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US oil refining capacity rises for second year in a row
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US oil refining capacity rises for second year in a row
Jun 14, 2024 11:53 AM

HOUSTON, June 14 (Reuters) - U.S. crude oil refining

capacity rose 1.5% to 18.38 million barrels per day (bpd) this

year, a government report showed on Friday as a major new

expansion in Texas boosted capacity.

The Energy Information Administration (EIA) said the figures

indicate capacity online as of Jan. 1, which reflected for the

first time the startup last year of an about 250,000 bpd

expansion to Exxon Mobil's ( XOM ) Beaumont, Texas, refinery.

The gain was a second year in a row of increases due to

expansions at existing operations. Still, processing capacity at

the start of 2024 remained more than 500,000 bpd below the 2019

peak of 18.98 million bpd, which came before a wave of plant

closures and conversions during the COVID-19 pandemic.

Refiners process crude oil into gasoline, diesel, jet fuel

and other products.

Marathon Petroleum Corp ( MPC ) remained the largest refiner

in the United States, able to process up to 2.95 million bpd, or

16% of the country's total, at its 13 U.S. plants, the EIA

report showed.

Valero Energy Corp ( VLO ) was the second-largest U.S.

refiner by volume with its 2.21 million bpd capacity equal to

about 12% of the total.

Exxon was third largest with nearly 1.95 million bpd after a

$2 billion expansion to its Beaumont refinery came online in

spring, 2023, raising that facility's processing capacity to

609,000 bpd.

The fourth largest refiner, Phillips 66, can process

1.39 million bpd while the fifth and sixth largest - PBF Energy

and Chevron Corp ( CVX ) - can each process more than 1

million bpd.

The sixth-largest refiner, Citgo Petroleum, is facing a

court-ordered auction of shares in its parent that could lead to

a change in ownership before the summer ends. Court officials

are reviewing multi-billion-dollar bids for the shares and have

scheduled a hearing on the offer in July.

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