By Anna Louie Sussman
NEW YORK, July 24 (Reuters) - Delta Air Lines Inc has severed a multi-year contract with BP to exchangerefined fuels from Delta's Trainer refinery for more jet fuel,the company said on Thursday.
A "product exchange contract" between Delta's subsidiaryMonroe Energy LLC and BP Products North America wasterminated effective July 1, Delta said in its quarterly SECfiling. Delta said it replaced BP with another counterparty thatit did not name. The airline said the termination was early, butdid not say when the contract had been due to end.
A Delta spokesman did not return calls for additionalcomment. A spokesman from BP declined to comment.
When Delta bought the 166,000 barrel per day (bpd)Philadelphia-area refinery in mid-2012, it struck severalagreements to supply crude and buy its refined products,minimizing its need to trade directly in the oil market.
One of those was a multi-year agreement with BP, which wasto buy some of the refinery's "non-jet fuel" products, such asgasoline and diesel, and sell jet fuel back to Delta. It strucka similar deal with Phillips 66 to swap Trainer'srefined products for more jet fuel.
The SEC filing made no mention of another agreement from2012: a three-year deal under which BP was to supply crude oilto the refinery.
On Monday, Monroe announced that privately-held midstreamcompany Bridger LLC would supply 65,000 bpd of North DakotaBakken crude to its refinery, helping it reduce its reliance onmore costly imports.
(For a FACTBOX on domestic crude-by-rail projects, see ).
In the first half of 2014, Monroe exchanged products worth agross fair value of $2.5 billion with BP and othercounterparties, including Phillips 66, the filing showed. (Reporting by Anna Louie Sussman, editing by Jonathan Leff andDavid Gregorio)
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