UPDATE 1-Valero second-quarter profit rises

Wed Jul 30, 2014 8:46am EDT

(Adds analyst estimates, detail on volumes)

July 30 (Reuters) - Valero Energy Corp, the largest U.S. independent refiner, on Wednesday reported an increase in quarterly profit that met Wall Street expectations as the company processed higher volumes of oil and benefited from bigger discounts for certain grades of crude.

San Antonio-based Valero said second-quarter profit rose to $651 million, or $1.22 per share, from $463 million, or 84 cents, in the same period a year earlier.

Valero said on July 14 its second-quarter profit would be higher than a year earlier but would fall short of Wall Street expectations, hurt by seasonal weakness in its biggest Gulf Coast Market.

Analysts on average had expected Valero to report a profit of $1.22 per share, according to Thomson Reuters I/B/E/S. Excluding a charge related to its shuttered Aruba plant, Valero had a profit of $1.21 per share.

Valero processed an average of 2.7 million barrels per day in the second quarter, up 115,000 barrels per day from a year earlier as maintenance decreased and higher volumes of crude oil produced from shale reached Gulf Coast markets, it said.

(Reporting by Anna Driver; Editing by Jeffrey Benkoe and Nick Zieminski)