Establishing the Foundation
2012: Taking a Classic in a New Direction
When Phillips 66 debuted on May 1, 2012, the new company realized a vision to unlock shareholder value by spinning off ConocoPhillips' downstream assets and businesses into a stand-alone entity, rooted in nearly 140 years of heritage. The Executive Leadership Team and employees representing various business units celebrated at the New York Stock Exchange by ringing the opening bell on May 2. Within a year, the price per share of PSX stock nearly doubled.
2012: Defined Our Vision, Values and Strategy
Providing Energy. Improving Lives.
Our vision guides everything we do. Introduced in 2012, the humble yet bold statement originates from a desire to illustrate what we do and why we do it. Building on our values of safety, honor and commitment, the company formed a strong foundation upon which to focus its strategic priorities of growth, returns, distributions, operating excellence and a high-performing organization.
2013: Formed Phillips 66 Partners
In March 2013, Phillips 66 announced it would form a subsidiary to own, operate, develop and acquire primarily fee-based Midstream assets. The initial public offering for Phillips 66 Partners in July 2013 exceeded expectations, raising more than $377 million. In 2022, Phillips 66 completed a merger with Phillips 66 Partners, acquiring all remaining partnership interests.
2013: Implemented HSE Management System Across All Refineries
Phillips 66 was founded on the values of safety, honor and commitment — and safety has been at the core of our company culture and operations. In 2013, Phillips 66 formalized its safety commitment through the Health, Safety and Environment Management System. It sets the company's standards and expectations for maintaining and improving safety, reliability and environmental impact. Phillips 66 consistently ranks at the top of its industry for safety.
Growing the Business
2014: 1-Hexene Plant Online at CPChem Cedar Bayou
Phillips 66's chemicals business, which consists of its 50% equity investment in Chevron Phillips Chemical Company LLC (CPChem), successfully started up the world's largest 1-hexene plant at its Cedar Bayou facility in Baytown, Texas. The unit can produce 550 million pounds of high-quality 1-hexene, used to manufacture polyethylene, a common plastic. The infrastructure project further demonstrated Texas' importance as a hub for the petrochemicals industry.
2014: Acquired and Expanded Beaumont Terminal
Phillips 66 acquired a 7.1 million-barrel storage terminal near Beaumont, Texas, the largest in the company's portfolio, with plans to add 3.2 million additional barrels of capacity. The Beaumont Terminal is equipped to handle increasing volumes of North American crude and refined products for export. Located strategically on the Texas Gulf Coast, it provides access to deep-water and major pipelines.
2019: Broke Ground on Gray Oak Pipeline
Phillips 66 Partners began construction on the Gray Oak Pipeline to provide crude oil transportation from the Permian and Eagle Ford shale plays to destinations on the U.S. Gulf Coast, including the Sweeny Refinery and the Houston market. Initial operations on the 900,000-barrel-per-day pipeline began in late 2019, and full-service operations were underway by mid-2020.
2020: Loaded First Vessel at New South Texas Gateway Terminal
In July 2020, the South Texas Gateway Terminal loaded the first marine vessel with crude oil from the Permian Basin to export overseas. The terminal has a storage capacity of 8.6 million barrels and a throughput capacity of up to 800,000 barrels per day at two deep-water docks.
2016: Opened Houston HQ
Phillips 66 moved into its permanent home in the Westchase District of Houston in the summer of 2016. The campus was established on a 14-acre site near major commuting routes. It includes two office towers, as well as collaboration, wellness and event spaces. The 1.1 million-square-foot campus is an Energy Star and LEED Platinum-certified green building designed to incorporate ultra-efficient air conditioning and lighting systems. The executive in charge of the project called the state-of-the-art facility "a long-term investment in our employees."
2017: Startup of CPChem's Polyethylene Unit at Old Ocean
In the third quarter of 2017, CPChem completed a major milestone in its U.S. Gulf Coast Petrochemicals Project called Gulf Coast One. It successfully started up new polyethylene units in Old Ocean, Texas. Gulf Coast One, which came online in 2018 despite some delays due to Hurricane Harvey, increased CPChem's global ethylene and polyethylene capacity by about one-third.
2018: Launched Mobile Pay for Our Fuel Brands
Responding to consumer demands for fast, easy and secure ways to pay at the pump, the Phillips 66 Marketing business launched Mobile Pay at its 6,500+ sites. Since then, the mobile wallet has continued to grow. Mobile Pay proved critical two years later during the COVID-19 pandemic as consumers sought out touchless forms of payment.
