Valero Energy Corp (VLO.N) Company Profile | Reuters.com
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Profile: Valero Energy Corp (VLO.N)

VLO.N on New York Stock Exchange

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Valero Energy Corporation (Valero), incorporated on June 8, 1981, through Valero Energy Partners LP (VLP), owns, operates, develops and acquires crude oil and refined petroleum products pipelines, terminals, and other transportation and logistics assets. The Company operates in two segments: refining and ethanol. Its refining segment includes refining and marketing operations in the United States, Canada, the United Kingdom, Aruba and Ireland. Its ethanol segment includes ethanol and marketing operations in the United States. VLP's assets include crude oil and refined petroleum products pipeline and terminal systems in the United States Gulf Coast and the United States Mid-Continent regions. Its refineries can produce conventional gasolines, premium gasolines, gasoline meeting the specifications of the California Air Resources Board (CARB), diesel, low-sulfur diesel, ultra-low-sulfur diesel, CARB diesel, other distillates, jet fuel, asphalt, petrochemicals, lubricants and other refined products. It markets branded and unbranded refined products on a wholesale basis in the United States, Canada, the Caribbean, the United Kingdom and Ireland through a bulk and rack marketing network, and through approximately 7,500 outlets that carry its brand names. It also owns over 10 ethanol plants in the central plains region of the United States that primarily produce ethanol, which it markets on a wholesale basis through a bulk-marketing network.

Refining

The Company's refining operations include over 10 petroleum refineries in the United States, Canada and the United Kingdom, with a combined total throughput capacity of approximately three million barrels per day (BPD). The Company's refining segment includes sales of refined products in both the wholesale rack and bulk markets. These sales include refined products that are manufactured in its refining operations, as well as refined products purchased or received on exchange from third parties. Most of the Company's refineries have access to marine transportation facilities and interconnect with common-carrier pipeline systems, enabling the Company to sell products in the United States, Canada, the United Kingdom and other countries.

The principal purchasers of its refined products from terminal truck racks are wholesalers, distributors, retailers and truck-delivered end users throughout the United States, Canada, the United Kingdom and Ireland. The majority of its rack volume is sold through unbranded channels. The remainder is sold to distributors and dealers that are members of the Valero-brand family that operate approximately 5,700 branded sites in the United States and the Caribbean, approximately 1,000 branded sites in the United Kingdom and Ireland, and approximately 800 branded sites in Canada. These sites are independently owned and are supplied by the Company under multi-year contracts. For wholesale branded sites, the Company offers the Valero, Beacon, Diamond Shamrock and Shamrock brands in the United States and the Caribbean, the Texaco brand in the United Kingdom and Ireland, and it licenses the Ultramar brand in Canada.

The Company sells gasoline and distillate production through bulk sales channels in the United States and international markets. Its bulk sales are made to various oil companies and traders, as well as certain bulk end users such as railroads, airlines and utilities. The Company sells various other products produced at its refineries, which the Company refers to collectively as Specialty Products. Its Specialty Products include asphalt, lube oils, natural gas liquids (NGLs), petroleum coke, petrochemicals and sulfur. The Company produces asphalt at over five of its refineries. Its asphalt products are sold for use in road construction, road repair and roofing applications through a network of refinery and terminal loading racks. The Company produces naphthenic oils at one of its refineries for various lubricant and process applications. NGLs produced at its refineries include butane, isobutane and propane. These products can be used for gasoline blending, home heating and petrochemical plant feedstock. The Company is a producer of petroleum coke, supplying primarily power generation customers and cement manufacturers. Petroleum coke is used as a substitute for coal. The Company produces and markets a range of commodity petrochemicals, including aromatics (benzene, toluene and xylene) and two grades of propylene. Aromatics and propylenes are sold to customers in the chemical industry for further processing into such products as paints, plastics and adhesives. The Company is a producer of sulfur with sales primarily to customers serving the agricultural sector. Sulfur is used in manufacturing fertilizer. The Company owns a range of transportation and logistics assets (crude oil pipelines, refined product pipelines, terminals, tanks, marine docks, truck rack bays, rail cars and rail facilities) that support its refining and ethanol operations.

ETHANOL

The Company's ethanol plants have a combined ethanol production capacity of approximately 1.4 billion gallons per year. Its ethanol plants are dry mill facilities that process corn to produce ethanol and distillers grains. The Company sources its corn supply from local farmers and commercial elevators. The Company sells its ethanol to large customers - primarily refiners and gasoline blenders - under term and spot contracts, and in bulk markets, such as New York, Chicago, the United States Gulf Coast, Florida and the United States West Coast. The Company ships its dry distillers grains (DDG) by truck or rail primarily to animal feed customers in the United States and Mexico, and some into the Far East. It also sells modified distillers grains locally at the Company's plant sites.

Company Address

Valero Energy Corp

P.O. Box 696000
SAN ANTONIO   TX   78269-6000
P: +1210.3452000
F: +1302.6555049

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