Delek US Holdings (DK) and Delek Logistics (DKL) Announces 2022 Capital Program

Today Delek US Holdings, Inc. (NYSE: DK) and Delek Logistics Partners, LP (NYSE: DKL) announced their 2022 capital spending budget with a range of approximately $250 million to $260 million on a consolidated basis. Approximately $59 million of the growth capital resides at Delek Logistics Partners, which is expected to be self-funding. 2022 growth is largely focused on the expansion of the Delek Permian Gathering business where demand from producers is strong. We expect to achieve well above our internal 15% target rate of return threshold for midstream growth investments. Additionally, we are expanding our growth initiatives in the retail segment with four new to industry locations now planned in 2022. Separately, we elected to conduct minor maintenance activities at Tyler in the fourth quarter of 2021, thereby allowing us to defer the start of the next turnaround until 2023. As a result, our refining throughput guidance for the fourth quarter will now be in the range of 275 to 280mbbl/d. The table below provides a breakdown of spending by segment as well as growth versus maintenance and regulatory spending.

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