Phillips 66 provides update on Los Angeles refinery operations

The Los Angeles refinery consists of two facilities linked by pipeline located five miles apart in Carson and Wilmington, California, approximately 15 miles southeast of Los Angeles. (Photo: Phillips 66)

Phillips 66 provided an update Oct. 1 on its progress toward idling operations at its Los Angeles refinery in furtherance of the company’s efforts to redevelop these real-estate sites.

The final waterborne crude was received Sept. 30, and the final crude-processing date is expected to be around Oct. 16.

The facility is executing a detailed schedule to safely idle operations.

Several process units have been placed in an idle state.

The remaining units will be idled in a phased manner through the end of 2025.

Remediation and decommissioning efforts are progressing, Phillips 66 stated.

In the third quarter, the company expects to accrue environmental expenses of approximately $70 million in the refining segment related to its future groundwater-mitigation plans, along with an asset-retirement charge of approximately $30 million in the midstream segment related to transportation assets that will no longer be used as a result of the facility idling operations.

Phillips 66 said it remains committed to ensuring a steady fuel supply to meet ongoing California consumer demand.

The company expects to meet demand by sourcing gasoline from within and outside its refining network.

Additional details will be provided on the company’s third-quarter earnings call Oct. 29.