Marathon On Track to Meet Q1 Production Goals at US Martinez Facility
- 01-Feb-2023 4:29 PM
- Journalist: Bob Duffler
HOUSTON [US]: Marathon Petroleum's Martinez Renewable Fuel (MRF) project continues to move forward on schedule, according to company officials. The MRF is a joint venture between Marathon and Neste that seeks to convert the shuttered refinery in Martinez, California into a renewable fuels production site. Both companies are optimistic about the prospects of their endeavor, citing its potential for positive environmental impact and economic benefits.
MPC and Neste announced that the Martinez refinery is on track to reach its full production capacity of 730 million gallons per year by Q4 of 2023. In addition, the facility is projected to produce 260 million gallons of renewable Diesel in Q1 of this year and will have pretreatment capabilities coming online in the second half of 2023.
The Marathon officials at the Dickinson renewable Diesel facility in North Dakota announced that they have adjusted their operations to make use of advantageous feedstocks, resulting in fuels with a lower carbon intensity.
“We’ve enhanced our position in the renewables value chain. We’ll continue to look for opportunities leveraging strategic partnerships with Neste and ADM,” Mike Hennigan, Marathon CEO, stated.
Marathon Petroleum has announced that they have a plan in place to improve energy efficiency and decrease emissions from their Los Angeles refinery. According to Hennigan, this plan will help make a positive impact on the environment.
According to Marathon, crude capacity utilization for the entire company in Q4 2022 was at 94%. Total throughput during that period was 2.9m bbl/day, amounting to roughly the same rate year on year.
“Refining operating costs per barrel were $5.62 for Q4 2022, versus $5.36 for Q4 2021. The majority of this increase was primarily driven by higher energy costs, project expense associated with higher turnaround activity, as well as a special compensation expense,” stated the company.