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DATE

May 6, 2026

CALL PARTICIPANTS

  • Interim Chief Executive Officer — Will Monteleone
  • President — Richard Creamer
  • Chief Financial Officer — Shawn Flores

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TAKEAWAYS

  • Adjusted EBITDA -- $91 million, with the Refining segment contributing $69 million, Logistics $32 million, and Retail $15 million.
  • Adjusted Net Income -- $39 million, or $0.78 per share.
  • System Throughput -- Achieved a first quarter record with total conventional refining throughput of 184,000 barrels per day: Hawaii 90,000, Montana 57,000, Washington 23,000, and Wyoming 15,000 barrels per day.
  • Production Costs -- Hawaii $4.67 per barrel, Montana $9.50 per barrel, Washington $7.53 per barrel (impacted by planned downtime), and Wyoming $11.68 per barrel.
  • Singapore 3-1-2 Crack Index in Hawaii -- Averaged $36 per barrel in Q1; April index exceeded $72 per barrel, a new all-time high.
  • Hawaii Capture -- 42%, including a $125 million net price lag headwind; normalized capture at 92% due to unusual West Coast discounts and low secondary product netbacks.
  • Montana Margin Capture -- 143% versus the index, attributed to lower asphalt production and favorable sales mix.
  • Wyoming Margin Capture -- 139%, including an $18 million FIFO benefit from rising crude prices.
  • Washington Margin Capture -- 100%, supported by favorable jet-to-diesel spreads.
  • Retail Segment Results -- Same-store fuel sales declined 3.3%, and in-store sales declined 1%; adjusted EBITDA was $15 million versus $22 million in the prior quarter due to lower fuel margins and flood-related closures.
  • Renewable Fuels Facility -- Hawaii unit achieved first on-specification renewable diesel in April; operation optimization and sustainable aviation fuel validation are underway, with renewable fuel throughput reporting starting in the second quarter.
  • Share Repurchases -- $28 million repurchased at $38 per share during the quarter; cumulative buybacks since program inception total over 14 million shares (about 20% of shares outstanding) at a $25 per share average.
  • Liquidity Position -- $938 million in total liquidity.
  • Capital Expenditures -- $61 million, including deferred turnaround costs.
  • Forward Guidance -- Q2 throughput outlook: Hawaii 77,081 barrels per day (reflecting planned turnaround), Washington 40,042, Wyoming 14,016, Montana 45,049; system-wide midpoint throughput expected at 182,000 barrels per day.
  • April Refining Indexes -- Company-wide average $42 per barrel, up $23 per barrel sequentially; Mainland system indices also increased by ~$17 per barrel, attributed to strong distillate margins.
  • RIN Position -- Excess RINs remain; less than half monetized; $30 million gain recognized in GAAP results from RIN price differences.
  • Debt -- Gross term debt was $638 million, below the low end of leverage targets.

SUMMARY

Par Pacific Holdings (PARR 9.91%) reported a record first quarter for conventional refining throughput and highlighted completion of key maintenance projects in Wyoming and Montana on schedule. The company emphasized the operational startup and first renewable diesel production at its Hawaii renewable fuels facility. Cracks surged to historic highs in Asia, particularly benefiting April indices for the Hawaii segment, with management noting a lack of crack spread hedges. Substantial price lag effects negatively affected Hawaii margins in the first quarter but are expected to partially reverse with subsequent pricing normalization. The company continues to maintain a sizable liquidity buffer and excess RIN asset position, with significant capital deployed into share repurchases and opportunistic capital allocation. Upcoming maintenance at the Hawaii refinery is expected to concentrate its financial impact in the third quarter, as forward guidance incorporates lower throughput for Q2. Management reiterated a disciplined and flexible capital allocation framework, directly linking future repurchase activity to market valuation and outlook.

