Phillips 66 (PSX) Company Report

$2.4 billion 2026 capital budget, split roughly $1.1 billion each for refining and midstream operations.
Key midstream and processing projects include the Iron Mesa gas plant (300 mmcf/d, start-up Q1 2027) and Coastal Bend NGL pipeline expansion to 350,000 bpd by Q4 2026, plus a new 100,000 bpd fractionator in Corpus Christi (FID early 2026, completion by 2028).
Growth capital targets high-return refining projects and integrated NGL processing, while sustaining capital supports safe, reliable operations.
Chevron Phillips Chemical joint venture to invest $680 million, underscoring expansion focus.
CEO Mark Lashier highlighted a disciplined capital approach to balance growth with stability and maximize shareholder returns.

3 days ago

Morningstar

Phillips 66 announces 2026 capital budget

PSX

New Projects/Investments

Phillips 66 set its 2026 capital budget at $2.4 billion, comprising $1.1 billion sustaining and $1.3 billion growth capital.
The Midstream segment will receive $1.1 billion, split $400 million sustaining and $700 million growth to expand NGL processing and pipeline capacity.
The Refining segment plans $1.1 billion of investment, including $590 million sustaining and $520 million growth, funding projects such as the Humber gasoline quality improvement.
Phillips 66’s share of Chevron Phillips Chemical’s JV spending is expected to be $680 million, with $200 million sustaining and $480 million growth, all self-funded.

3 days ago

Press Release

Phillips 66 announces Q3 2025 results

PSX

Earnings

M&A

Share Buyback

Q3 reported earnings were $133 million ( $0.32 per share ) and adjusted earnings were $1.0 billion ( $2.52 per share ), reflecting impairment and idling charges at the Los Angeles Refinery.
Generated $1.2 billion of operating cash flow and $1.9 billion excluding working capital; returned $751 million to shareholders, including $267 million in share repurchases; net debt-to-capital was 41%.
Refining achieved 99% utilization (highest since 2018) and a record year-to-date clean product yield of 87%, with a third-quarter adjusted cost per barrel of $6.07, including a $69 million environmental accrual.
Closed acquisition of the remaining 50% interest in Wood River and Borger Refineries to capture synergies, and launched binding open season for the Western Gateway pipeline to supply Arizona, California, and Nevada.
Q4 guidance anticipates global chemicals utilization in the mid-90% range, refining crude utilization in the low- to mid-90% range, and turnaround expense of $125–145 million.

Oct 29, 2025, 4:00 PM

Transcript

Phillips 66 reports Q3 2025 results

PSX

Earnings

M&A

New Projects/Investments

Adjusted EPS of $2.52 and reported EPS of $0.32, with adjusted earnings totaling $1 billion and reported earnings of $133 million, reflecting accelerated depreciation and LA refinery idling impacts
Operating cash flow of $1.2 billion ($1.9 billion ex-working capital); returned $751 million to shareholders (including $267 million of buybacks); net debt/capital at 41%
Refining utilization at 99% (highest since 2018), year-to-date clean product yield of 87%, and adjusted cost of $6.07 per barrel (including a $0.40 environmental accrual)
Completed acquisition of the remaining 50% interests in the Wood River and Borger refineries and processed the final barrel at the Los Angeles refinery as part of idling activities
Organic midstream expansions (Dos Picos II, Coastal Bend Phase I & II, Iron Mesa) underpin a path to $4.5 billion EBITDA by end-2027

Oct 29, 2025, 4:00 PM

Transcript

Phillips 66 reports Q3 2025 results

PSX

Earnings

M&A

New Projects/Investments

Refining achieved 99% utilization (highest since 2018) with a year-to-date 87% clean product yield and Q3 adjusted cost of $6.07 per barrel (impacted by a $69 million environmental accrual).
Closed acquisition of the remaining 50% interest in Wood River and Borger refineries, enabling portfolio simplification and synergy capture—including the Western Gateway pipeline project to link Mid-Continent supply to Western markets.
Midstream volumes reached record NGL throughput and fractionation following Dos Picos II and Coastal Bend expansions; Chemicals delivered $700 million year-to-date adjusted EBITDA on >100% utilization.
Net debt was $21.8 billion in Q3 (flat net of cash changes); targeting reduction to $17 billion by end-2027 through free cash flow allocation to dividends, buybacks, and debt paydown.
Renewable fuels margins improved via cost and logistics optimization, with Q4 set to benefit from weaker soybean prices and stronger credit values.

