MPC - Marathon Petroleum to ramp up Q2 rates defer some maintenance work

Marathon Petroleum (NYSE:MPC) said Tuesday it is ramping up rates at its refineries to reach 95% capacity in Q2 to meet the rising demand for diesel and gasoline as the U.S. moves into peak driving season, S&P Global Platts reports. Marathon (MPC) will defer some planned maintenance work to capture the strong current spot market environment, head of refining Ray Brooks said on the company's earnings conference call. Marathon (MPC), like its peers, has been running in maximum distillate mode to take advantage of global rising diesel cracks, and total exports averaged 200K bbl/day at the end of Q1, rising to 250K-300K bbl/day so far in Q2, according to S&P Global Platts. The company also said it expects natural gas, which historically has represented 15% of its operating cost, will be a "headwind" as the year progresses, noting gas price sensitivity equals ~$330M of EBITDA for every $1/MMBtu change. Marathon Petroleum (MPC)

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Marathon Petroleum to ramp up Q2 rates, defer some maintenance work