US refining capacity had hit a record high of nearly 19.0 million barrels per calendar day (b / cd) earlier this year, but several refineries have closed since then and capacity fell to the lowest level since May 2016, reported the Energy Information Administration (EIA).

As of September 1 (the latest data available), the United States had 18.4 million b/cd of oil refining capacity, also known as operable atmospheric crude distillation capacity.

The refinery’s operating capacity is the amount of capacity that is in operation or could be put into production within 90 days.

Earlier this year, the refinery’s operating capacity decreased by 335,000 b/cd from April to May after the closure of the Philadelphia Energy Solutions refinery in Pennsylvania.

Operating capacity fell another 19,000 b/cd in June when the Marathon refinery in Dickinson, North Dakota, closed to become a renewable diesel plant.

Refining

The largest decrease in operating capacity as of September 1 reflected three recent refinery closures in Wyoming, California and New Mexico:

HollyFrontier closed all units in late August at its 48,000 b cd refinery in Cheyenne, Wyoming. It stopped oil refining operations but plans to resume operations in 2022 as a renewable diesel processing plant.

Marathon announced plans in August to indefinitely shut down two facilities: the 161,000 b/cd refinery in Martinez, California, and the 27,000 b/cd refinery in Gallup, New Mexico.

Marathon attributed the closings to reduced demand for oil in 2020. In October, the company announced that it is evaluating plans to convert the Martinez refinery into a renewable diesel facility.

In its Annual Refining Capacity Report, the EIA looks at capacities, operating status, expansion plans, and other details of refineries in the United States.