  • Management stated, "we have no crack spread hedges in place, positioning us to capture improved market conditions."
  • The Hawaii refinery will begin a 30-to-45 day turnaround in late June, temporarily idling the renewable fuels unit during the process.
  • Mainland seasonal cracks and distillate margins rose, partially offsetting planned Rocky system maintenance, with inventory build in Q1 mitigating financial exposure.
  • Quarterly cash flow from operations was $162 million, excluding working capital outflows of $185 million and deferred turnaround costs of $18 million, as inventory was built ahead of April maintenance.
  • Shawn Flores said, "first quarter adjusted EBITDA and adjusted net income reflect full RIN expense at current-period market prices, which does not capture the benefit of our excess RIN asset position."
  • Retail segment performance was affected by changing consumer refueling habits driven by higher flat prices and temporary store closures due to Hawaii flooding.
  • Management confirmed that further monetization of the outstanding RIN position depends on EPA clarity regarding future small refinery exemptions.
  • Par Pacific Holdings is initiating renewable fuel throughput reporting with the next quarter as production operations are validated and credit pathways are pursued.
  • Will Monteleone said, "The cadence of our repurchases is going to be driven by our excess capital position, forward outlook, and our view of intrinsic value."

INDUSTRY GLOSSARY

  • Singapore 3-1-2 Crack Index: An industry benchmark that measures the profit margin for refining three barrels of crude oil into one barrel of gasoline and two barrels of distillate, based on Singapore market prices.
  • RIN: Renewable Identification Number, a government-assigned credit used by U.S. refiners to demonstrate renewable fuel blending compliance.
  • FIFO Benefit: A gain from accounting for inventory using the First-In, First-Out method, which can provide earnings benefits when input costs rise rapidly.
  • Margin Capture: The percentage of market-indexed margin realized after adjusting for operational and commercial factors relative to a benchmark index.

Full Conference Call Transcript

Will Monteleone: Thank you, Ashimi, and good morning, everyone. First quarter adjusted EBITDA was $91 million and adjusted net income was $0.78 per share. First quarter results compare favorably against historical first quarter performance despite the lag effect of rapidly rising crude and distillate prices in Hawaii, off-season conditions in Wyoming and Montana, and the planned Washington outage. Our facilities ran well across the system, setting a first quarter throughput record. This strong throughput allowed us to pre-build inventory ahead of planned maintenance outages. The Wyoming and Montana facilities have both completed their April outages on time and are prepared to run hard for the highly profitable summer months.

Over the past two months, refined product cracks surged to all-time highs, particularly in Asia, due to the reduction of Persian Gulf-origin refined product exports, Asian refiners reducing run rates, and protectionist policies restricting free trade of waterborne refined products. As a result, the April Singapore 3-1-2 Index is materially above historical norms, averaging over $72 per barrel, compared with the 2025 average of $16 per barrel. These levels exceed prior highs observed during the early months of the Russia-Ukraine conflict. In addition, mainland seasonal cracks are also rallying to elevated levels. Our commercial position and supply chain flexibility allow us to capture a substantial portion of the strong market environment.

In addition, we have no crack spread hedges in place, positioning us to capture improved market conditions. Looking forward, global refined product inventory buffers are drawing down aggressively, setting up for meaningful tightness over the summer months. We see many Asian refiners running at near-minimum throughput rates, attempting to preserve crude supply chain duration versus maximizing profits. Turning to the Retail segment, quarterly same-store fuel and in-store sales decreased by 3.3% and 1% compared to 2025. Fuel volume and in-store results reflect shifting consumer refueling patterns associated with the rising flat price environment and the impact of three state-level closures during the first quarter from Hawaii flooding events.

On the strategic front, we achieved a major milestone with the successful startup of the Hawaii Renewable Fuels facility. This is a significant step for the renewables business, reflecting our disciplined commissioning approach. We continue to test and optimize unit operations and are focused on establishing credit pathways. The policy backdrop continues to strengthen and we remain constructive on the outlook for the project. On the capital allocation front, we repurchased $28 million during the quarter at an average price of $38 per share. Since the program's inception, we have repurchased over 14 million shares, just over 20% of shares outstanding, at an average price of $25 per share.