Oct 29, 2025, 4:00 PM

Transcript

Phillips 66 reports Q3 2025 earnings

PSX

Earnings

M&A

Share Buyback

Reported third-quarter GAAP earnings of $133 million ($0.32/share) and adjusted earnings of $1.0 billion ($2.52/share), which include $241 million of pre-tax accelerated depreciation at the Los Angeles Refinery.
Refining operations ran at 99% capacity utilization with an 86% clean product yield; achieved record year-to-date Y-grade throughput of 1 MMBD and NGL fractionation of 930 MBD.
Generated $1.2 billion of net operating cash flow (or $1.9 billion excluding working capital) and returned $751 million to shareholders through dividends and share repurchases.
Completed the acquisition of the remaining 50% interest in WRB Refining LP, gaining full ownership of the Wood River and Borger refineries, and advanced major pipeline and polymers projects.

Oct 29, 2025, 1:36 PM

8-K

Phillips 66 reports strong 3Q 2025 results and outlines growth initiatives

PSX

Earnings

M&A

New Projects/Investments

Third-quarter GAAP earnings of $133 million ($0.32/share) and adjusted earnings of $1.0 billion ($2.52/share)
Refining operated at 99% capacity utilization with an 86% clean product yield, and set record Y-grade throughput of 1 MMBD and fractionation volumes of 930 MBD
Generated $1.2 billion in net operating cash flow ($1.9 billion excluding working capital)
Completed acquisition of the remaining 50% interest in WRB Refining LP, gaining full ownership of Wood River and Borger refineries, and advanced key NGL and chemicals projects

Oct 29, 2025, 11:00 AM

Press Release

Pacific Coast Oil Trust announces no October distribution

PSX

Dividends

The Trust will make no cash distribution to unitholders of record on October 31, 2025, as August 2025 net profits interests were insufficient to cover expenses, making future distributions extremely remote.
Developed Properties in August 2025 generated $2.3 million in revenue against $2.4 million in lease operating expenses, incurring a $0.1 million operating loss and increasing the cumulative net profits deficit from $10.5 million to $10.9 million; Remaining Properties added approximately $33,000 with a cumulative deficit rising to $129,000.
Monthly fees—approximately $116,000 for operations/services plus $118,530 in G&A—exceeded the $33,000 received from PCEC, creating a $202,000 shortfall for August 2025.
As of month-end, the Trust’s indebtedness to PCEC totaled $11.9 million (letter of credit draws and loans), which must be repaid before any distributions; under the Trust Agreement, the Trust is to be dissolved following low annual cash proceeds (<$2 million in 2020–21).

Oct 21, 2025, 8:15 PM

Press Release

Phillips 66 launches open season for Western Gateway Pipeline

PSX

New Projects/Investments

Phillips 66 and Kinder Morgan opened a binding open season for transportation service on the Western Gateway Pipeline from October 20 to December 19, 2025.
The new-build system will extend from Borger, Texas to Phoenix, Arizona, integrating with Kinder Morgan’s CALNEV Pipeline to serve California and Nevada markets.
The project includes reversing the Gold Pipeline and Kinder Morgan’s SFPP line to connect Midwest refinery supply to Phoenix, California and Las Vegas.

Oct 20, 2025, 9:00 PM

Press Release

Phillips 66 plans $100M charges amid Los Angeles refinery shutdown

PSX

Shutting down its Los Angeles refinery by mid-October 2024, ceasing crude processing after the last waterborne shipment in late September.
Expects to incur about $100 million in charges, comprising roughly $70 million for environmental remediation and $30 million for asset retirement.
The Los Angeles refinery had a capacity of 139,000–156,000 barrels per day; Phillips 66 operates 11 refineries totaling 1.8 million bpd, alongside extensive midstream and chemical ventures.
Closure is part of a real estate redevelopment strategy, with phased idling continuing through end-2025 and several units already idled as of early October 2024.