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Fair Value Measurements
 6 Months Ended
Jun. 30, 2025
Fair Value Disclosures [Abstract]  
FAIR VALUE MEASUREMENTS
12.    FAIR VALUE MEASUREMENTS

Recurring Fair Value Measurements
The following tables present information (in millions) about our assets and liabilities recognized at their fair values in our balance sheets categorized according to the fair value hierarchy of the inputs utilized by us to determine the fair values as of June 30, 2025 and December 31, 2024.

We have elected to offset the fair value amounts recognized for multiple similar derivative contracts executed with the same counterparty, including any related cash collateral assets or obligations as shown below; however, fair value amounts by hierarchy level are presented in the following tables on a gross basis. We have no derivative contracts that are subject to master netting arrangements that are reflected gross in our balance sheets.
June 30, 2025
Total
Gross
Fair
Value		Effect of
Counter-
party
Netting		Effect of
Cash
Collateral
Netting		Net
Carrying
Value on
Balance
Sheet		Cash
Collateral
Paid or
Received
Not Offset
Fair Value Hierarchy
Level 1Level 2Level 3
Assets
Commodity derivative
contracts
$867 $— $— $867 $(822)$(22)$23 $— 
Physical purchase
contracts
— 1 — 1 n/an/a1 n/a
Investments of certain
benefit plans
84 — 4 88 n/an/a88 n/a
Investments in AFS
debt securities
4 23 — 27 n/an/a27 n/a
Total$955 $24 $4 $983 $(822)$(22)$139 
Liabilities
Commodity derivative
contracts
$881 $— $— $881 $(822)$(59)$— $(55)
Physical purchase
contracts
— 8 — 8 n/an/a8 n/a
Blending program
obligations
— 140 — 140 n/an/a140 n/a
Foreign currency
contracts
4 — — 4 n/an/a4 n/a
Total$885 $148 $— $1,033 $(822)$(59)$152 
December 31, 2024
Total
Gross
Fair
Value		Effect of
Counter-
party
Netting		Effect of
Cash
Collateral
Netting		Net
Carrying
Value on
Balance
Sheet		Cash
Collateral
Paid or
Received
Not Offset
Fair Value Hierarchy
Level 1Level 2Level 3
Assets
Commodity derivative
contracts
$402 $— $— $402 $(402)$— $— $— 
Physical purchase
contracts
— 2 — 2 n/an/a2 n/a
Investments of certain
benefit plans
89 — 4 93 n/an/a93 n/a
Investments in AFS
debt securities
6 20 — 26 n/an/a26 n/a
Foreign currency
contracts
6 — — 6 n/an/a6 n/a
Total$503 $22 $4 $529 $(402)$— $127 
Liabilities
Commodity derivative
contracts
$448 $— $— $448 $(402)$(46)$— $(71)
Blending program
obligations
— 13 — 13 n/an/a13 n/a
Physical purchase
contracts
— 3 — 3 n/an/a3 n/a
Total$448 $16 $— $464 $(402)$(46)$16 

A description of our assets and liabilities recognized at fair value along with the valuation methods and inputs we used to develop their fair value measurements are as follows:

•Commodity derivative contracts consist primarily of exchange-traded futures, which are used to reduce the impact of price volatility on our results of operations and cash flows as discussed in Note 13. These contracts are measured at fair value using a market approach based on quoted prices from the commodity exchange and are categorized in Level 1 of the fair value hierarchy.

•Physical purchase contracts represent the fair value of fixed-price corn purchase contracts. The fair values of these purchase contracts are measured using a market approach based on quoted prices from the commodity exchange or an independent pricing service and are categorized in Level 2 of the fair value hierarchy.

