Phillips 66 to Take $100 Million Charge as It Idles Los Angeles Refinery, Retires Midstream Assets

Phillips 66 will book $100 million in charges as it winds down its 139,000-bpd Los Angeles refinery by year-end, including $30 million tied to its midstream segment for retiring transportation assets. The refinery received its final crude shipment Sept. 30, with processing to end in mid-October.

(Reuters) — U.S. oil refiner Phillips 66 expects to book about $100 million of charges to idle its 139,000-barrel-per-day Los Angeles-area refinery, which will cease operations by year-end, the company said on Oct. 1.

These include around $70 million to mitigate groundwater contamination, and about $30 million for its midstream segment to retire transportation assets.

"Several process units have been placed in an idle state. The remaining units will be idled in a phased manner through the end of 2025," the Houston-based company said.

The refinery received its last waterborne crude on Sept. 30. The final crude processing date is expected to be in mid-October.

Phillips 66 began winding down its Los Angeles refinery in September.