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Environment

Air Emissions

MPC works to minimize and reduce emissions of criteria pollutants and greenhouse gases (GHGs) from all of our operations. MPC’s refineries emit most of the GHGs and criteria pollutants generated by MPC’s facilities and operations. From 2013 to 2016, MPC’s seven refineries emitted approximately 95 percent of all direct and indirect GHGs generated by MPC facilities and operations. In terms of the amount of emissions for a given quantity of product produced, or “intensity,” MPC has reduced GHG intensity by more than 15 percent since 2002 at the six refineries we owned for that entire period. Further, since acquiring the Galveston Bay Refinery in 2013, MPC reduced GHG intensity there by 10 percent from 2013 to 2016. Please see Figure 1 below.

[Figure 1.]

2017 Refining GHG Emissions

GBR = Galveston Bay Refinery (acquired February 2013)
SHGP = South Houston Green Power (co-generation power plant located at GBR)
Direct emissions are those associated with the combustion of hydrocarbons, venting sources and fugitive sources within MPC-operated facilities. Indirect emissions are primarily those associated with the use of purchased electricity, steam and hydrogen at MPC facilities.
For historic comparison purposes, Refining assets prior to 2013 include refineries located in Canton, Ohio; Catlettsburg, Ky.; Detroit, Mich.; Garyville, La.; Robinson, Ill.; and Texas City, Texas.

Our refineries generated 88 percent of criteria pollutants—sulfur dioxide, nitrogen oxides, carbon monoxide, total particulate matter, and volatile organic compound — emitted from MPC facilities and operations in 2015. Figure 2 below shows that from 2002 to 2015 total criteria pollutant emissions decreased by 43 percent while throughput nearly doubled. For the six refineries MPC owned during that entire period (excluding Galveston Bay) the reduction is even more dramatic, at 61 percent. This is a remarkable record of reducing the intensity at which criteria pollutants are being emitted (where intensity equals emissions for a given quantity of product produced). This equates to a 70 percent decrease in emissions intensity over the period.

[Figure 2.]

2017 MPC Criteria Pollutant Emissions

GBR = Galveston Bay Refinery (acquired February 2013).  Please note that from 2002 – 2012, GBR decreased its criteria pollutants by over 60% prior to MPC ownership. 
SHGP = South Houston Green Power (co-generation power plant located at GBR)
For historic comparison purposes, Refining assets prior to 2013 include refineries located in Canton, Ohio; Catlettsburg, Ky.; Detroit, Mich.; Garyville, La.; Robinson, Ill.; and Texas City, Texas.

Energy Efficiency and GHG Emissions

The energy efficiency of our operations is a cornerstone of MPC’s environmental strategy. For example, roughly 95 percent of all direct and indirect GHG emissions generated by MPC facilities and operations are from MPC’s seven refineries. The vast majority of direct GHG emissions from our refineries are associated with natural gas and refinery fuel gas combustion in boilers and heaters. Focusing on energy efficiency of these assets can provide significant reductions in the intensity of our emissions (where intensity equals emissions for a given quantity of product produced) while also being economically sound. After crude oil, energy is the single largest expense for our refineries, so increasing the energy efficiency of our boilers and heaters can produce economic benefits while reducing intensity of GHGs and other pollutants. MPC consistently looks for opportunities where the economic benefits of increased energy efficiency will generate an acceptable return on our investment, and we have made aggressive investments to improve energy efficiency in our refineries.

With this vision, in 2009, MPC became an ENERGY STAR partner company under the U.S. Environmental Protection Agency’s (EPA) ENERGY STAR Program, representing a corporate commitment to consider energy efficiency and GHG emissions in all investment and operating decisions. As shown in Figure 3, MPC is the industry leader in recognition under the ENERGY STAR Program. Since the program began, MPC has received 36 of the 48 total recognitions awarded to U.S. refineries under the ENERGY STAR Program. This represents 75 percent of such recognitions—a very large share, considering MPC’s refineries represent less than 10 percent of the total U.S. capacity.  Our Canton, Ohio, and Garyville, Louisiana, refineries have earned ENERGY STAR recognitions every year of the program’s existence, the only two refineries in the nation with that distinction. Figure 3 below shows the ENERGY STAR awards achieved by our refineries since 2005-2006, including three for 2015-2016.

As a result of our energy efficiency efforts, we have avoided emitting millions of tons of GHGs. Since 2013, MPC estimates that our three refineries awarded ENERGY STAR recognition avoided emitting an estimated 2 million metric tons of GHGs compared to petroleum refineries operating at the average efficiency of U.S. refineries.

[Figure 3.]

EPA Energy Star

MPC has a remarkable record of energy efficiency success in our refineries, which, as noted above, are responsible for approximately 95 percent of all GHG emissions from our facilities and operations. As Figure 4 illustrates, from 2002 to 2016, gross refinery throughputs at the six refineries we owned throughout that period (excluding the Galveston Bay refinery acquired in 2013) increased by approximately 47 percent, while direct GHG emissions from those six refineries increased by only 7.4 percent. This represents a 15 percent reduction in GHG intensity (where intensity equals emissions for a given quantity of product produced). Further, MPC reduced GHG intensity at the Galveston Bay Refinery by 10 percent from 2013 (when MPC acquired the refinery) through 2016.

