Phillips 66 Stock Up 0.19% with $280M Trade Volume Ranking 388th as LA Refinery Closure Sparks Regional Fuel Market Concerns

On September 2, 2025, Phillips 66 (PSX) saw a 0.19% rise in its stock price, with a trading volume of $280 million—up 38.19% from the previous day—ranking 388th in market activity. The company announced the phased closure of its Los Angeles-area refinery, set to conclude in Q4 2025. The facility, operating at 139,000 barrels per day, will cease operations by year-end, with most of its 600 employees facing layoffs in December. A small portion may be reassigned to the company’s marine oil terminal in Los Angeles. The shutdown aligns with the firm’s strategic shift amid evolving energy market dynamics.

The refinery, a key contributor to California’s gasoline supply, accounts for roughly 10% of the state’s production. Its closure, alongside Valero Energy’s Benicia refinery shutdown, is expected to tighten local fuel markets, potentially driving volatility in pump prices. Phillips 66 emphasized collaboration with state officials to manage fuel supply gaps and address environmental remediation at the site. The company also highlighted its commitment to supporting affected workers during the transition, though post-closure employment plans remain unconfirmed.

Phillips 66 operates through five segments, including refining, chemicals, and renewable fuels. The refinery’s closure reflects broader industry trends toward reducing carbon footprints and adapting to regulatory pressures. The company’s renewable fuels segment, which processes feedstocks into biofuels, remains a strategic growth area. However, the immediate impact of the LA refinery shutdown may weigh on short-term operational flexibility, particularly in meeting regional demand as imports and alternative sources fill the supply void.