Valero gives update on Benicia refinery closure
Jan 07, 2026
BENICIA, Calif. (KRON) -- After producing fuel in Benicia for decades, the Valero refinery is down to its last few months. Valero announced Tuesday that even though it plans to idle its processing units by April, it will continue to import fuel into the Bay Area to meet the needs of the region.
The
Valero Refining Company said it will idle its operations in a “phased approach,” where some processing units will stop in February.
“The refinery will continue producing gasoline as it works down the inventories, but expects most refining process units to be properly idled by April,” Valero wrote.
Valero refinery in Benicia, California, on Monday, March 25, 2024. (David Paul Morris/Bloomberg via Getty Images)
California Governor Gavin Newsom praised Valero’s commitment to continue providing fuel despite the refinery going away.
“We’re in ongoing discussions with Valero to evaluate options for continued operations at the Benicia refinery and I appreciate the company planning responsibly, including planning for imports of refined products to supply the market in the meantime,” Newsom said in a statement Tuesday.
Neither Valero nor the governor said exactly how long Valero plans to import additional gasoline to the Bay Area.
Valero said staff at its Benicia refinery are being offered transfers to other company locations or other employment assistance. According to the company, its Wilmington Refinery in Los Angeles County will remain operational.
Valero first announced its intent to cease operations in Benicia in April 2025.
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