Phillips 66 Commences Commercial Activities at Rodeo Biorefinery

On April 1, 2024, Phillips 66 (NYSE: PSX) made a significant announcement that marked a pivotal moment in its ongoing effort to transform the San Francisco refinery into the Rodeo Renewable Energy Complex, a strategic move aimed at ramping up commercial production of renewable diesel.

This initiative, known as the Rodeo Renewed project, has reached a major milestone, with the facility now exclusively processing renewable feedstocks and yielding an impressive output of approximately 30,000 barrels per day (BPD) of renewable diesel. The Rodeo Renewable Energy Complex is on the cusp of achieving even greater heights, with plans in place to escalate production rates to over 800 million gallons per year (equivalent to 50,000 BPD) of renewable fuels by the culmination of the second quarter. This trajectory firmly positions Phillips 66 as a frontrunner in the burgeoning domain of renewable fuels, signaling the company's commitment to sustainability and innovation in the energy sector.

Rich Harbison, Executive Vice President of Refining at Phillips 66, expressed pride in the significant accomplishment attained at the Rodeo facility. He commented, "This project aligns with Phillips 66’s longstanding strategy to enhance our production of renewable fuels, diminish our carbon footprint, and offer dependable, cost-effective energy while generating enduring value for our shareholders." Harbison's sentiments underscore the company's dedication to fostering sustainable practices and driving shareholder value through forward-thinking initiatives.

The success of the Rodeo Renewed project is a testament to Phillips 66's steadfast commitment to innovation and sustainability. The endeavor not only represents a leap forward in renewable energy production but also highlights the company's ability to adapt and thrive in a rapidly evolving energy landscape.

In addition to renewable diesel, the Rodeo Renewable Energy Complex is designed to produce renewable jet fuel, a crucial component of sustainable aviation fuel (SAF). This capability is set to come online in the second quarter of 2024, further solidifying Phillips 66's position as a key player in the transition towards cleaner, more sustainable energy solutions.

The decision to pursue the Rodeo Renewed project was a strategic one for Phillips 66, reflecting the company's forward-looking approach to addressing the dual challenges of climate change and energy security. By investing in renewable energy infrastructure and technology, Phillips 66 is not only reducing its environmental impact but also positioning itself for long-term success in a rapidly evolving energy landscape.

The transformation of the San Francisco refinery into the Rodeo Renewable Energy Complex represents a significant milestone for Phillips 66 and the broader energy industry. As one of the world's largest renewable fuels facilities, the complex leverages Phillips 66's expertise in refining and logistics to deliver sustainable, high-quality fuels to meet growing demand while reducing carbon emissions.