16-12-2024

Phillips 66 announces 2025 capital budget of $2.1 billion

Phillips 66 today announced a 2025 capital budget of $2.1 billion, including $998 million for sustaining capital and $1.1 billion for growth capital.

"We continue to demonstrate capital discipline, aligning our investments with our strategic priorities," said Mark Lashier, chairman and CEO of Phillips 66. "The budget underscores our dedication to delivering value to shareholders by funding growth in the NGL wellhead-to-market value chain and further enhancing refining competitiveness."

In Midstream, the capital budget of $975 million comprises $429 million for sustaining projects and $546 million for growth projects. The budget advances the integrated NGL wellhead-to-market value chain by strengthening the company’s position in key basins, including increasing gas processing capacity.

In Refining, Phillips 66 plans to invest $822 million, including $414 million for sustaining capital. Refining growth capital of $408 million supports the company’s commitment to high-return, low-capital projects.

The Marketing and Specialties capital budget reflects the continued enhancement of the company’s branded network.

The Renewable Fuels capital budget reflects investments at the Rodeo Renewable Energy Complex toward the optimization of feedstocks and logistics for renewable diesel and sustainable aviation fuel production.

Corporate and Other capital will primarily fund information technology projects.

Phillips 66’s proportionate share of capital spending by joint ventures Chevron Phillips Chemical Company LLC (CPChem) and WRB Refining LP (WRB) is expected to total $877 million and be self-funded.

CPChem’s growth capital will continue to fund the construction of world-scale petrochemical facilities on the U.S. Gulf Coast and in Ras Laffan, Qatar, through joint ventures. The facilities are expected to start up in 2026.

WRB’s capital spending will primarily be directed to sustaining projects.

Including Phillips 66’s proportionate share of capital spending associated with joint ventures CPChem and WRB, the company’s total 2025 capital program is projected to be $3 billion.