About Phillips 66

Phillips 66 is one of the largest independent refiners in the US and the world by sales (though rival Valero Energy leads it by capacity). The company has global refining and marketing, midstream, and chemical operations. It has a crude processing capacity of more than 3.6 million barrels per day, and it sells fuel at about 8,350 retail outlets in the US and Europe under such brands as 76, Conoco, JET, and Phillips 66. Its midstream business handles natural gas gathering and processing partly through DCP Midstream, a joint venture with Spectra Energy. Phillips 66's chemicals business is conducted through CPChem, a joint venture with Chevron. In 2017, it sold mid-stream assets to its associated Phillips 66 Partners LP for a total transaction value of $2.4 billion.


The company has four operating segments: Marketing and Specialties; Refining; Midstream; and Chemicals.

Marketing and Specialties (72% of total revenues in 2015) purchases for resale and markets refined petroleum products (such as gasolines, distillates and aviation fuels), mainly in the US and Europe. In addition, this segment includes the manufacturing and marketing of specialty products, as well as power generation operations.

Refining (23%) buys, sells and refines crude oil and other feedstocks at 14 refineries, mainly in the US and Europe.

Midstream (3%) gathers, processes, transports and markets natural gas; and transports, fractionates and markets natural gas liquids (NGL) in the US. It also transports crude oil and other feedstocks to refineries and other locations, delivers refined and specialty products to market, and provides terminaling and storage services for crude oil and petroleum products. The Midstream segment includes master limited partnership, Phillips 66 Partners LP, as well as 50% equity investment in DCP Midstream.

Chemicals makes and markets petrochemicals and plastics on a worldwide basis. The Chemicals segment consists of 50% equity investment in Chevron Phillips Chemical Company LLC (CPChem).

In 2015 Phillips 66 held 404 active patents in 30 countries worldwide, including 260 active US patents.

Phillips 66 operates 39 finished product terminals, 37 storage locations, 5 LPG terminals, 16 crude oil terminals and 1 petroleum coke exporting facility. In 2015 DCP Midstream operated 64 natural gas processing facilities with a net processing capacity of 8 billion cubic feet per day.

Geographic Reach

Phillips 66 operates primarily in the US, but also in Europe (UK and Germany), and Asia. In 2015 the company got about 70% of its revenues from the US and 19% from Europe.

CP Chem has manufacturing plants in Belgium, China, Colombia, Qatar, Saudi Arabia, Singapore, South Korea, and the US.

Sales and Marketing

The company markets gasoline, diesel and aviation fuel through 8,350 marketer-owned or -supplied outlets in 48 US states. Its wholesales through a network of marketers operating 6,700 outlets on both a branded and unbranded basis. Most of its branded marketing sales are made in the Midcontinent, Rockies, and West Coast regions, where its wholesale marketing operations can efficiently access its refineries. It also sells aviation gasoline and jet fuel sold through dealers and independent marketers at about 850 Phillips 66-branded locations across the US.

It has marketing operations (primarily owned, leased, or joint venture retail sites) in five European countries. It markets retail and wholesale products in Austria, Germany and the UK under the JET brand. A joint venture markets products in Switzerland under the Coop brand name. Phillips 66 also markets aviation fuels, LPG, heating oil's, transportation fuels, marine bunker fuels, bitumen and fuel coke specialty products to commercial customers and into the bulk or spot market in Austria, Germany, Ireland, Switzerland, and the UK.

The company has held brand-licensing agreements with 800 sites. Its refined products are marketed on both a branded and unbranded basis.

The advertisement expenses in the year 2015, 2014, and 2013 and 2012 are $73 million, $70 million, and $68 million, respectively.

Financial Performance

The company has seen a declining trend in net revenues over the last five years.

In 2015, net revenues were $100.9 billion (38% down on 2014). Sales and other operating revenues and purchased crude oil and products decreased due to lower average prices for petroleum products, crude oil, and NGL.

Chemical revenues dropped as a result of lower ethylene cash costs in regions of the world where ethylene manufacturing is based upon NGL rather than crude oil-derived feedstocks.

Refining decreased due to lower feedstock prices, distillate crack spreads, clean product differentials, and refining volumes as a result of higher unplanned downtime and turnaround activities.

Phillips 66's net income has followed the revenue trend of last five years.

In 2015 its net income of $4.2 billion decreased by 11% due to lower net sales.

Cash from operating activities was $5.71 billion, an increase by 62% compared to 2014. This increase was due to changes in accounts payable.


In the short term, Phillips 66 is focusing on four strategic areas: Improving refinery output; Improving its lower cost crude runs in its refineries by expanding its truck, rail rack and marine capability to deliver such crude to its refineries; Controlling costs and expenses; and Funding growth to bring in better returns.

The Midstream segment is at the core of its growth plans. Through CPChem, Phillip 66 continued to invest in the high-return Chemicals segment. CPChem is continuing to build an ethane cracker and polyethylene facilities in the US Gulf Coast region, capturing the benefit of low-cost petrochemical feedstocks. It is also continuing to invest in Beaumont Terminal, Phillips 66's largest, with 4.7 million barrels of crude oil storage capacity and 2.4 million barrels of refined product storage capacity.

In 2015 Phillips 66 Partners commenced operation of the Palermo Rail Terminal. The crude terminal has an initial capacity of 100,000 barrels per day, with the flexibility to be expanded to 200,000 barrels per day.

As part of a push to secure a greater supply of lower cost crude for it refineries, in 2015, Phillips 66 became a joint venture partner with a 40% equity interest in the Bayou Bridge Pipeline. Energy Transfer Partners, and Sunoco Logistics each hold a 30% interest in the joint venture, with Sunoco Logistics serving as the operator.

