US Refining Capacity Crunch and Policy Push

US refining capacity is structurally tight with no new major refinery built in 50 years; only one greenfield (168k bpd) under construction. Utilization at 96.2% is unsustainable. Energy Secretary Chris Wright pushes for more throughput but faces regulatory barriers (7-year air permits). Policy changes could unlock refinery capex, but near-term constraints persist. Valero Benicia closure adds to capacity decline. Marathon refinery in El Paso faces massive permit violation (3,591x sulfur dioxide exceedance), highlighting regulatory and operational risks. ConocoPhillips has hidden upside from CITGO sale as refining valuations surge due to geopolitical disruptions. New: Refinery utilization at 97.2% per latest data, diesel crisis at $170 reinforces need for capacity.