PSX - California regulators OK Phillips 66 Marathon to convert refineries

Phillips 66 (NYSE:PSX) and Marathon Petroleum (NYSE:MPC) were cleared by California regulators Wednesday to convert their petroleum refineries into the two largest renewable diesel production facilities in the U.S., Argus Media reports. The Contra Costa County Board of Supervisors voted to authorize land use permits allowing Phillips 66 (PSX) to convert its 120K bbl/day Rodeo refinery near San Francisco into a 67K bbl/day renewable diesel facility, and approved a permit allowing Marathon (MPC) to convert its idled Martinez refinery into a 48K bbl/day renewable diesel facility, according to Argus. Both projects plan to repurpose existing crude oil refining units to turn soybean oil, tallow and other feedstocks into renewable diesel eligible for federal and state renewable fuel credits. Phillips 66 (PSX) expects Rodeo to hit full production rates in 2024, while Marathon (MPC) hopes to start RD output at Martinez by this year's H2, with full rates anticipated in 2023.

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California regulators OK Phillips 66, Marathon to convert refineries