019. This improvement is unrelated to the market forces that drive our benchmark refining indices. The best metric to use in evaluating these improvements is Hawaii s Adjusted Gross Margin compared to our Hawaii Index, which we refer to as Capture. Hawaii Market Index and Capture $20.00 140% 120% $15.00 100% $10.00 $/bbl 80% 60% $5.00 40% $20% 2019 2020 2021 2022 $(5.00) 2023 2024 0% Hawaii Market Index Hawaii Capture (%) Hawaii Market Index 10-yr Average
In the refining business, equilibrium can be an apparition. There is a wide chasm between the maximum price a consumer is willing to pay for fuel and a refiner s marginal cost. The best measure of baseline refinery margins are the deep merchant refining centers of Singapore, the U.S. Gulf Coast and Rotterdam. For much of the last 20 years, Singapore has represented the lowest margins in the world. In investing terms, Singapore margins are the equivalent of the risk-free rate. All other refined product markets trade via reference to the Singapore margin. However, as you focus on smaller, less liquid and remote markets, specific elements start to drive differences in the available margin. Each of our refining and logistics systems are located in such markets. We deliberately target smaller markets, believing that establishing leading positions within these markets can yield premium returns. As with investing, there are periods in the refining business where there is no hiding from the impacts of changes in baseline refining margins. Shifting tides lift or lower all boats and our financial results are no exception. We process nearly 70 million barrels annually, so a $1 per barrel change in global refining margins impacts our profitably by nearly $70 million, or approximately $1.20 per share. A view of normal or midcycle is required. While Wall Street focuses on sentiment from one quarter or day to the next, it is in the longer-term complexity of our unique markets that we find our edge to create shareholder value. Similar to our achievements in Hawaii, we anticipate opportunities to enhance our Adjusted Gross Margins beyond benchmark indices in Montana over the coming years. Macroeconomic and demographic forces noted in previous shareholder letters are continuing. Reshoring, shorter supply chains, and energy security are factors that support our strategic position as a manufacturer, distributor, and retailer in our markets. Favorable demographic trends in our combined mainland market are driving strong demand trends. Mainland Regional Population Growth 1 4.3% 2.6% Total U.S. Par Pacific s Mainland Region Note 1: Par Pacific s Mainland Region includes South Dakota, Wyoming, Montana, Idaho, and Washington. Population growth shown is from April 1, 2020, to July 1, 2024. Source: U.S. Census Bureau. 3
 • shareholder letter icon 3/20/2025 Letter Continued (Full PDF)
 • stockholder letter icon 3/23/2023 PARR Stockholder Letter
 • stockholder letter icon 3/18/2024 PARR Stockholder Letter
 • stockholder letter icon More "Oil & Gas Refining & Marketing" Category Stockholder Letters
 • Benford's Law Stocks icon PARR Benford's Law Stock Score = 95


PARR Shareholder/Stockholder Letter Transcript:

2024
PA R PAC I F I C H O L D I N G S , I N C .
AN N UAL REPO RT

Par Pacific is a growing energy company providing both renewable and conventional fuels to the
western United States. We combine experience in the energy industry with corporate financing
know-how. We bring this unique strength to complex markets where we seek out diamonds in the
rough. As a nimble, entrepreneurial organization, we actively pursue new opportunities in response
to local market demands and changing external environments.

Our Holdings at a Glance
REFINING
Our four refineries operate in
logistically-complex markets,
processing crude oil into refined
products to serve our local
communities.
    Par Hawaii Refining
    U.S. Oil
    Wyoming Refining Company
    Par Montana
LOGISTICS
We own and operate an
extensive energy infrastructure
network, including 13 million barrels
of storage, and marine, rail, rack,
and pipeline assets across the
western United States.
RETAIL
Our commitment to excellence
extends to the retail sector with
the development and successful
launch of Hele gas stations in
Hawaii and nomnom locations in
the Pacific Northwest.
    Hele
    nomnom

