Phillips 66 operates as a diversified energy company.
Segments
The company operates through five operating segments: Midstream, Chemicals, Refining, Marketing and Specialties (M&S) and Renewable Fuels.
Midstream—Provides crude oil and refined petroleum product transportation, terminaling and processing services, as well as natural gas and natural gas liquids (NGL) transportation, storage, fractionation, gathering, processing and marketing services in the United States. In addition, this segme...
Phillips 66 operates as a diversified energy company.
Segments
The company operates through five operating segments: Midstream, Chemicals, Refining, Marketing and Specialties (M&S) and Renewable Fuels.
Midstream—Provides crude oil and refined petroleum product transportation, terminaling and processing services, as well as natural gas and natural gas liquids (NGL) transportation, storage, fractionation, gathering, processing and marketing services in the United States. In addition, this segment exports liquefied petroleum gas (LPG) to global markets.
Chemicals—Consists of the company’s 50% equity investment in Chevron Phillips Chemical Company LLC (CPChem), which manufactures and markets petrochemicals and plastics on a worldwide basis.
Refining—Refines crude oil and other feedstocks into petroleum products, such as gasoline and distillates, including aviation fuels. This segment includes 11 refineries in the United States and Europe.
Marketing and Specialties—Purchases for resale and markets refined products, mainly in the United States and Europe. In addition, this segment includes the manufacturing and marketing of base oils and lubricants.
Renewable Fuels—Processes renewable feedstocks into renewable products at the Rodeo Renewable Energy Complex (Rodeo Complex) and at its Humber Refinery. In addition, this segment includes the global activities to procure renewable feedstocks, manage certain regulatory credits, and market renewable fuels.
Midstream segment
The Midstream segment consists of two businesses:
Transportation—Transports crude oil and other feedstocks to the company’s refineries and other locations, delivers refined petroleum products to market, and provides terminaling and storage services for crude oil and refined petroleum products.
NGL—Gathers, processes, transports and markets natural gas; transports, fractionates, markets and exports NGL.
At December 31, 2024, the company’s Midstream segment owned or held partial interests in approximately 70,000 miles of crude oil, refined petroleum product, NGL and natural gas pipeline systems; 39 refined petroleum product terminals; 34 gathering and processing plants; 15 crude oil terminals; eight fractionation facilities; six NGL terminals; a petroleum coke exporting facility; and various other storage and loading facilities that are located in the United States.
Acquisitions
On July 1, 2024, the company acquired Pinnacle Midland Parent LLC (Pinnacle Midstream) to expand its natural gas gathering and processing operations in the Permian Basin.
Pending Acquisition
On January 6, 2025, the company entered into a definitive agreement to acquire all issued and outstanding equity interests in each of EPIC Y-Grade GP, LLC (Y-Grade GP) and EPIC Y-Grade, LP (Y-Grade LP, and together with Y-Grade GP and their respective subsidiaries, EPIC Y-Grade), which own various long haul natural gas liquids pipelines, fractionation facilities and distribution systems.
Investment and Asset Dispositions
During the year ended December 31, 2024, the company sold the following assets: the company’s equity interests in certain pipeline and terminaling assets in North Dakota; certain gathering and processing assets in Texas; the company’s ownership interests in certain gathering and processing assets in Louisiana and Alabama; and the company’s 25% ownership interest in Rockies Express Pipeline LLC.
Subsequent Investment Disposition
On January 30, 2025, the company sold its 25% ownership interest in Gulf Coast Express Pipeline LLC.
Transportation
The company owns, holds partial interests in, or leases various assets to provide transportation, terminaling and storage services. These assets include crude oil, refined petroleum product, NGL, and natural gas pipeline systems; crude oil, refined petroleum product and NGL terminals; a petroleum coke handling facility; marine vessels; railcars and trucks.
Pipelines and Terminals
Marine Vessels
As of December 31, 2024, the company had 13 international-flagged crude oil, refined petroleum product and NGL tankers under time charter contracts, with capacities ranging in size from 300,000 to 800,000 barrels. Additionally, the company had a variety of inland and offshore tug/barge units. These vessels are used primarily to transport crude oil and other feedstocks, as well as refined refined products for its facilities. In addition, the NGL tankers are used to export propane and butane from the company’s fractionation, transportation and storage infrastructure.