Our total liquidity position of $938 million combined with a robust forward cash flow outlook positions the balance sheet to support our strategic objectives and opportunistic share repurchase framework. In closing, our consistent focus on reliable operations, commercial agility, and disciplined capital allocation remains the foundation for capturing today's market opportunity and delivering long-term shareholder value. With that, I will hand the call to Richard, who will walk through our refining and logistics results. Thank you.

Richard Creamer: I want to begin with a moment of recognition for each of our refining teams for an outstanding first quarter. The Hawaii team achieved a record quarter throughput. Montana achieved a record winter season throughput. In addition, Washington successfully completed their February turnaround, restarted operations, and is operating at maximum rates. We are pleased that both Montana and Wyoming teams completed their April outages safely and are operating under normal conditions. Par Pacific Holdings, Inc.’s success lies in the foundation of delivering production safely and reliably for our communities. The entire refining and logistics team continues to demonstrate that commitment. As Will referenced, we are pleased with the early operational results from the Hawaii renewable fuels facility.

As a reminder, we brought the pretreatment unit online early this year and achieved on-specification product using a mix of feedstocks, with additional inbound waste oils to further test our capabilities. We are now operating the pretreatment in tandem with the renewable hydrotreater and achieved on-specification renewable diesel in late April. We are beginning to transition operations to validate the sustainable aviation fuel mode. Our first quarter conventional refining throughput was 184,000 barrels per day, and we will begin reporting renewable fuel throughput in the second quarter. In Hawaii, throughput was a record 90,000 barrels per day and production costs were $4.67 per barrel.

Hawaii will begin its planned turnaround in late June, which is expected to last between 30 and 45 days. The renewable fuels unit will be offline during the turnaround. The first quarter Washington throughput was 23,000 barrels per day and production costs were $7.53 per barrel, driven by reduced rates related to the February planned downtime. The refinery is operating well and delivering fully restored capability. Shifting to Wyoming, throughput was 15,000 barrels per day and production costs were $11.68 per barrel, reflecting lower seasonal throughput. As I mentioned, the spring refinery outage to address routine maintenance was completed successfully and safely. Finally, in Montana, first quarter throughput was 57,000 barrels per day and production costs were $9.50 per barrel.

The team continues to deliver on their plan of efficient operations and OpEx control. Looking ahead to the second quarter, we expect Hawaii throughput of 77,081 barrels per day reflecting the turnaround and Washington between 40,042 barrels per day. Due to the April planned maintenance across the Rocky system, Wyoming quarterly throughput is expected to be between 14,016 barrels per day and Montana between 45,049 barrels per day. This results in a system-wide midpoint throughput of 182,000 barrels per day. I will now turn the call over to Shawn to cover the financial results. Thank you.

Shawn Flores: First quarter adjusted EBITDA was $91 million and adjusted net income was $39 million, or $0.78 per share. Our Refining segment reported adjusted EBITDA of $69 million in the first quarter compared to $88 million in the fourth quarter. Starting in Hawaii, the Singapore 3-1-2 averaged $36 per barrel during the first quarter and our landed crude differential was $4.90, resulting in a Hawaii index of $31.11 per barrel. Hawaii capture was 42%, including a net price lag headwind of approximately $125 million. As a reminder, net price lag reflects the Hawaii refinery’s contractual sales that are structured on prior-month and prior-week average pricing.

The lag impact was driven by the sharp increase in refined product prices in March, resulting in adjusted gross margin trailing current-period market conditions. We would expect price lag to be neutral in a stable pricing environment and to reverse into a capture benefit during periods of declining prices. Normalized for the lag impact, Hawaii capture was 92%, reflecting wider West Coast discounts relative to Singapore and lower netbacks on secondary products such as naphtha and LPGs. In Montana, the first quarter index averaged $4.84 per barrel with a margin capture of 143%. Capture was above our target range driven by lower asphalt production and favorable sales mix relative to the index.

