Valero Energy Corporation

Greetings and welcome to Valero Energy Corp. Third Quarter 2025 Earnings Conference Call. At this time, all participants are on a listen-only mode. A question and answer session will follow the formal presentation. If anyone requires operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Homer Bullar, Vice President, Investor Relations and Finance. Thank you. You may begin.

Good morning, everyone, and welcome to Valero Energy Corporation's third quarter 2025 earnings conference call. I'm joined today by Lane Riggs, Chairman, CEO, and President, Jason Frazier, Executive Vice President and CFO, Gary Simmons, Executive Vice President and COO, Rich Walsh, Executive Vice President and General Counsel, as well as several other members of Valero's senior management team. If you have not received a copy of our earnings release, it's available on our website at InvestorValero.com. Included with the release are supplemental tables providing detailed financial information for each of our business segments, along with reconciliations and disclosures for any adjusted financial metrics referenced during today's call. If you have any questions after reviewing these materials, please feel free to reach out to our Investor Relations team. Before we begin, I would like to draw your attention to the forward-looking statement disclaimer included in the press release. In summary, it says that statements made in the press release and during this conference call that express the company's or management's expectations or forecasts of future events are forward-looking statements and are intended to be covered by the Safe Harbor provisions under federal securities laws. Actual results may differ from those expressed or implied due to various factors which are outlined in our earnings release and filings with the SEC. I'll now turn the call over to Lane for opening remarks.

Thank you, Homer, and good morning, everyone. We're pleased to report strong financial results for the third quarter, highlighting our longstanding track record of operational and commercial excellence. Our refinery throughput utilization was 97%, with the Gulf Coast and North Atlantic regions setting new all-time highs for throughput following last quarter's record performance in the Gulf Coast. Refining margins remained well-supported by strong global demand and persistently low inventory levels despite high utilization rates. Supply constraints were driven by refinery rationalizations, delayed ramp-ups in new facilities, and ongoing geopolitical disruptions. These market dynamics contributed to the margin strength despite relatively narrow sour crude differentials. The ethanol segment also delivered a strong quarter, achieving record production and solid earnings. Strategically, we continue to make progress on the FCC unit optimization project at our St. Charles refinery. This initiative will enhance our ability to produce high-value product yields, including high-octane output. The $230 million project is expected to begin operations in the second half of 2026. Looking ahead, refining fundamentals should remain supported by low inventories and continued supply tightness with planned refinery closures and limited capacity additions beyond 2025. Our crude differentials are also expected to widen with the increased OPEC Plus and Canadian production. In closing, our strong financial results and record operating achievements this quarter are a testament to our commitment to commercial and operational excellence. This, coupled with the strength of our balance sheet, should continue to support strong shareholder returns. So with that, Homer, I'll turn the call back over to you.