Truck and Rail
The company’s truck and rail fleets support its feedstock and distribution operations. Truck movements are provided through its wholly owned subsidiary, Sentinel Transportation LLC, and through numerous third-party trucking companies. Rail movements are provided via a fleet of approximately 8,900 owned or leased railcars.
NGL
At December 31, 2024, the company’s NGL business owned or held partial interests in a diversified and integrated portfolio of assets across the wellhead-to-market value chain. The company’s portfolio includes natural gas processing plants, NGL and natural gas pipeline systems, and fractionators located in the United States. A significant portion of its NGL business is conducted through DCP Midstream, LP (DCP LP), a consolidated subsidiary in which it holds an aggregate direct and indirect economic interest of 86.8%. DCP LP is one of the largest processors of natural gas and one of the largest producers of NGLs in the United States. DCP LP’s gathering and processing assets are strategically located in some of the major producing regions in the United States, including the Permian Basin, the Denver-Julesburg Basin, the Midcontinent and Eagle Ford.
Pipeline Systems
Pipeline systems owned by DCP Sand Hills Pipeline, LLC (DCP Sand Hills) and DCP Southern Hills Pipeline, LLC (DCP Southern Hills), consolidated subsidiaries in which it holds aggregate direct and indirect economic interests of 91.2%, provide takeaway capabilities for DCP LP’s gathering and processing operations in the Permian Basin, Midcontinent and Eagle Ford, and provide access to customers and market outlets on the U.S. Gulf Coast, including the Mont Belvieu, Texas, market hub and its Sweeny fractionation and export facilities (the Sweeny Hub).
Natural Gas Processing
At some of the company’s facilities, it fractionates NGL into individual components (ethane, propane, butane and natural gasoline). The company owns or hold partial interests in 34 active natural gas processing facilities that have a net processing capacity of 4.8 billion cubic feet per day (Bcf/d).
Sweeny Hub Assets
The Sweeny Hub is a U.S. Gulf Coast NGL market hub, consisting of four fractionators with a total fractionation nameplate capacity of 550,000 barrels per day (B/D), a liquified petroleum gas (LPG) export terminal, and NGL storage caverns. The fractionators are located adjacent to the company’s Sweeny Refinery in Old Ocean, Texas, and supply purity ethane to the petrochemical industry and purity NGL to domestic and global markets. Raw NGL supply to the fractionators is delivered from nearby major pipelines, including the DCP Sand Hills Pipeline. The fractionators are supported by significant infrastructure including connectivity to two NGL supply pipelines, a pipeline connecting to the Mont Belvieu market hub and the Clemens Caverns storage facility with access to the company’s LPG export terminal in Freeport, Texas. It also includes the company’s C2G Pipeline, which is a 16-inch ethane pipeline that connects its Clemens Caverns storage facility to petrochemical facilities in Gregory, Texas, near Corpus Christi.
The Freeport LPG Export Terminal leverages the company’s fractionation, transportation and storage infrastructure to supply petrochemical, heating and transportation markets globally. The terminal can simultaneously load a propane vessel and a butane vessel and has a combined LPG export capacity of 260,000 BPD. In addition, the terminal has the capability to export natural gasoline (C5+) produced by the Sweeny Hub fractionators.
Chemicals segment
The Chemicals segment consists of the company’s 50% equity investment in CPChem. As of December 31, 2024, CPChem owned or had joint venture interests in 30 manufacturing facilities located in Belgium, Colombia, Qatar, Saudi Arabia, Singapore and the United States. Additionally, CPChem has two research and development centers in the United States.
CPChem produces and markets ethylene and other olefin products. The ethylene produced is primarily used by CPChem to produce polyethylene, normal alpha olefins (NAO) and polyethylene pipe. CPChem manufactures and markets aromatics and styrenics products, such as benzene, cyclohexane, styrene and polystyrene, as well as a variety of specialty chemical products including organosulfur chemicals, solvents, catalysts, and chemicals used in drilling and mining.
The manufacturing of petrochemicals and plastics involves the conversion of hydrocarbon-based raw material feedstocks into higher-value products, often through a thermal process referred to in the industry as cracking. For example, ethylene can be produced by cracking ethane, propane, butane, natural gasoline or certain refinery liquids, such as naphtha and gas oil. Ethylene primarily is used as a raw material in the production of plastics, such as polyethylene. Plastic resins, such as polyethylene, are manufactured in a thermal/catalyst process, and the produced output is used as a further raw material for various applications, such as packaging and plastic pipe.