2014: Approved Plans for Sweeny Hub Phase One
A planned $3 billion investment on the U.S. Gulf Coast, to be known as the Sweeny Hub, positioned Phillips 66 for Midstream growth. The project took advantage of the opportunity in the natural gas liquids (NGL) market and existing infrastructure around the Sweeny Refinery in Texas. The initial phase of the Sweeny Hub included a fractionator and the Freeport Liquefied Petroleum Gas (LPG) Export Terminal, both of which were operational by the end of 2016.
2015: Started Up Frac 1
A major milestone in growth plans for the business, Sweeny Fractionator 1 supplies purity ethane and liquified petroleum gases to the petrochemical industry and heating markets, supported by 250 miles of new pipelines.
2016: Launched First Crude Export from Freeport Terminal
The first export from the Freeport Terminal, part of the Sweeny Hub, left the port in late 2016. With access to the deep waters of the Gulf of Mexico, Freeport allows Phillips 66 and its customers to send products directly into global markets. Today, the Commercial organization moves crude and products to 41 countries.
2020: Completed Phase Two of Sweeny Hub
The second phase of the Sweeny Hub growth project included two new NGL fractionators that quadrupled processing capacity. Each of the fracs was among the largest in the world. The Phase 2 expansion represented a $1.4 billion investment that finished substantially under budget and ahead of schedule and ranked as the safest megaproject ever built by Phillips 66.
Positioning for the Future
2019: Announced AdvantEdge66
Seeking to create greater long-term value, Phillips 66 launched the AdvantEdge66 business transformation program to make the company more smart, agile and efficient. AdvantEdge66 is about both culture and technology. In three years, the program completed an Enterprise Resource Planning transformation, enabled the wireless refinery, established a Value Chain Strategy & Optimization organization and modernized turnaround execution, among other accomplishments.
2019: Rolled Out Our Energy In Action
Our Energy In Action (OEIA) is a common set of behaviors for all Phillips 66 employees. It preserves what makes the company great and challenges them to become better. OEIA supports the company values of safety, honor and commitment, and it defines how employees should treat each other, customers and communities. Its pillars are actionable and specific: work for the greater good, create an environment of trust, seek different perspectives and achieve excellence.
2020: Achieved Safest Year Ever
Operating excellence is the first pillar of our strategy, and it is essential to everything we do. Our goal is zero incidents, zero accidents and zero injuries. We believe this is attainable, and we strive for it every day. In 2020, our combined workforce total recordable rate of 0.11 was 30% better than our industry-leading rate in 2019.
2020: Announced Rodeo Renewed
Phillips 66 made headlines in 2020 with Rodeo Renewed, its plan to transform its San Francisco Refinery in Rodeo, California, into one of the world's largest renewable fuels facilities. Renewable fuels from the converted facility, made from used cooking oils, fats, greases and soybean oils, stand to slash life cycle carbon emissions by an estimated 65%.
2021: Introduced Emerging Energy
Phillips 66 introduced Emerging Energy, a new organization dedicated to working on lower-carbon business and commercialization opportunities. This effort leverages existing infrastructure and capabilities and includes research on emerging energies and renewables projects. Emerging Energy is pursuing opportunities in renewable fuels, batteries, carbon capture and lower-carbon hydrogen. In 2021, Phillips 66 entered into agreements with two major airlines, British Airways and Southwest Airlines, to advance sustainable aviation fuel (SAF). The company made its first-ever delivery of SAF, to British Airways, in March 2022.
2021: Launched e-Shield for electric vehicles
Responding to the needs of an evolving market, Lubricants launched e-Shield, a product line consisting of high-performing lubricant solutions to optimize electric vehicle performance and protection. It includes system fluid, grease and coolant, designed to fulfill the unique needs of electric vehicles.
2021: Set Reduction Targets for Greenhouse Gas Emissions
Phillips 66 announced a series of impactful, attainable and measurable targets to reduce greenhouse gas (GHG) emissions intensity from its operations and products. The company plans to reduce Scope 1 and Scope 2 emissions intensity from operations by 30% by 2030 and Scope 3 emissions intensity of its energy products by 15%. In 2022, the company further committed to reducing GHG emissions intensity from operations companywide by 50% by 2050. Chairman and CEO Greg Garland said the targets commit Phillips 66 to be "part of the solution" while creating shareholder value.