CVR Energy, Inc. (NYSE: CVI) has made significant strides in its financial position, with the announcement of a $75 million prepayment of the senior secured term loan facility, reducing the outstanding principal on the term loan to approximately $165 million. This move reflects the company's commitment to its deleveraging strategy, with CEO Mark Pytosh emphasizing the focus on returning the balance sheet to targeted leverage levels.
In addition to the term loan prepayment, CVR Energy revealed its preliminary 2026 capital spending estimates, which range from $200 million to $240 million on a consolidated basis. The breakdown of estimated capital expenditures by segment for 2026 is as follows:
Petroleum Segment: Maintenance: $80 million to $90 million Growth: $50 million to $55 million * Total: $130 million to $145 million
Nitrogen Fertilizer Segment: Maintenance: $35 million to $45 million Growth: $25 million to $30 million * Total: $60 million to $75 million
Other Segment: Maintenance: $10 million to $15 million Growth: $0 million to $5 million * Total: $10 million to $20 million
Notably, the company highlighted that capital expenditures for the renewables segment are expected to be minimal following the reversion of the renewable diesel unit back to hydrocarbon processing service in December 2025, and are included in the "Other" segment for the purposes of this guidance.
These developments underscore CVR Energy's strategic approach to capital spending, with a focus on supporting safe, reliable operations in the petroleum segment while selectively investing in targeted growth projects. The company's proactive measures in reducing debt and outlining its capital spending plans provide stakeholders with a clear view of its financial health and strategic priorities. As a result of these announcements, the company's shares have moved -1.25% on the market, and are now trading at a price of $26.02. Check out the company's full 8-K submission here.
