Marathon Petroleum
| Company type | Public |
|---|---|
| Industry | Petroleum refining, marketing, and transportation |
| Predecessor | The Ohio Oil Company |
| Founded | November 9, 2009 in Findlay, Ohio, United States |
| Fate | Spun off from Marathon Oil in 2011 |
| Headquarters | Findlay , United States |
Area served | United States |
Key people | Michael J. Hennigan (Chairman), Maryann Mannen (President & CEO from August 2024) |
| Products | Petroleum refining, branded fuel outlets (Marathon, ARCO) |
| Parent | None (independent since 2011 spin-off) |
| Website | www |
Marathon Petroleum Corporation is a U.S.-based enterprise specializing in petroleum refining, marketing, and transportation, with its corporate headquarters located in Findlay, Ohio. It operated as a fully owned subsidiary of Marathon Oil until it was separated through a corporate spin-off in 2011.
The origins of Marathon Petroleum trace back to the merger of several small oil firms in Ohio in 1887, which formed The Ohio Oil Company, becoming the leading oil producer in the state. In 1889, it was acquired by the Standard Oil Trust, and by 1895, its main office had relocated to Findlay. The company constructed its initial pipeline in 1906, connecting its facilities across Illinois and Indiana.
Following the 1911 Supreme Court decision that dissolved Standard Oil, Ohio Oil regained its independence and pursued growth by acquiring additional oil fields and initiating refining activities. A significant milestone was the discovery of oil in Texas in 1924, followed by the acquisition of Lincoln Oil Refining Company, which added refineries and service stations to its portfolio. Subsequent purchases included Transcontinental Oil, introducing the Marathon brand into the company’s assets.
After completing the acquisition of Andeavor on October 1, 2018, Marathon Petroleum emerged as the largest operator of petroleum refineries in the United States, managing 13 refineries with a combined capacity exceeding 3 million barrels per calendar day. In 2018, it was ranked No. 41 on the Fortune 500 list and placed 138th on the Forbes Global 2000 in 2020.
The company’s operations encompass branded fuel outlets such as Marathon and ARCO, with a network exceeding 7,200 independently owned retail locations and about 1,100 directly operated dealer sites nationwide. Additionally, Marathon Petroleum holds majority ownership in MPLX LP, a midstream entity responsible for managing gathering systems, processing plants, fractionation facilities, and transportation infrastructure.
As reported in 2024, Marathon Petroleum achieved revenues totaling $140.4 billion alongside an operating income of $5.428 billion and net earnings of $3.445 billion. Its aggregate crude oil refining capability is close to 3 million barrels daily. Key leadership includes Chairman Michael J. Hennigan and President & CEO Maryann Mannen, who is set to assume her role starting August 2024.
Strategically, Marathon Petroleum prioritizes expanding refining capacity, enhancing supply chain logistics efficiency, and increasing market share within the competitive petroleum sector through acquisitions and operational improvements.
History
Marathon Petroleum Corporation was formed on November 9, 2009, as a subsidiary under Marathon Oil.
Predecessor company
The predecessor entity to Marathon Petroleum Corporation was Marathon Petroleum Company LLC (previously known as Marathon Ashland Petroleum LLC), established in 1998 through merging refining operations from Marathon Oil and Ashland Inc.. This consolidation united assets from descendants of the Standard Oil trust and merged Marathon’s Speedway convenience stores with Ashland’s SuperAmerica chain under the combined "Speedway SuperAmerica" brand.
Following British company BP’s acquisitions of former competitors Standard Oil of Ohio and Amoco, Marathon Ashland adopted the slogan "An American Company Serving America," which was later revised in 2006 to "Fueling the American Spirit," highlighting its workforce and corporate principles.
In 2005, Ashland divested its interest in Marathon Ashland to Marathon, resulting in Marathon Petroleum becoming a wholly owned subsidiary of Marathon Oil. This transaction coincided with Ashland’s withdrawal from downstream operations and retail markets. By 2006, Marathon incorporated STP additives into its fuels to improve product quality.
In 2009, the company completed a $3.9 billion upgrade at its Garyville refinery in Louisiana that increased capacity by 180,000 barrels per day. The following year saw the sale of its St. Paul Park refinery—processing 74,000 barrels daily—along with associated assets such as terminals, pipelines, inventory holdings, and 166 SuperAmerica convenience stores to Northern Tier Energy for $900 million.
This series of strategic moves illustrates Marathon Petroleum’s commitment to refining optimization, retail consolidation efforts, and reinforcing its competitive stance within the petroleum industry.
Separation from Marathon Oil Corporation
On June 30, 2011, Marathon Oil finalized a corporate spin-off by distributing all its shares in the company to the shareholders of Marathon Petroleum.
In June 2012, Tri-State Petroleum, headquartered in Wheeling, West Virginia, entered into an agreement to rebrand 50 service stations across Ohio, Pennsylvania, and West Virginia under the Marathon banner. This included converting 18 Exxon locations within the Pittsburgh metropolitan area, substantially increasing Marathon’s presence in that market. Before this transition, Marathon had a modest footprint in Western Pennsylvania but was firmly established in Southern Ohio and West Virginia. The arrangement also redirected Exxon’s local strategy through acquiring Shell station contracts, while Mobil exited the Northern Panhandle region of West Virginia.
Marathon expanded its refining and retail operations in 2013 by acquiring significant assets from BP. These assets comprised a refinery with a capacity of 451,000 barrels per day located in Texas City, Texas, four distribution terminals for light products, and retail marketing agreements covering approximately 1,200 outlets throughout the southeastern United States.
