Overview

• Valero Energy Corporation has notified the California Energy Commission of its intent to idle, restructure, or cease operations at the Benicia refinery by April 2026.
• The refinery, processing 145,000 barrels of crude oil daily, accounts for nearly 9% of California’s crude oil capacity and employs over 400 people.
• The announcement follows an $82 million fine in 2024 for unreported toxic emissions spanning 15 years, highlighting regulatory pressures on the facility.
• Valero has recorded a $1.1 billion impairment charge for its California refineries as part of a broader strategic review of its operations in the state.
• Local and state officials are collaborating with Valero to address the economic and community impacts of the closure and plan for the transition.