Phillips 66 to Close California Refinery, Raising Gas Price Concerns

The shutdown will reduce the state's refining capacity by 8%, potentially increasing fuel costs and impacting local jobs.

Phillips 66 announced the closure of its Wilmington refinery by late 2025, affecting 600 employees and 300 contractors.
The closure follows new California legislation imposing stricter regulations on refineries, although Phillips 66 denies a direct link.
California's unique gasoline blend and stringent environmental regulations contribute to higher production costs and potential price spikes.
The refinery shutdown adds to a trend of oil companies leaving California due to its challenging regulatory environment.
Local officials express concern over job losses and increased pollution from imported gasoline, while environmentalists welcome cleaner air prospects.