Refining segment
The Refining segment refines crude oil and other feedstocks into petroleum products, such as gasoline and distillates, including aviation fuels, at 11 refineries in the United States and Europe.
Atlantic Basin/Europe Region
Bayway Refinery
The Bayway Refinery is located on the New York Harbor in Linden, New Jersey. Bayway’s facilities include crude distilling, naphtha reforming, fluid catalytic cracking, solvent deasphalting, hydrodesulfurization and alkylation units. The complex also includes a polypropylene plant with the capacity to produce up to 775 million pounds per year. The refinery produces a high percentage of transportation fuels, as well as petrochemical feedstocks, residual fuel oil and home heating oil. Refined petroleum products are distributed to East Coast customers by pipeline, barge and railcar.
Humber Refinery
The Humber Refinery is located on the east coast of England in North Lincolnshire, the United Kingdom, approximately 180 miles north of London. Humber’s facilities include crude distilling, naphtha reforming, fluid catalytic cracking, hydrodesulfurization, thermal cracking and delayed coking units. The refinery has two coking units with associated calcining plants. Humber is the only coking refinery in the United Kingdom, and a producer of high-quality specialty graphite and anode-grade petroleum cokes. The refinery also produces a high percentage of transportation fuels. The majority of the light oils produced by the refinery are distributed to customers in the United Kingdom by pipeline, railcar and truck, while the other refined petroleum products are exported throughout the world.
MiRO Refinery
The MiRO Refinery is located on the Rhine River in Karlsruhe, Germany, approximately 95 miles south of Frankfurt, Germany. MiRO is the largest refinery in Germany and operates as a joint venture in which it owns an 18.75% interest. Facilities include crude distilling, naphtha reforming, fluid catalytic cracking, petroleum coking and calcining, hydrodesulfurization, isomerization, ethyl tert-butyl ether and alkylation units. MiRO produces a high percentage of transportation fuels. Other products produced include petrochemical feedstocks, home heating oil, bitumen, and anode- and fuel-grade petroleum cokes. Refined petroleum products are distributed to customers in Germany, Switzerland, France, and Austria by truck, railcar and barge.
Gulf Coast Region
Lake Charles Refinery
The Lake Charles Refinery is located in Westlake, Louisiana, approximately 150 miles east of Houston, Texas. Refinery facilities include crude distilling, naphtha reforming, fluid catalytic cracking, alkylation, hydrocracking, hydrodesulfurization, isomerization and delayed coking units. Refinery facilities also include a specialty coker and calciner. The refinery produces a high percentage of transportation fuels. Other products produced include off-road diesel, home heating oil, feedstock for the company’s Excel Paralubes LLC (Excel Paralubes) joint venture in its M&S segment, and high-quality specialty graphite and fuel-grade petroleum cokes. A majority of the refined petroleum products are distributed to customers in the southeastern and eastern United States by truck, railcar, barge or major common carrier pipelines. Additionally, refined petroleum products are exported to customers primarily in Latin America by waterborne cargo.
Sweeny Refinery
The Sweeny Refinery is located in Old Ocean, Texas, approximately 65 miles southwest of Houston, Texas. Refinery facilities include crude distilling, naphtha reforming, fluid catalytic cracking, alkylation, hydrodesulfurization, aromatics units, a vacuum distillation unit, and a delayed coking unit. The refinery produces a high percentage of transportation fuels. Other products include petrochemical feedstocks, home heating oil and fuel-grade petroleum coke. A majority of the refined petroleum products are distributed to customers throughout the Midcontinent region, southeastern and eastern United States by pipeline, barge and railcar. Additionally, refined petroleum products are exported to customers primarily in Latin America by waterborne cargo.
Central Corridor Region
Ponca City Refinery
The Ponca City Refinery is located in Ponca City, Oklahoma, approximately 95 miles northwest of Tulsa, Oklahoma. Refinery facilities include crude distilling, naphtha reforming, fluid catalytic cracking, alkylation, hydrodesulfurization, and delayed coking units. The refinery produces a high percentage of transportation fuels and anode-grade petroleum coke. Refined petroleum products are primarily distributed to customers throughout the Midcontinent region by company-owned and common carrier pipelines.