 

[Figure 4.]

Refining GHG Emissions

GBR = Galveston Bay Refinery (acquired February 2013)
SHGP = South Houston Green Power (co-generation power plant located at GBR)
Direct emissions are those associated with the combustion of hydrocarbons, venting sources and fugitive sources within MPC-operated facilities. Indirect emissions are primarily those associated with the use of purchased electricity, steam and hydrogen at MPC facilities.
For historic comparison purposes, Refining assets prior to 2013 include refineries located in Canton, Ohio; Catlettsburg, Ky.; Detroit, Mich.; Garyville, La.; Robinson, Ill.; and Texas City, Texas.

As a separate comparator, Figure 5 shows that MPC currently represents 9.6 percent of the total U.S. Refining capacity but emits only 8.3 percent of the total direct GHG emissions for the U.S. Refining industry.  In other words, MPC’s refineries emit substantially less GHGs per share of crude capacity than the industry average. 

[Figure 5.]

Comparison of 2015 Refinery Capacities and Direct GHG Emissions

                                                         Source:  2015 US Refining Survey, Oil & Gas Journal and U.S. EPA 2015 GHG Report

Further, as shown in Figure 6, all seven of MPC’s refineries emit less GHGs per share of crude capacity than the industry average.     

[Figure 6.]

2015 MPC Refinery Capacities vs. Direct GHG Emissions

                           Source: 2015 US Refining Survey, Oil & Gas Journal and U.S. EPA 2015 GHG Report

Beyond our Refineries, MPC is also promoting energy efficiency in our other business units. As an example, MPC’s Terminal, Transport and Rail organization is a partner company in the EPA’s SmartWay Transport Partnership, which recognizes the best-performing freight carriers for carbon efficiency. We have scored in the best performance range in terms of grams of carbon dioxide per ton-mile for three straight years, placing us in the top 20 percent of the most efficient freight companies for our SmartWay category. 

MPC is also conducting research with Argonne National Laboratory (part of the U.S. Department of Transportation) in search of greater automobile engine efficiency. The collaboration between MPC and Argonne National Laboratory will bring together experts on fuel design, analysis and production with scientists who work on advanced engine combustion and emissions formation. Through this joint effort, which supports the Co-Optimization of Fuels and Engines initiative launched by the Department of Energy’s Vehicle Technologies and Bioenergy Technologies Offices, researchers hope to make substantial gains in efficiencies that could not be achieved by studying engines or fuels separately.

While MPC continually pursues opportunities for energy efficiency gains, government regulations may require us to burn additional fuel and use additional hydrogen to produce cleaner fuels as part of the country’s overall environmental strategy. This could offset the emission reductions we have realized through improved energy efficiency at the micro level. Please also note that indirect GHG emissions are primarily attributable to purchased electricity and steam necessary to operate the refineries, and hydrogen necessary for certain conversion processes, many of which produce low-sulfur fuels necessary for today’s cleaner-burning engines. Although we seek to reduce indirect emissions through efficiency measures and sourcing, such emissions are, by definition, not within our direct control.

Flare Efficiency

In addition to energy efficiency, MPC is an industry leader in reducing emissions, including GHG emissions, from refinery flares. In response to an EPA enforcement initiative, MPC partnered with EPA to define a series of operating parameters that will ensure flares continuously operate above 98 percent combustion efficiency. MPC was the first company to produce and publish the results of our own flare performance tests, setting the standard for the use of new measurement techniques and technologies to characterize and reduce volatile organic compound and hazardous air pollutant emissions from industrial flares. MPC subsequently entered into a settlement agreement with EPA to reduce flare emissions. As Figure 7 shows, by the end of 2015, our flare efficiency improvements resulted in reductions of 84 percent in emissions of volatile organic compounds, 78 percent in emissions of hazardous air pollutants, and 44 percent in GHG emissions from 2007 levels.

[Figure 7.]

Refinery Flare Emissions 

TPY = tons per year
VOC = volatile organic compounds>
HAP = hazardous air pollutants
GHG = greenhouse gas
GBR = Galveston Bay Refinery (acquired February 2013)
6 Plant = For historic comparison purposes, Refining assets prior to 2013 include refineries located in Canton, Ohio; Catlettsburg, Ky.; Detroit, Mich.; Garyville, La.; Robinson, Ill.; and Texas City, Texas.

Additional flare efficiency projects implemented since 2014 and over the next few years—including the installation of new flare gas recovery systems at six refineries—are expected to yield total reductions of 90 percent in hazardous air pollutants, 90 percent in volatile organic compounds emissions and 84 percent in GHG emissions compared to 2007 levels.  MPC expects to invest more than $375 million to achieve these reductions. These investments in flare efficiency are anticipated to reduce overall GHG emissions from our refineries by approximately 10 percent.

Criteria Pollutant Emissions

In 2015 MPC’s refineries were responsible for approximately 88 percent of all criteria pollutant emissions from MPC facilities and operations. MPC works to minimize or reduce criteria pollutant emissions, an effort aided by MPC’s participation in the EPA's ENERGY STAR program. These efforts have been very successful.

