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Pentagon Places Orders for $2.3 Billion in Jet Fuel

The Pentagon needs fuel. Fortunately, it's found a few companies willing to slake its thirst for oil.

On Tuesday, the Department of Defense awarded some $2.3 billion worth of contracts for "aviation turbine fuel." Most of the major oil and refining companies came away with contracts, including:

  • Royal Dutch Shell (NYSE: RDS-A  ) subsidiary Equilon Enterprises, which claimed the largest award at an estimated $474.1 million in maximum value.
  • Valero (NYSE: VLO  ) , winner of a nearly as large contract valued at up to $456.4 million.
  • ExxonMobil (NYSE: XOM  ) , winner of a $405.1 million contract.
  • Chevron (NYSE: CVX  ) , which won $391.4 million.
  • Western Refining (NYSE: WNR  ) , awarded a $268.7 million supply contract.

In addition, four other, smaller companies also won contracts. All nine contracts state June 30, 2014, as the deadline for delivery.

Read/Post Comments (7) | Recommend This Article (2)

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  • Report this Comment On June 26, 2013, at 12:08 AM, barra48 wrote:

    The biggest air force in the world is the US Air Force. The second biggest air force in the world is the US Navy. Even with sequestration, they have to have fuel to fly. Jet fuel can only remain in a storage tank so long before it becomes less reliable. Modern fighter jets cost $35 million each. You can buy a lot of fuel for the cost of one airplane that crashed because the fuel was past its "shelf life".

  • Report this Comment On June 26, 2013, at 1:57 AM, rsg003 wrote:

    I would think for all the Lives and money we invested in Iraq, we would be getting some free oil from there....

  • Report this Comment On June 26, 2013, at 2:12 AM, thecrud wrote:

    "I would think for all the Lives and money we invested in Iraq, we would be getting some free oil from there...."

    We gave it to the Chinese.

  • Report this Comment On June 26, 2013, at 3:00 AM, quasimodo007 wrote:

    Boy bet some cheney corrupt oil contractors having a good time on Tax Payers Money. who said GREED and More GREED and corruption works and THE GREAT American RIP OFF on the POOR Tax Payer well for the GOP Congress that's their MOTTO for their mafia style Privilege Crooks of Wall Street

  • Report this Comment On June 26, 2013, at 8:58 AM, us54985312 wrote:

    If there is a sequester of funds going on why does this number exceed last year quotas. Needless to say they also need diesel, gas, fuel oil, oil - both detergent and non detergent, Ethylene Glycol, and a host of other grease, penetrates, silicone and adhesives. Of which they only address one fuel here. This is basically for the jets, they have other aircraft with other needs, trucks and ships and boats with different fuels. I would be interested in the TOTAL CONTRACT FOR all fuels and a second half for all lubricants.

  • Report this Comment On June 26, 2013, at 9:55 AM, WestCoastDan wrote:

    All of it has been slated for Obama's trip to Africa.

  • Report this Comment On June 26, 2013, at 10:48 AM, TMFDitty wrote:

    This may -- emphasis on may -- be related to this previous news:

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