In 2014, Speedway LLC—then a subsidiary of Marathon Petroleum—completed the acquisition of Hess Corporation’s retail business for $2.82 billion. This transaction introduced the Marathon brand into the Northeastern U.S., extending its reach beyond traditional Midwestern and Southeastern markets and marking a substantial geographic expansion.
Texas City (Galveston Bay)
A fire occurred at the Galveston Bay refinery in Texas City, Texas, during 2016, injuring three contract employees. Subsequent legal actions led to Marathon settling for $86 million.[1]
Garyville Refinery, Louisiana
On August 25, 2023, a blaze erupted at the Garyville refinery in Louisiana, triggering evacuations of nearby residents and schools due to concerns about air pollution. The emergency response was criticized for its delayed actions.[2]
Acquisition of Andeavor and Speedway Divestiture
Marathon agreed on April 30, 2018, to purchase Andeavor—a Western U.S.-based independent oil and refining company—for $23 billion. The merger was finalized on October 1, 2018.[3] This acquisition extended Marathon’s operations into new regions, introduced the Marathon brand to Western U.S. markets for the first time, and incorporated ownership of the ARCO brand. Additionally, it brought SuperAmerica convenience stores back under Speedway's portfolio.
On October 31, 2019, Marathon announced plans to spin off its Speedway convenience store chain alongside CEO Gary Heminger’s retirement.[4]
Subsequently, on August 2, 2020, Marathon agreed to sell Speedway LLC to Seven & i Holdings Co., Ltd. for $21 billion. The transaction closed on May 14, 2021.[5] This divestment aligned with Marathon’s strategic emphasis on refining and midstream sectors while capitalizing on its retail assets.
Operational Facilities
Marathon operates thirteen refineries with an aggregate crude oil processing capacity of three million barrels per calendar day (bpcd). In addition to these facilities, it manages nine Renewable Fuels and Feed Facilities producing approximately 485 million gallons annually, alongside two Renewable Fuel Pretreatment Facilities and a Soy Processing Facility.
| # | Facility Name | Location | Capacity |
|---|---|---|---|
| 1 | Anacortes Refinery | Anacortes, Washington | 119,000 bpcd |
| 2 | Canton Refinery | Canton, Ohio | 100,000 bpcd |
| 3 | Catlettsburg Refinery | Catlettsburg, Kentucky | 300,000 bpcd |
| 4 | Detroit Refinery | Detroit, Michigan | 140,000 bpcd |
| 5 | El Paso Refinery | El Paso, Texas | 133,000 bpcd |
| 6 | Galveston Bay Refinery | Texas City, Texas | 631,000 bpcd |
| 7 | Garyville Refinery | Garyville, Louisiana | 597,000 bpcd |
| 8 | Kenai Refinery | Kenai, Alaska | 68,000 bpcd |
| 9 | Los Angeles Refinery | Carson, California | 365,000 bpcd |
| 10 | Mandan Refinery | Mandan, North Dakota | 71,000 bpcd |
| 11 | Robinson Refinery | Robinson, Illinois | 253,000 bpcd |
| 12 | Salt Lake City Refinery | Salt Lake City, Utah | 68,000 bpcd |
| 13 | St. Paul Refinery | St. Paul Park, Minnesota | 105,000 bpcd |
Marathon possesses leasehold or ownership interests spanning roughly 8,400 miles of petroleum pipelines as well as about 5,000 miles dedicated to natural gas and natural gas liquids transport. Its logistics infrastructure includes railcars and barges along with processing terminals. Furthermore, the company holds a 20.4% interest—including a controlling general partner stake of two percent—in MPLX—a publicly traded master limited partnership specializing in midstream pipeline transportation and crude oil storage.
Divested Operations
- Prior to its acquisition by Seven & i Holdings Co., Ltd., the parent company of 7-Eleven, The Speedway LLC managed approximately 4,000 company-operated fuel and convenience outlets, ranking as the second largest chain in the United States. This transaction was finalized in May 2021.
- As part of a strategic realignment, Marathon ceased operations at the Gallup Refinery, which had a capacity of 26,000 barrels per calendar day, in 2020.
- In 2021, Marathon transitioned the Dickinson Refinery into a renewable diesel production facility, capable of producing around 184 million gallons annually (approximately 12,000 barrels per calendar day).
- The Martinez Refinery underwent conversion in 2023 to become a renewable fuels manufacturing plant with an annual output capacity of 730 million gallons (equivalent to 47,500 barrels per calendar day), reflecting Marathon’s expansion into renewable energy markets.
Financial Overview
| Year | 2010 | 2011 | 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | 62,487 | 78,638 | 82,243 | 100,160 | 97,817 | 72,051 | 63,339 | 74,733 | 86,086 | 111,148 | 69,779 | 119,983 | 177,453 |
| Net Income | 622 | 2,385 | 3,383 | 2,108 | 2,524 | 2,852 | 1,174 | 3,432 | 2,780 | 2,637 | |||
| 9,738 | 14,516 | ||||||||||||
| Assets | 23,232 | 25,745 | 27,223 | 28,385 | 30,425 | 43,115 | 44,413 | 49,047 | 92,940 | 98,556 | 85,158 | 85,373 | 89,904 |
| Employees | 25,985 | 29,865 | 45,340 | 45,440 | 44,460 | 43,800 | 60,350 | 60,910 |