Marathon Petroleum Completes STAR Project, Reports Strong First-Quarter Profits

Researched by Industrial Info Resources (Sugar Land, Texas)--Fueled by tight global supply-demand dynamics, Marathon Petroleum Corporation (NYSE:MPC) (Findlay, Ohio) reported net income of $2.7 billion for first-quarter 2023, compared with $845 million in first-quarter 2022.

During the just-ended quarter, capital expenditures totaled $664 million as the petroleum refining and midstream company put the finishing touches on its South Texas Asset Repositioning (STAR) refinery expansion project in Galveston. It also continued the conversion of its Martinez Refinery in California to a renewable diesel facility, company executives said during the first-quarter earnings conference call.

Industrial Info is tracking 54 capital projects from Marathon, totaling $5.5 billion in value. Subscribers to Industrial Info's Global Market Intelligence (GMI) Petroleum Refining Project Database can click here for a list of the project reports.

"We continue to enhance our portfolio, including the Galveston Bay STAR project, which successfully commenced operations in April, and the Martinez Renewables facility, which continues to progress (on) Phase II," Chief Executive Officer Michael Hennigan said in an earnings press release.

At its Galveston Bay refinery, the STAR project is expected to add 40,000 barrels per day (BBL/d) of incremental crude capacity and 17,000 BBL/d of residual processing capacity. The project will allow the refinery to process heavier crude oil, company executives said. Start-up activities are progressing, with utilization expected to increase throughout the second quarter of this year. Subscribers can click here for a list of STAR-related projects.

Also during the first quarter, Marathon's Martinez Renewable Fuels facility reached full Phase I production capacity of 260 million gallons per year of renewable fuels, company officials said. Phase II construction activities are on schedule, with the facility expected to be capable of producing 730 million gallons per year by the end of 2023, Hennigan said, making it one of the world's largest renewable diesel refineries. Subscribers can click here for a list of Martinez Refinery renewable diesel conversion and storage terminal projects.

During the earnings conference call, executives said the first half of this year will be heavily laden with turnaround work. Industrial Info is tracking 144 active maintenance projects from Marathon, worth $885.5 million. Subscribers to Industrial Info's GMI database can click here for a list of project reports.

Subscribers can click here for a list of projects mentioned in this article and click here for the related plant profiles.

Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 Trillion (USD).