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 (NYSE:VLO). But smaller oil firms weren't entirely left out in the cold, either. Here are a few of the other winners:
- Phillips 66 (NYSE:PSX): 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 (NASDAQ:CLMT): awarded a similar contract worth up to $189.7 million.
- Alon USA Energy (NYSE:ALJ): $159.6 million.
- Tesoro (NYSE: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.
Fool contributor Rich Smith and The Motley Fool have no position in any stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.