Billings Refinery
The Billings Refinery is located in Billings, Montana. Refinery facilities include crude distilling, naphtha reforming, fluid catalytic cracking, alkylation, hydrodesulfurization and delayed coking units. The refinery produces a high percentage of transportation fuels and fuel-grade petroleum coke. Refined petroleum products are distributed to customers in Montana, Wyoming, Idaho, Utah, Colorado and Washington by pipeline, railcar and truck.
WRB Refining LP (WRB)
The company is the operator and managing partner of WRB, a 50 percent-owned joint venture that owns the Wood River and Borger refineries.
Wood River Refinery
The Wood River Refinery is located in Roxana, Illinois, about 15 miles northeast of St. Louis, Missouri, at the confluence of the Mississippi and Missouri rivers. Refinery facilities include crude distilling, naphtha reforming, fluid catalytic cracking, alkylation, hydrocracking, hydrodesulfurization and delayed coking units. The refinery produces a high percentage of transportation fuels. Other products produced include petrochemical feedstocks, asphalt and fuel-grade petroleum coke. Refined petroleum products are distributed to customers throughout the Midcontinent region by pipeline, railcar, barge and truck.
Borger Refinery
The Borger Refinery is located in Borger, Texas, in the Texas Panhandle, approximately 50 miles north of Amarillo, Texas. Refinery facilities include crude distilling, naphtha reforming, fluid catalytic cracking, alkylation, hydrodesulfurization, and delayed coking units. The refinery produces a high percentage of transportation fuels, as well as fuel-grade petroleum coke, NGL and solvents. Refined petroleum products are distributed to customers in West Texas, New Mexico, Colorado and the Midcontinent region by company-owned and common carrier pipelines.
West Coast Region
Ferndale Refinery
The Ferndale Refinery is located on Puget Sound in Ferndale, Washington, approximately 20 miles south of the U.S.-Canada border. Facilities include crude distillation, naphtha reforming, fluid catalytic cracking, alkylation and hydrodesulfurization units. The refinery produces a high percentage of transportation fuels. Other products produced include residual fuel oil, which is supplied to the northwest marine bunker fuel market. Most of the refined petroleum products are distributed to customers in the northwest United States by pipeline and barge.
Los Angeles Refinery
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. The Carson facility serves as the front end of the refinery by processing crude oil, and the Wilmington facility serves as the back end of the refinery by upgrading the intermediate products to finished products. Refinery facilities include crude distillation, naphtha reforming, fluid catalytic cracking, alkylation, hydrocracking, and delayed coking units. The refinery produces a high percentage of transportation fuels. The refinery produces California Air Resources Board (CARB)-grade gasoline. Other products produced include fuel-grade petroleum coke. Refined petroleum products are distributed to customers in California, Nevada and Arizona by pipeline and truck.
Marketing and Specialties segment
The M&S segment purchases for resale and markets refined products, such as gasoline, distillates and aviation fuels, mainly in the United States and Europe. In addition, this segment includes the manufacturing and marketing of specialty products, such as base oils and lubricants.
Marketing
Marketing—the United States
The company markets gasoline, diesel and aviation fuel through marketer and joint venture outlets that utilize the Phillips 66, Conoco or 76 brands. At December 31, 2024, the company had approximately 7,450 branded outlets in 48 states and Puerto Rico.
The company’s wholesale operations utilize a network of marketers operating approximately 5,220 outlets. The company places a strong emphasis on the wholesale channel of trade because of its relatively lower capital requirements. In addition, the company holds brand-licensing agreements covering approximately 1,450 sites. The company’s refined petroleum products are marketed on both a branded and unbranded basis. A high percentage of the company’s branded marketing sales are in the Midcontinent, Rockies and West Coast regions, where the company’s wholesale marketing network secures efficient offtake from its refineries. The company also utilizes consignment fuel arrangements with several marketers whereby it owns the fuel inventory and pay the marketers a monthly fee.
In the Gulf Coast and East Coast regions, most sales are conducted via the unbranded channel of trade, which does not require a highly integrated marketing network to secure petroleum product placement for refinery pull through. It has export capability at its U.S. coastal refineries to meet international demand.
