Phillips 66 clears major regulatory hurdle in conversion of Rodeo Renewed facility
Phillips 66 cleared the final major regulatory hurdle in converting its San Francisco Refinery in Rodeo, Calif., into one of the world’s largest renewable fuels facilities.
The $850 million Rodeo Renewed project recently received approval from Contra Costa County and is slated to begin commercial operations in the first quarter of 2024.
“Rodeo Renewed stands to play a major role in helping us lower our carbon footprint as we continue to provide reliable, affordable energy,” Greg Garland, chairman and CEO of Phillips 66, said. “This is a project that will help meet growing demand for lower-carbon fuels, preserve jobs and support California in achieving its climate goals. It is a great example of how Phillips 66 is making meaningful investments in a sustainable energy future that can create long-term value for our shareholders.”
Upon completion of Rodeo Renewed, the converted facility will no longer process crude oil. Instead, it will use waste oils, fats, greases, and vegetable oils to produce an initial 800 million gallons per year of renewable transportation fuels, including renewable diesel, renewable gasoline, and sustainable aviation fuel.
The production of these fuels is projected to reduce lifecycle carbon emissions by approximately 65 percent, which is the equivalent of taking 1.4 million cars off California roads each year. It is also expected to cut pollutant emissions at the site by 55 percent and water use by 160 million gallons per year.
The project involves the construction of pre-treatment units and the repurposing of existing hydrocracking units to enable the production of renewable fuels. The facility will secure renewable feedstocks from local, domestic, and international sources and supply renewable fuels to California and other markets.
The facility conversion will create 500 construction jobs and preserve more than 650 jobs, including full-time employees and contractors.