In 2014 it teamed up with Energy Transfer Partners to form two joint ventures to develop the Dakota Access Pipeline and Energy Transfer Crude Oil Pipeline projects. The projects, will allow Phillips 66 to increase its access to North American crude oil assets and build momentum in its midstream business.

Company Background

In 2013 the company formed Phillips 66 Partners, a master limited partnership, to own, operate, develop and acquire primarily fee-based crude oil, refined petroleum product and NGL pipelines and terminals, as well as other transportation and midstream assets.

As part of a push to secure a greater supply of lower cost crude for it refineries, in 2013 Phillips 66 signed a five-year contract with Global Partners under which Global will use its rail transloading, logistics, and transportation system to deliver crude oil from the Bakken region of North Dakota to the Phillips 66 Bayway refinery in New Jersey.

As part of a reorganization, in 2013 the company sold Phillips Specialty Products Inc. (a flow improver business) to Berkshire Hathaway.

ConocoPhillips, one of the largest oil companies in the US, completed the spinoff of its refineries, pipelines, and chemicals division into a new company called Phillip 66 in May 2012. Phillips 66 became the newest heavyweight in independent US refining -- similar in size to Valero Energy and roughly twice the size of Marathon Petroleum.

In 2012 it invested $459 million to acquire from DCP Midstream a one-third ownership in DCP Sand Hills Pipeline, LLC and DCP Southern Hills Pipeline, LLC. To raise cash to pay down debt, in 2012 ConocoPhillips sold its refinery in Trainer, Pennsylvania, for $229 million. In 2011 it also sold its refinery in Wilhelmshaven, Germany, its Seaway Products Pipeline Company to DCP Midstream, and its Colonial Pipeline Company and Seaway Crude Pipeline Company.

- Show Less + Show Full Description

Company News and Press Releases

- Show Less + Show More News and Press Releases

Phillips 66

2331 City West Blvd
Houston, TX 77042
Phone: 1 (832) 765-3300


  • Employer Type: Public
  • Stock Symbol: PSX
  • Stock Exchange: NYSE
  • Chairman and CEO: Greg C. Garland
  • EVP and CFO: Kevin J. Mitchell
  • President: Tim G. Taylor
  • 2016 Employees: 14,800

Major Office Locations

  • Houston, TX

Other Locations

  • Athens, AL
  • Little Rock, AR
  • North Little Rock, AR
  • Carson, CA
  • El Monte, CA
  • Rodeo, CA
  • Santa Maria, CA
  • Tracy, CA
  • Wilmington, CA
  • Broomfield, CO
  • Denver, CO
  • Pagosa Springs, CO
  • Ridgway, CO
  • Thornton, CO
  • West Hartford, CT
  • Marietta, GA
  • Davenport, IA
  • Des Moines, IA
  • Algonquin, IL
  • Belleville, IL
  • East Alton, IL
  • East Saint Louis, IL
  • Hartford, IL
  • Plainfield, IL
  • Round Lake, IL
  • Roxana, IL
  • Shelbyville, IL
  • Sugar Grove, IL
  • Vandalia, IL
  • Volo, IL
  • Wheaton, IL
  • Zion, IL
  • Indianapolis, IN
  • New Castle, IN
  • Plainfield, IN
  • Kansas City, KS
  • Paola, KS
  • Wichita, KS
  • Belle Chasse, LA
  • Breaux Bridge, LA
  • Jennings, LA
  • Lake Arthur, LA
  • Sulphur, LA
  • Blue Springs, MO
  • De Soto, MO
  • Easton, MO
  • Grandview, MO
  • Independence, MO
  • Jefferson City, MO
  • Kansas City, MO
  • Kimberling City, MO
  • Manchester, MO
  • Marshfield, MO
  • Marthasville, MO
  • Raytown, MO
  • Saint Charles, MO
  • Saint Louis, MO
  • Billings, MT
  • Missoula, MT
  • Omaha, NE
  • Durham, NH
  • Linden, NJ
  • Little Falls, NJ
  • Albuquerque, NM
  • Clines Corners, NM
  • Bartlesville, OK
  • Choctaw, OK
  • Oklahoma City, OK
  • Ponca City, OK
  • Tulsa, OK
  • Portland, OR
  • Huron, SD
  • Nashville, TN
  • Alvin, TX
  • Amarillo, TX
  • Borger, TX
  • Del Valle, TX
  • Freeport, TX
  • Gilmer, TX
  • Midkiff, TX
  • Old Ocean, TX
  • San Antonio, TX
  • Sweeny, TX
  • Weslaco, TX
  • Wichita Falls, TX
  • Draper, UT
  • Ogden, UT
  • Park City, UT
  • Chattaroy, WA
  • Colfax, WA
  • Dayton, WA
  • Ferndale, WA
  • Ashington, England
  • Brigg, England
  • Chester Le Street, England
  • Cleethorpes, England
  • Great Yarmouth, England
  • Grimsby, England
  • Immingham, England
  • Ipswich, England
  • Knaresborough, England
  • London, England
  • Mablethorpe, England
  • Newcastle-Upon-Tyne, England
  • Rotherham, England
  • Saltash, England
  • Scunthorpe, England
  • Slough, England
  • Wakefield, England
  • Windsor, England
  • Bangor, Northern Ireland
  • Bathgate, Scotland
  • Bonnybridge, Scotland
  • Edinburgh, Scotland
  • Stirling, Scotland
- Show Less + Show More