PBF Energy Inc. announced that reconstruction work at its Martinez refinery, which has a capacity of 157,000 barrels per day, will continue through February 2026, extending the previously set year-end 2025 target. The California facility, damaged by a fire in February 2025, is now expected to reach planned operating rates by early March, according to the company’s updated schedule.
Since the second quarter of 2025, the Martinez site has been operating at a capacity ranging between 85,000 and 105,000 barrels per day. PBF Energy stated that commissioning of utility systems and certain idled equipment has begun, with a phased restart progressing as work is finalised and quality assurance procedures are completed.
Insurance and compensation for business interruption
The cost of repairs related to the fire is expected to be largely covered by insurance, except for a deductible and retentions totalling $30 million (USD). The company noted that beyond the initial 60-day waiting period, its business interruption insurance will significantly offset financial losses resulting from the temporary shutdown of the refinery.
In the fourth quarter of 2025, PBF Energy’s insurers paid a third, unallocated instalment of $393.5 million (USD), bringing total reimbursements received during the year to $893.5 million (USD), net of deductibles and retentions. Additional payments remain subject to confirmation of actual expenditures and verified losses.
Production outlook and scheduled operations for 2026
For the full year 2026, PBF Energy projects throughput levels ranging from 300,000 to 320,000 barrels per day on the East Coast, 135,000 to 145,000 barrels in the Mid-Continent region, 170,000 to 180,000 barrels on the Gulf Coast, and 280,000 to 300,000 barrels on the West Coast.
The group also plans several major maintenance operations throughout the year. The Torrance refinery in California will undergo a turnaround of its CHD/HDT units in the first quarter, while the hydrocracker restart at Martinez is scheduled for the second quarter. Additional maintenance shutdowns are expected in the fourth quarter at sites on the East Coast, Gulf Coast, and Mid-Continent.
Strategic adjustments and market conditions
The throughput guidance provided by PBF Energy remains subject to factors such as equipment availability, regional demand for refined fuels, and internal strategic decisions. The company emphasised that these estimates could shift depending on evolving macroeconomic conditions and short-term performance goals.
PBF Energy operates a network of strategically located refineries across the United States. The Martinez site is a key supply point for the California market, whose regulatory and environmental requirements demand specific technical configurations.