In Wyoming, the first quarter index averaged $19.30 per barrel; margin capture was 139% including an $18 million FIFO benefit from rising crude oil prices. In Washington, our index averaged $8.20 per barrel. Margin capture was 100% supported by favorable jet-to-diesel spreads. Turning to the Logistics segment, adjusted EBITDA was $32 million in the first quarter, in line with our mid-cycle run rate. Strong system utilization in Hawaii and Montana was partially offset by reduced crude activity in Washington during the planned turnaround. In the Retail segment, adjusted EBITDA was $15 million compared to $22 million in the fourth quarter. The sequential decline was driven by lower fuel margins, reflecting rapid increases in wholesale prices during the quarter.

Moving to cash flow, first quarter cash from operations totaled $162 million excluding working capital outflows of $185 million and deferred turnaround costs of $18 million. Working capital outflows reflect rising flat prices and higher inventory levels ahead of the April planned maintenance across our Rockies system. Turning to RINs, we remain in an excess RIN position at the end of the first quarter, having monetized less than half of the RINs associated with the prior-period small refinery exemptions. This position is expected to provide additional working capital inflows over the coming quarters.

It is also worth noting that our first quarter adjusted EBITDA and adjusted net income reflect full RIN expense at current-period market prices, which does not capture the benefit of our excess RIN asset position. Our GAAP results, by contrast, include an approximately $30 million gain in the quarter representing the difference between current-period RIN prices and the book value of RIN assets on our balance sheet. First quarter capital expenditures, including deferred turnaround costs, totaled $61 million. Shifting to capital allocation, we repurchased $28 million of common stock during the quarter at an average price of $38 per share. Gross term debt at quarter end was $638 million, remaining below the low end of our leverage targets.

Looking ahead to the second quarter, our April consolidated refining index averaged $42 per barrel, an increase of $23 per barrel compared to the first quarter. In Hawaii, refining margins continue to reflect a tight refined products supply environment across the Pacific Basin. We expect our second quarter crude differential to be between $4 to $5 per barrel, reflecting the extended crude supply chain we built earlier this year. From a financial standpoint, the impact of the upcoming Hawaii turnaround is expected to be limited in the second quarter, with most of the impact shifting into the third quarter.

Across our Mainland system, April refining indices increased by approximately $17 per barrel versus the first quarter, driven by strong distillate margins. As Richard noted, we had planned downtime in April across the Rocky system, but expect minimal financial impact as we drew down inventories previously built during the first quarter. In renewables, we expect sales volumes and earnings contribution to be modest in the second quarter as we optimize operations and build inventory, with a more meaningful ramp in the back half of the year following the Hawaii refinery turnaround.

Overall, we are well positioned to deliver robust cash flow in the current margin environment, enabling us to further strengthen the balance sheet, pursue accretive growth opportunities, and opportunistically repurchase our common stock. This concludes our prepared remarks. Operator, we will turn it to you for Q&A.

Operator: We will now open the call for questions. We will now begin the question and answer session. To one question and one follow-up. At this time, we will pause momentarily to assemble our roster. Our first question comes from Matthew Blair with Tudor, Pickering, Holt & Co.

Matthew Blair: Great. Thank you, and good morning. I think Par Pacific Holdings, Inc. has probably the highest jet yield in the group; we believe it is roughly 15% or so. Could you confirm if that is the correct estimate? And could you talk a little bit about dynamics in the jet market, both on the supply side as well as demand side? We are seeing wider jet versus diesel spreads, which look like a nice tailwind into the second quarter. Thank you.

Will Monteleone: Sure, Matt. Good morning. I think 15% is probably reasonable. Again, I think some of this depends on some of our jet versus ULSD objectives, but as you indicated, given the spreads between jet and ULSD, we see an attractive economic incentive to try and maximize jet yields, particularly in the Pacific. And, again, I think we have a number of projects underway to maximize jet yields in the Rockies. And in terms of just the overall regrade spread or the spread between jet and gasoil, we continue to see that to be strong as it is one of the more difficult molecules to make. With the amount of crude distillation offline globally, it is a challenge.

