Two of Utah's petroleum-products "jobbers," or distribution companies, have merged.
Kellerstrass Oil Co. of Ogden recently purchased Jensen Oil Co. of Salt Lake City. Financial details about the purchase were not released, but combined, the two companies will generate sales of $150 million a year, Kellerstrass President Craig Kellerstrass said. The combined company will retain both the Jensen and Kellerstrass names.
The companies purchase oil and gas from refiners and sell it wholesale to construction, trucking and mining-transportation companies. The petroleum products that the companies purchase come from local refiners, pipelines from Montana, and oil and gas brought in by rail from outside of Utah.
Jensen targeted the companies in Salt Lake City, a market Kellerstrass wanted to enter. Kellerstrass sells to companies in Utah, Wyoming, Idaho, Nevada and Montana, but it has not had much of a presence in Salt Lake City, Kellerstrass said.
Both companies are private, family owned and began in 1948. No layoffs are anticipated, and Kellerstrass will keep offices in Salt Lake City and Ogden.