This article was originally published by TheStreet, and also appeared on Yahoo Finance, on September 24, 2014.
By Sarfaraz A. Khan
NEW YORK (TheStreet) -- Exxon Mobil (XOM) is reportedly preparing to sell its only oil refinery in California, following similar divestitures by BP (BP) and Royal Dutch Shell (RDS.A) , and that's good news for investors of the Irving, Texas-based energy major.
That's because Exxon Mobil's plant was a "disadvantaged refinery" for the company, due to its small size and lack of petro-chemical integration or lubricants production, Oppenheimer senior analyst Fadel Gheit told TheStreet in an email. Gheit explained that "it doesn't fit [with] Exxon Mobil's downstream strategy, which is focused on larger, more complex integrated refineries with crude flexibility and petrochemical manufacturing."