Holly Energy Partners, L.P. (the “Partnership”) announced that it and Holly Energy Finance Corp. (together with the Partnership, the “Issuers”), subject to market conditions, intend to offer $500 million in aggregate principal amount of senior notes due 2028 (the “2028 Notes”) in a private placement under Rule 144A and Regulation S of the Securities Act of 1933, as amended (the “Securities Act”) to eligible purchasers (the “Offering”). The 2028 Notes will initially be guaranteed on a senior unsecured basis by the Partnership’s existing wholly owned subsidiaries (other than Holly Energy Finance Corp. and certain immaterial subsidiaries). The Partnership intends to use the net proceeds from the Offering, together with borrowings under its revolving credit agreement, to redeem all of the Issuers’ currently outstanding 6.0% senior notes due 2024 (the “2024 Notes”) and pay related expenses. The Partnership has separately delivered a conditional notice of redemption under which, subject to completion of the Offering, the 2024 Notes will be redeemed on February 5, 2020 at a price of 104.5% of the principal amount, plus accrued and unpaid interest. The final terms and principal amount of the 2028 Notes are subject to market and other conditions. The 2028 Notes and the related guarantees have not been registered under the Securities Act, or any state securities laws, and unless so registered, may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and applicable state securities laws. The Issuers plan to offer and sell the 2028 Notes only to persons reasonably believed to be qualified institutional buyers pursuant to Rule 144A under the Securities Act and to persons outside the United States pursuant to Regulation S under the Securities Act.