In addition to automotive gasoline and diesel, the company produces and markets aviation gasoline and jet fuel. Aviation gasoline and jet fuel are sold through dealers and independent marketers at approximately 780 Phillips 66 branded locations.
The company participates in joint ventures engaged in retail convenience store operations in the West Coast, as well as the Midcontinent and Rockies regions. These joint ventures enable the company to secure long-term placement of its refinery production and extend participation in the retail value chain. As of December 31, 2024, the company’s retail joint ventures had approximately 790 outlets.
On October 1, 2024, the company acquired a marketing business on the U.S. West Coast.These operations were acquired to support the placement of renewable diesel produced by the Rodeo Complex.
Marketing—International
The company has marketing operations in four European countries. The company’s European marketing strategy is to sell primarily through owned, leased or joint venture retail sites using a low-cost, high-volume approach. It uses the JET brand name to market retail and wholesale products in Austria, Germany and the United Kingdom. In addition, as of December 31, 2024, it had an equity interest in Coop Mineraloel AG (Coop), a joint venture that markets refined petroleum products in Switzerland.
The company also markets aviation fuels, LPG, heating oils, marine bunker fuels, and other secondary refined products to commercial customers and into the bulk or spot markets in the above countries.
As of December 31, 2024, the company had approximately 1,290 marketing outlets in Europe, of which approximately 980 were company owned and approximately 310 were dealer owned. The company had interests in 330 additional sites through its Coop joint venture operations in Switzerland, and it held brand-licensing agreements covering approximately 70 sites in Mexico. It also had interests in 330 additional sites through the company’s Coop joint venture operations in Switzerland.
On January 31, 2025, the company sold its 49% ownership interest in Coop.
Specialties
Lubricants
The company manufactures and sells automotive, commercial, industrial and specialty lubricants, which are marketed worldwide under the Phillips 66, Kendall, Red Line and other private label brands.
In addition, the company owns a 50% interest in Excel Paralubes LLC (Excel Paralubes), an operated joint venture that owns a hydrocracked lubricant base oil manufacturing plant located adjacent to the Lake Charles Refinery. The facility has capacity to produce 22,200 B/D of high-quality Group II clear hydrocracked base oils. Excel Paralubes markets the produced base oil under the Pure Performance brand. The facility’s feedstock is sourced primarily from the company’s Lake Charles Refinery.
Renewable Fuels segment
The Renewable Fuels segment processes renewable feedstocks into renewable products at the Rodeo Complex and at the company’s Humber Refinery. In addition, this segment includes the global activities to procure renewable feedstocks, manage certain regulatory credits, and market renewable diesel, renewable jet fuel and other renewable fuels.
Rodeo Complex
During 2024, the company completed the conversion of the company’s San Francisco Refinery in Rodeo, California, into the Rodeo Complex and expanded commercial scale production of renewable diesel. The Rodeo Complex can process approximately 50,000 B/D (800 million gallons per year) of renewable feedstocks, such as used cooking oil, vegetable oils and other low-carbon intensity waste oils and byproducts, into renewable fuels, including renewable diesel and renewable jet fuel. The renewable fuel production primarily will be distributed to customers in California, Oregon and Washington.
During 2024, the company was collaborating with an energy service provider to power the Rodeo Complex with a 30.2 megawatt solar facility. The solar facility will reduce the Rodeo Complex’s grid power demand by 50% and is expected to avoid approximately 33,000 metric tons a year of carbon dioxide emissions beginning in the first quarter of 2025, based on the U.S. Environmental Protection Agency’s (EPA’s) AVoided Emissions and geneRation Tool. During 2024, the company delivered an initial 600,000 gallons of sustainable aviation fuel (SAF) to an airline at an international airport in the United States. Also during 2024, the company entered into an agreement to supply 3 million gallons through the first half of 2025 of SAF to an airline at another large international airport in the United States.
European Renewables
The company’s renewables value chain in the United Kingdom (European renewables) globally sources a wide range of renewable feedstocks, including used cooking oil, for co-processing at the Humber Refinery, as well as for supplying products to the market, such as sustainable aviation fuel. In addition, European renewables supplies renewable feedstock, including tallow, into the Rodeo Complex.
Patents
As of December 31, 2024, the company held a total of 511 active patents in 16 countries worldwide, including 400 active U.S. patents.
History
Phillips 66 was founded in 1875. The company was incorporated in Delaware in 2011.
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