After Gov. Gavin Newsom signed a bill into law that aims to prevent gas prices from spiking, Philips 66, the massive oil company that operates across the U.S., has announced that it will be closing its refinery in Wilmington next year.

Oil company Phillips 66 has announced that it plans to shut down a Los Angeles-area refinery that accounts for about 8% of California's refining capacity The company indicates it will remain operating in California.

Phillips 66 will close a refinery near Los Angeles in the fourth quarter of 2025, citing that its long-term sustainability is uncertain and affected by market dynamics. Mark Lashier, chief executive of the Houston-based oil refiner,