And, given the loss in the Persian Gulf-origin exports, which was a material supplier to Europe, we are seeing the Asian market and the Indian refiners need to try and attempt to backfill some of Europe’s jet requirements.

Matthew Blair: Sounds good. And then this Hawaii product lag headwind in the first quarter, $126 million. It sounds like that would likely reverse in the second quarter, but would you also get an additional benefit from the drop in Singapore gasoil prices so far, and I guess, do you have an estimate so far in April on what that might look like?

Shawn Flores: Hey, Matt. Good morning. It is Shawn. I think it is too early to give an estimate on price lag. As you know, it really depends on where Singapore prices end up in June relative to March. I think you are right, it is down in the prompt market, and it would suggest a reversal, a partial reversal of the $125 million impact. I think that is how you should think about it and look at June pricing once available.

Matthew Blair: Sounds good. Thank you.

Operator: Our next question comes from Alexa Petrick with Goldman Sachs.

Alexa Petrick: Hey, good morning, team, and thank you for taking our question. I want to just jump in a little more to the Hawaii captures. I recognize there was that price lag impact, but even if we adjust for it, I think captures look like they were in the low 90% compared to your target of over 105%. So can you talk about some of the drivers there and then how that is tracking for Q2?

Shawn Flores: Hey, Alexa, it is Shawn. I would call out two other elements that I think drove a 10% to 15% capture hit. One was typically we see West Coast pricing at a premium to Singapore in most historical periods. That flipped to a significant discount, particularly LA Jet versus Singapore Jet, and LA Diesel versus Singapore gasoil. We do have some contractual exposure to the West Coast, and so that was, let us call it, a 5% to 10% capture headwind. And then the other factor I called out is we do produce and sell naphtha and LPGs.

Whenever you see a blowout like we did, where gasoil and jet are pricing at such a premium to the secondary products, it creates a capture headwind. I think both of those dynamics have normalized heading into Q2. If anything, I think West Coast is pricing at a premium to Singapore. So it is something that we are watching, not trying to make a call right now given the volatility, but those are the elements to keep an eye on.

Alexa Petrick: Okay. That is helpful. And then maybe just a follow-up. Sticking on Hawaii, it sounds like the planned turnaround is still tracking for a June start. Can you talk about the planning behind that? Is there any flex given the macro? And just how investors should be thinking about the impact? It sounds like the majority of it is going to be a Q3 impact.

Will Monteleone: That is correct, Alexa. We already shifted it, I will say, weeks, and I think that is probably the extent of the flexibility that we have. And, again, I think we really tie our decision on turnaround timing towards hydrocracker catalyst life. That is one of the key drivers in Hawaii. It has been roughly six years since we changed that catalyst out. And we have the objective of completing this over the summer period, just given the scheduling, the timing of the contractors, and the work that we have done.

So we have limited flexibility beyond where we have set today and have the supply chain, contractors, and all the moving pieces in place to execute that on time and on budget.

Ashimi Patel: That is very helpful. Richard, hold on. Richard has a couple of things to add. So, Richard, go ahead.

Richard Creamer: Yes. One other comment is that one of our primary goals is to absolutely ensure the product supply in the state of Hawaii as the only producer there. So timing around that is significantly considered in the execution and start of the turnaround.

Alexa Petrick: Sounds good. Thank you both.

Operator: Our next question comes from Jason Gabelman with TD Cowen.

Jason Gabelman: Hey, thanks for taking my questions. Maybe sticking with the Hawaii turnaround planning, throughput guidance is a bit light for Hawaii in Q2, and I wonder to what extent that is some conservatism baked into guidance versus the Hawaii turnaround really starting in earnest the last week or two of the quarter? And then could you also discuss how the landed crude cost dynamics will trend once Hawaii comes back online? Will that reflect the impacts of the conflict and higher freight and backwardation we are seeing in the market?