As Figure 8 demonstrates, from 2002 to 2015, MPC has reduced emissions of criteria pollutants from six of MPC’s seven refineries (excluding the Galveston Bay refinery acquired in 2013), by 61 percent while increasing gross throughput by approximately 45 percent. Such improvements in emissions intensity are not achieved without significant expense.  MPC invested approximately $700 million to achieve these dramatic results.

[Figure 8.]

Criteria Pollutant Emissions

GBR = Galveston Bay Refinery (acquired February 2013)
SHGP = South Houston Green Power (co-generation power plant located at GBR)
For historic comparison purposes, Refining assets prior to 2013 include refineries located in Canton, Ohio; Catlettsburg, Ky.; Detroit, Mich.; Garyville, La.; Robinson, Ill.; and Texas City, Texas.

Please note that from 2002 – 2012, GBR decreased its criteria pollutants by over 60% prior to MPC ownership. 

Note: In 1999, the United States Environmental Protection Agency (EPA) implemented a nationwide enforcement initiative focused on highly complex New Source Review/Prevention of Significant Deterioration permitting regulations. As a result of this initiative, MPC cooperatively worked with EPA and entered into a 2001 settlement agreement in which we committed to making significant investments to reduce criteria air pollutant emissions from our refineries over a period of several years. The resulting emission reductions are included in the chart presented here.

Galveston Bay Refinery

MPC is working to improve the environmental performance of its Galveston Bay refinery, located in Texas City, Texas. MPC acquired this refinery, one of the largest and most complex in the U.S., in February 2013. As part of our Galveston Bay Improvement Plan, we expect to invest more than $400 million in environmental projects at the refinery over the next several years. We anticipate that these improvements will significantly reduce emissions of criteria pollutants, hazardous air pollutants and GHGs. Further, bringing the same focus on energy efficiency to the Galveston Bay Refinery that MPC brings to its other refineries, we have identified opportunities for energy efficiency improvements at the Galveston Bay Refinery that will be pursued over the coming years.

Renewable Fuels & Renewable Energy

MPC is invested in the production of renewable fuels through equity ownership in three corn ethanol plants operated by the Anderson's Inc. and located in Greenville, Ohio  (110 million gallon/year capacity), Clymers, Indiana (110 million gallon/year capacity) and Albion, Michigan (55 million gallon/year capacity). Further, in 2014, MPC purchased a facility in Cincinnati, Ohio, to begin producing biodiesel from soybean oil and methanol. The plant has a capacity of 63 million gallons/year. MPC also supports advanced biofuels research through its equity ownership in Enchi Corporation. Enchi Corporation is developing proprietary technology related to bioprocessing of corn fiber to produce cellulosic ethanol.        

MPC’s is also an industry leader in offering renewable fuels along with conventional fuels to the consumer through our Speedway brand.  According to the U.S. Department of Energy's Alternative Fuels Data Center there just over 2,800 stations in the U.S. offering E85 flex fuel to the public. Speedway offers E85 flex fuel at more than 330 of its 2,730 stores. This is 12 percent of the total stations offering E85 flex fuel nationwide.  The Andersons ethanol plants also offer E85 directly to the public. Further, Speedway offers biodiesel (as B11) as a consumer choice at more than 110 stores.  Finally, Speedway has also begun to offer compressed natural gas (CNG) at three locations where there is consumer demand for this fuel.

MPC continues to actively explore the potential for renewable energy sources at our facilities. In 2012, we installed a 6,000-panel solar array at the Municipal Water Pollution Control Center in Findlay, Ohio, for purposes of studying the potential for using solar energy at our own facilities. MPC continues to operate the solar array and gather data on its performance. In the meantime, the electricity generated by the array is donated to the city of Findlay. We are also exploring the potential for wind power, and in 2016 installed a wind turbine at our pipeline station in Harpster, Ohio. The turbine provides us with the opportunity to learn how wind power may be deployed at other MPC facilities.

Spills

MPC strives to achieve zero spills of crude oil, petroleum products or other materials. To prevent spills, MPC provides regular training to our employees, maintains operational standards and procedures, uses various mechanical safeguards, conducts regular preventive maintenance and equipment inspections, and vets contractor vessels and facilities. When a spill does occur, MPC mobilizes well-trained emergency responders to mitigate and remediate any health, safety or environmental impacts. Each spill is investigated to identify the root cause and appropriate corrective actions to minimize the risk of a recurrence. MPC uses environmental metrics for spills to continually measure our performance and identify opportunities for improvement.

Wastes and Residual Materials

MPC maintains programs to reduce the volumes of hazardous and non-hazardous materials it generates. Materials are recycled or reclaimed whenever possible. Programs for waste minimization, recycling, reuse and reclamation are developed by MPC facilities based on their specific needs. We collect and analyze waste management data from all MPC business units to identify and prioritize opportunities for waste minimization. Third parties that transport, store, treat or dispose of wastes generated by our operations are reviewed and undergo an approval process prior to being used.