Valero to Boost Fuel Imports to California
Company to Begin Shutting Down Benicia Refinery in February
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Valero Energy Corp. is expecting to increase gasoline imports to the San Francisco Bay Area, as the company moves forward with plans to close a refinery in the region but stops short of fully exiting Northern California for now.
“Valero remains committed to fulfilling its contractual supply obligations in the California market and anticipates importing additional gasoline volumes to the Bay Area in the near term,” the .
California Gov. Gavin Newsom said Valero’s decision marked a “constructive development from an earlier announcement that included the possibility of full closure and exit from the Northern California market in early 2026,” according to a statement sent by the governor’s press office.
Valero plans to begin shutting some of the Benicia refinery operating units in February before fully winding it down by the end of April. Valero is evaluating all options for the plant and remains in close communications with the state of California, the company said in the statement.
“I appreciate the company planning responsibly, including planning for imports of refined products to supply the market in the meantime,” Newsom said.
Newsom’s praising of Valero is emblematic ofa shift in tonefor the California governor. He all but abandoned a yearslong crusade against fossil fuels and started courting Big Oil last year, under threat of spiking gas prices in California. The Democratic governor and possible presidential candidate has tried negotiating with Valero to dissuade the company from closing its refinery in Northern California, while state lawmakers considered pledging ithundreds of millions of dollarsto cover maintenance costs.
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