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Marathon Petroleum’s Martinez Renewable Diesel Facility Operating at Reduced Capacity

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Marathon Petroleum announced on Tuesday that its Martinez renewable diesel facility, located in the San Francisco Bay area, is currently operating at about half of its nameplate capacity as the company collaborates with regulators to address necessary repairs.

It should be noted that in mid-November, Marathon successfully extinguished a fire at the Martinez facility that resulted in the injury of one employee. Previously, in October, Marathon had anticipated the facility to produce at its full nameplate capacity by the end of 2023.

The Martinez facility is a joint venture between Marathon, the largest refinery operator in the United States, and Finland-based renewable diesel company Neste Oyj. Both entities share an equal stake in this venture.

Additionally, Mannen informed analysts that Marathon’s reformer at its Galveston Bay refinery in Texas, with a capacity of 625,000 b/d, was restarted in mid-November and reached full operating rates by mid-December. Earlier in May, a fire had broken out at Galveston Bay’s reformer, leading Marathon to expedite turnaround work originally scheduled for the first quarter of 2024 to the third and fourth quarters.

Marathon Petroleum continues its dedication to optimizing operations and working closely with regulators to uphold safety standards and ultimately strive towards maximizing production capabilities.

Marathon to Upgrade Refineries and Reduce Environmental Impact

Marathon, a leading energy company based in Findlay, Ohio, is undertaking significant projects to enhance its refineries and address environmental concerns.

Galveston Bay Refinery

Marathon is constructing a state-of-the-art high-pressure 90,000 b/d distillate hydrotreater at its Galveston Bay refinery. This upgrade aims to eliminate the dependence on lower-value high-sulfur markets by converting high-sulfur distillate products into ultra-low sulfur diesel (ULSD). The ambitious project is scheduled for completion by the end of 2027.

Los Angeles Refinery Improvements

Additionally, Marathon is committed to enhancing its Los Angeles refinery, which currently has a capacity of 382,000 b/d. The company aims to increase operational reliability and reduce costs through this venture. Expected to be finished by the end of 2025, this project includes several key objectives:

  • Integration and modernization of utility systems
  • Enhancing energy efficiency and reducing capital expenses
  • Minimizing greenhouse gas emissions
  • Meeting the nitrogen oxide emissions reduction Rule 1109.1 set by the South Coast Air Quality Management District

Marathon’s Expansive Operations

Marathon operates 13 refineries across the United States and manages retail outlets, midstream crude, and product pipeline and terminal assets. The company’s dedication to innovation and environmental responsibility remains at the forefront of its operations.

Reporting by Frank Tang; Editing by Michael Kelly

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