Valero Energy announced Wednesday it is considering whether to close one of its two California oil refineries next year, putting the state on notice that it could lose nearly 9 percent of its refining capacity.
What happened: Valero Refining, a subsidiary of Valero Energy, said it had notified the California Energy Commission of its plans “to idle, restructure, or cease refining operations” at its Benicia refinery by the end of April 2026.
It’s the second California refinery to announce a pending closure in the past six months as the state targets the oil industry in an effort to rein in carbon emissions and gas prices.
The refinery is the state’s sixth-largest, responsible for about 9 percent of the state’s crude oil refining capacity, according to the California Energy Commission. It produces gasoline, diesel, jet fuel and asphalt and employs about 400 people.
