Operations at the Valero refinery in Solano County may be shut down as soon as next year, the petroleum producer announced Wednesday.
According to a company statement, Valero has submitted notice to the California Energy Commission of its plans to "idle, restructure, or cease" operations at the refinery in Benicia. The change is expected by the end of April 2026.
"We understand the impact that this may have on our employees, business partners, and community, and will continue to work with them through this period," said Lane Riggs, the company's chairman, chief executive officer and president.
More than 400 employees work at the Benicia refinery, which is located near the Carquinez Strait and Interstate 680. The refinery produces jet fuel, gasoline and asphalt and has a throughput capacity of 170,000 barrels per day, according to the company.
In October of last year, the company was fined $82 million by the Bay Area Air Quality Management District and the California Air Resources Board (CARB) for air quality violations at the facility dating back to 2003. The fine was the largest ever assessed in the Air District's history.
At the time, Air District executive officer Philip Fine described the penalty as "historic" and said the company committed "egregious emissions violations."
In addition, Valero settled a lawsuit brought on by the environmental group Baykeeper for $2.38 million after the group said it uncovered evidence that the company was spilling oil refinery waste into the Bay.
The company, which is headquartered in San Antonio, Texas, currently has 15 refineries and 12 ethanol plants.
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