Dear Fellow Shareholders,
2024 was a challenging financial year for our business; nonetheless, we continue to advance strategic
growth projects to ensure we address market needs far into the future. During the year, the global
refining market quickly moved from shortage to excess, and our 2024 benchmark refining market
indices declined over 40% compared to 2023. As a result, Adjusted Earnings declined over 95% to
$0.37 per share and Adjusted EBITDA declined over 65% to $239 million.
Normally, a decline of this magnitude would represent an existential moment. However, we have
enormously improved the underlying profitability of our business in the five years since the 2020
COVID lockdowns. We have positioned the company to both capture upside, while simultaneously
insulating our earnings during market pull backs. The combination of rationalized refining capacity,
surging demand for distillates, and dramatically increased global freight rates drove healthy financial
returns to our enterprise in 2022 and 2023, and we did not let that opportunity go to waste. We
operated our plants safely and reliably during two of the best years in refining market history, generating over $1 billion in cash from operations. Our significant net operating loss (NOL) position
enabled us to allocate most of these substantial profits towards achieving our strategic objectives,
rather than to taxes. Since 2020, we have strengthened our balance sheet, enhanced our working
capital position, renegotiated key contracts, and acquired the Montana assets from ExxonMobil.
Each of these actions has improved our operational and financial position, and serve as a source
for future earnings growth.
The best example of the improvement in our business resiliency and earnings power lies in our
oldest business: Hawaii Refining. Since 2019, we have improved Adjusted Gross Margin relative to
the market index by over $6 per barrel, translating to a $140 million increase in 2024 contribution
compared to 2019. This improvement is unrelated to the market forces that drive our benchmark
refining indices. The best metric to use in evaluating these improvements is Hawaii   s Adjusted
Gross Margin compared to our Hawaii Index, which we refer to as    Capture.   
Hawaii Market Index and Capture
$20.00
140%
120%
$15.00
100%
$10.00
$/bbl
80%
60%
$5.00
40%
$20%
2019
2020
2021
2022
$(5.00)
2023
2024
0%
Hawaii Market Index
Hawaii Capture (%)
Hawaii Market Index 10-yr Average

In the refining business, equilibrium can be an apparition. There is a wide chasm between the
maximum price a consumer is willing to pay for fuel and a refiner   s marginal cost. The best measure
of baseline refinery margins are the deep merchant refining centers of Singapore, the U.S. Gulf Coast
and Rotterdam. For much of the last 20 years, Singapore has represented the lowest margins in the
world. In investing terms, Singapore margins are the equivalent of the risk-free rate. All other
refined product markets trade via reference to the Singapore margin. However, as you focus on
smaller, less liquid and remote markets, specific elements start to drive differences in the available
margin. Each of our refining and logistics systems are located in such markets. We deliberately
target smaller markets, believing that establishing leading positions within these markets can yield
premium returns.
As with investing, there are periods in the refining business where there is no hiding from the
impacts of changes in baseline refining margins. Shifting tides lift or lower all boats and our
financial results are no exception. We process nearly 70 million barrels annually, so a $1 per barrel
change in global refining margins impacts our profitably by nearly $70 million, or approximately
$1.20 per share. A view of normal or midcycle is required. While Wall Street focuses on sentiment
from one quarter or day to the next, it is in the longer-term complexity of our unique markets that
we find our edge to create shareholder value. Similar to our achievements in Hawaii, we anticipate
opportunities to enhance our Adjusted Gross Margins beyond benchmark indices in Montana over
the coming years.
Macroeconomic and demographic forces noted in previous shareholder letters are continuing.
Reshoring, shorter supply chains, and energy security are factors that support our strategic position
as a manufacturer, distributor, and retailer in our markets. Favorable demographic trends in our
combined mainland market are driving strong demand trends.
Mainland Regional Population Growth 1
4.3%
2.6%
Total U.S.
Par Pacific   s Mainland Region
Note 1: Par Pacific   s Mainland Region includes South Dakota, Wyoming, Montana, Idaho, and Washington. Population growth
shown is from April 1, 2020, to July 1, 2024. Source: U.S. Census Bureau.
3



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