There are five oil refineries in the Los Angeles area with a combined crude oil processing capacity of 1.1 million barrels per day. In the following, we will tell you more about the history of one of the companies, Marathon Petroleum. Learn more about the history of the company that produced rocket engines. Learn more at losangeles1.one.
Capacity of the Plant
The Marathon Petroleum company was founded in 2005 as a subsidiary of Marathon Oil, which is engaged in transportation, oil refining and sales of crude products. In 2011, the subsidiary separated from the parent company. The oil refinery has two operating sites in Carson and Wilmington, which were previously independent refineries managed by BP and Shell.
The oil refinery is located in Los Angeles County, near the Los Angeles Harbor. The West Coast’s largest oil refinery factory has a daily production capacity of 365,000 barrels of crude oil. The refinery, which is a key producer of clean fuel, processes heavy crude from the San Joaquin Valley and the Los Angeles Basin, as well as petroleum from the Alaska North Slope, South America, West Africa and various sources around the globe.
In addition to diesel fuel, the factory produces gasoline, distillates, liquefied natural gas, petrochemical products, heavy oil fuel and propane. Multiple pipelines and distribution terminals are used to ship the products. The factory has the biggest cogeneration station in California, called Watson, generating 400 megawatts.
Fire and Gas Leak at the Plant
American company Marathon Petroleum partially shut down its oil refinery in the state of California after an explosion and fire.
Late in the evening, the fire started at this facility that produces 363,000 barrels of oil per day. The Los Angeles Fire Department stated that the explosion preceded the fire at the oil refinery. According to the company’s statement, the fire was quickly contained and no one died.
The Fire Department reported a leak of butane and hydrogen sulfide. The leak was stopped thanks to prompt action, thus preventing the accumulation of dangerous substances in the air. Marathon Petroleum stated that hospitalized employees after the leakage had been discharged.
For a while, the Wilmington section of the Los Angeles oil refinery operated autonomously after a power outage. This resulted in the sulfur dioxide emission and an ignition. The refinery was in emergency mode.
Problems of Oil Production in California
Most of the remaining oil in California is a tar-like substance that requires an incredibly energy-intensive process of steaming to extract from underground. Production levels have been steadily declining. As a result, California has dropped from third to seventh place among oil-producing states in recent years.
California imports about three-quarters of its oil. Meeting consumer demand in the state is not the only reason for the import. The demand on the West Coast for refined petroleum products has actually been declining for a long time. This happened because of such initiatives as advanced standards for electric vehicles, low-carbon fuel requirements and improved land-utilization planning. Therefore, refineries are increasing imports of crude oil not only to meet consumer needs but also to continue exporting processed products.
Renewable diesel fuel
In 2023, two fleets and two locomotives at the Marathon Petroleum refinery started using renewable diesel fuel instead of traditional diesel. This initiative was first introduced in 2021 when the company started converting its ARCO stations to renewable diesel. CARB diesel, a specific type of diesel recommended by the California Air Resources Board, was removed from terminals.
Timothy Sweeney, the transport maintenance manager, said that initially, drivers had many questions about renewable diesel fuel. They wondered if it would affect the performance of trucks like biodiesel in the past. But they assured drivers that it was different. According to Sweeney, drivers have not noticed any decrease in power, performance or operations since switching to this type of fuel.
In 2023, the railroad team began mixing regular and renewable diesel to fill up locomotives before transitioning to 100% renewable fuel.
Health, Safety and Environment
The company’s main priority is the well-being and safety of its employees while they work. Measures are taken here to create a safe work environment and prevent accidents. The company introduced security measures and became a leader in safety. The company also strives to reduce its environmental impact. To achieve this, the team participates in many programs, provides support to different organizations and takes actions to protect the environment and local communities.
The company employs an eco-friendly management system to ensure compliance with all environmental permit restrictions and regulations. Emissions were reduced by over 75% compared to a decade ago. Thanks to the 2018 integration and compliance project in Los Angeles, 70,000 metric tons of greenhouse gas emissions were reduced.
Collaborating with the regional aviation agency, the refinery installs an air monitoring system in real-time mode. This system provides information on air pollutants. Additionally, the company financed three public air monitoring stations in Carson and Wilmington. The plant was honored with Safety Achievement Award in 2017 and 2018 from American fuel and petrochemical manufacturers, as well as a leadership certificate in energy and environmental design.
The company is involved in the city’s development
Marathon Petroleum tries to contribute to the growth of the Los Angeles community. In 2018, the company donated $4.8 million to non-profit organizations. They also gave a grant of $175,000 to fund the Pacific Aquarium “Aquarium on Wheels” and a five-year grant of $400,000 to the American Red Cross and Rio Hondo Chapter so they could buy a vehicle for providing services in Los Angeles County.
The company also cares about the development of the educational sector. The AltaSea organization was given a $150,000 grant to support the training of teachers in the fields of ocean-focused science, technology, engineering and mathematics. The company helped Los Angeles Unified School District East by giving them $200,000 to establish science, technology, engineering, arts and mathematics labs in six schools in South Gate.
In 2021, Marathon Petroleum allocated $45,000 to support the urban farm project Heart of The Harbor. The project helps low-income families by offering them green plantings.