•Blending program obligations represent our liability for the purchase of compliance credits needed to satisfy our blending obligations under various government and regulatory blending programs, such as the U.S. Environmental Protection Agency’s (EPA) Renewable Fuel Standard (RFS), California Low Carbon Fuel Standard (LCFS), Canada Clean Fuel Regulations, U.K. Renewable Transport Fuel Obligation, and similar programs in other jurisdictions in which we operate (collectively, the Renewable and Low-Carbon Fuel Programs). The blending program
obligations are categorized in Level 2 of the fair value hierarchy and are measured at fair value using a market approach based on quoted prices from an independent pricing service.

•Investments of certain benefit plans consist of investment securities held by trusts for the purpose of satisfying a portion of our obligations under certain U.S. nonqualified benefit plans. The plan assets categorized in Level 1 of the fair value hierarchy are measured at fair value using a market approach based on quoted prices from national securities exchanges. The plan assets categorized in Level 3 of the fair value hierarchy represent insurance contracts, the fair value of which is provided by the insurer.

•Investments in AFS debt securities consist primarily of commercial paper and U.S. government treasury bills and have maturities within one year. The securities categorized in Level 1 are measured at fair value using a market approach based on quoted prices from national securities exchanges and the securities categorized in Level 2 are measured at fair value using a market approach based on quoted prices from independent pricing services. The amortized cost basis of the securities approximates fair value. Realized and unrealized gains and losses were de minimis for the three and six months ended June 30, 2025 and 2024.

•Foreign currency contracts consist of foreign currency exchange and purchase contracts related to our foreign operations to manage our exposure to exchange rate fluctuations on transactions denominated in currencies other than the local (functional) currencies of our operations. These contracts are valued based on quoted foreign currency exchange rates and are categorized in Level 1 of the fair value hierarchy.

Nonrecurring Fair Value Measurements
There were no assets or liabilities that were measured at fair value on a nonrecurring basis as of June 30, 2025 and December 31, 2024.

As discussed in Note 2, we concluded that the carrying values of the Benicia and Wilmington refineries were impaired as of March 31, 2025. The fair values of the refineries were determined using a market approach based on a comparison of recent property sales and other relevant real estate and market data, which we determined reflects the highest and best use of these assets. These fair values involved significant assumptions and actual results could differ from these estimates.
The following table presents information (in millions) about our nonfinancial assets measured at fair value on a nonrecurring basis during the six months ended June 30, 2025.
March 31, 2025
Fair Value Measurements Using
Quoted
Prices in
Active
Markets
(Level 1)		Significant
Other
Observable
Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)		Fair
Value		Carrying
Value
as of
June 30,
2025 (a)		Loss
Recognized (b)
Assets
Long-lived assets of
the Benicia Refinery
$— $— $722 $722 $584 $901 
Long-lived assets of
the Wilmington
Refinery
— — 847 847 824 230 
Total$— $— $1,569 $1,569 $1,408 $1,131 
________________________
(a)The carrying values of the Benicia and Wilmington refineries as of June 30, 2025 are lower than the fair values as of March 31, 2025 primarily due to depreciation and amortization expense recognized in the three months ended June 30, 2025.
(b)The asset impairment loss was recognized in our Refining segment in March 2025.

Financial Instruments
Our financial instruments include cash and cash equivalents, restricted cash, investments in AFS debt securities, receivables, payables, debt obligations, operating and finance lease obligations, commodity derivative contracts, and foreign currency contracts. The estimated fair values of cash and cash equivalents, restricted cash, receivables, payables, and operating and finance lease obligations approximate their carrying amounts; the carrying value and fair value of debt is shown in the table below (in millions).
June 30, 2025December 31, 2024
Fair Value
Hierarchy		Carrying
Amount		Fair
Value		Carrying
Amount		Fair
Value
Financial liabilities:
Debt (excluding finance lease
obligations)
Level 2$8,370 $8,191 $8,085 $7,776 

Investments in AFS debt securities, commodity derivative contracts, and foreign currency contracts are recognized at their fair values as shown in “Recurring Fair Value Measurements” above.