Will Monteleone: Sure, Jason. I think the throughput guidance reflects our estimate on the start time of the outage and then, again, working through optimizing our crude supply chain, both extending the turnaround as well as our plans exiting the turnaround. We are focused on margin optimization through both the inbound and outbound elements of the turnaround. In terms of blended crude differentials, I think it is too early to call the third quarter differentials. I would just keep in mind a couple of things.

One is, given the turnaround is ongoing and the length of our supply chain, we have been able to stay out of the market in the teeth of the most extreme hoarding events that we have seen over the last 30 to 60 days. That said, when you look at backwardation alone, our first half of the year crude differentials reflect probably a near-flat market structure. And if you just look at the current market structure today, between the front-month contract and the third-month contract, you are moving between $6 and $8 per barrel.

That is consistent with our risk management framework and ensuring that we are not taking flat price risk between the origin loading point and the delivery to Hawaii. So again, too early to call, but those are the factors to watch.

Jason Gabelman: Great. I was also hoping to get your color on Singapore cracks more broadly. They were extremely strong at the start of the conflict and through April, and it seems like they have converged with rest-of-world cracks. If there are arbitrage opportunities, those are going to be taken advantage of and the differentials are going to tighten between regions. Are we in an environment where relative cracks make more sense here, or just given the refinery capacity shut-ins in Asia, is there potential for cracks to spike again moving forward?

Will Monteleone: It is a good question. I think our observations would be, at the beginning of the conflict, the most hoarding of product and disruption between physical and financial markets emerged. If anybody was short Singapore cracks financially going into that, I think there was a rush to cover that position. I think now you are seeing freight normalize and the ability to arbitrage products between the Atlantic and Pacific Basins getting back into, I will say, train parity economics between the Atlantic and Pacific Basins. That is probably the right way to think about it, assuming that no other major factors change, which is a big assumption.

For Asia to price materially above Europe, given that both are in deficit positions needing to import product, it is going to be a competition between those two points to source and attract barrels.

Jason Gabelman: Got it. And if I could just sneak one final one in, on the small refinery exemptions. I think you received 60 million RINs worth of exemptions last year. It sounds like you have not monetized a large part of that. So if you get the exemptions this year reflecting 2025 exemptions, should we expect you to monetize most of that position?

Shawn Flores: Hey, Jason, it is Shawn. I think that is probably a fair assumption. We have monetized less than half to date. We would prefer to have clarity from the EPA on 2025 exemptions before further monetizing both the historical excess and then any new relief that we would get related to 2025.

Jason Gabelman: All right. I will leave it there. Thanks for the answers.

Operator: Our next question comes from JPMorgan.

Analyst: Hey, thanks for taking my question. Can you talk a little bit about how you are thinking about the buyback going forward? It seems like you slowed down as the stock price moved higher post Iran. With cracks where they are today, you are set to generate a significant amount of free cash flow in Q2. Do you plan to be active in the market buying back your stock, or are you comfortable with the cash just going to the balance sheet in the near term?

Will Monteleone: Yes. This is Will. I think our historical framework still holds today. We have been in an excess capital position and have taken an opportunistic framework towards our share repurchases. The cadence of our repurchases is going to be driven by our excess capital position, forward outlook, and our view of intrinsic value. When we see it trade materially below that, we will seize that opportunity. I think our framework is the right way to allocate capital through the cycle. You should expect us to be more aggressive in our share repurchasing when we see deeper discounts to intrinsic value and more moderate in our approach as we see less attractive discounts to intrinsic value.

Analyst: Thanks. That is all for me.

Operator: This concludes our question and answer session. I would like to turn the conference back over to Will Monteleone for any closing remarks.

Will Monteleone: Thank you, Kim. Q1 was a strong start to 2026, notably solid operational performance across the system, the successful April startup of our renewable fuels unit, and attractive share repurchases. Our focus remains on disciplined execution as the durable path to growing earnings and free cash flow per share over time. Thank you to our employees, and thank you all for joining us today.

Operator: The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.