After taking a brief break from awarding defense contracts Tuesday, the Department of Defense got back to the business of handing out contracts Wednesday -- with a vengeance. Over the course of 22 separate defense contract announcements, the Pentagon awarded well more than $5.18 billion in new work -- and 97% of these funds went solely to purchase fuel for its aircraft.
The day's biggest contracts -- $3.28 billion of the total amounts awarded -- went to mega-oil companies ExxonMobil, Royal Dutch Shell, and Valero (VLO 0.08%). But smaller oil firms weren't entirely left out in the cold, either. Here are a few of the other winners:
- Phillips 66 (PSX -0.35%): awarded a fixed-price with economic-price-adjustment, indefinite-delivery/indefinite-quantity contract to supply the Defense Logistics Agency with up to $292 million worth of aviation turbine fuel through April 30, 2015.
- Calumet Specialty Products Partners LP (CLMT 0.58%): awarded a similar contract worth up to $189.7 million.
- Alon USA Energy (NYSE: ALJ): $159.6 million.
- Tesoro (ANDV): $89.6 million.
All four contracts -- indeed, all of the 16 separate fuel supply contracts awarded Wednesday -- purchased aviation turbine fuel with the same April 30, 2015, termination date, all destined for the Defense Logistics Agency.
