On October 1, 2025, Phillips 66 announced it will book approximately $100 million in charges related to idling its 139,000‑barrel‑per‑day Los Angeles refinery, which will cease operations by year‑end. The charge reflects the costs associated with decommissioning and environmental remediation of the facility.
The company also disclosed that the final waterborne crude was received on September 30 and that the last crude processing date is expected around October 16. Several process units have already been placed in an idle state, and the remaining units will be idled in a phased manner through the end of 2025.
In addition to the $100 million charge, Phillips 66 expects to accrue environmental expenses of roughly $70 million in the Refining segment for future groundwater mitigation, and an asset retirement charge of about $30 million in the Midstream segment for transportation assets no longer needed due to the refinery’s idling. These costs are part of the company’s broader strategy to streamline its refining portfolio and reduce debt.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.