Citgo resumes Venezuelan crude processing

Citgo Petroleum Corp., Houston, reported first-quarter 2026 net income of $157 million, supported by high refinery utilization rates, improved margin capture, and stronger refining margins late in the quarter.

On May 15, the operator posted earnings before interest, taxes, depreciation, and amortization (EBITDA) of $368 million and adjusted EBITDA of $361 million, citing favorable product differentials in March contributed to quarterly results

"Our margin capture rate improved relative to the previous quarter," said Carlos Jordá, Citgo’s president and chief executive officer, adding that the company expects favorable market conditions to continue through yearend 2026.

Operations

Total refinery throughput across Citgo’s three refineries during the quarter averaged 851,000 b/d, including record crude runs of 819,000 b/d for a combined quarterly average crude utilization rate of 99%.

The operator’s 479,000-b/d deep-conversion refinery in Lake Charles, La., established monthly crude, input, and product processing records during the quarter resulting in a quarterly crude-throughput record of more than 500,000 b/d. By the quarter’s end, the refinery also achieved its fifth consecutive month of record crude processing rates, according to the company.

At its 183,000-b/d refinery in Lemont, Ill., Citgo began a major turnaround block on fluid catalytic cracking and alkylation units in early March, with restart activities already completed in early May.

In January—the first full month of operations following a major crude system turnaround completed in fourth-quarter 2025—Citgo’s 167,000-b/d refinery in Corpus Christi, Tex., recorded a crude processing record of 175,000 b/d, the company said.

Citgo confirmed quarterly expenditures on its refining system of $96 million in turnaround and catalyst costs, as well as an additional $104 million on unidentified capital projects.

The company said it also purchased and refined Venezuelan crude oil for the first time since 2019 under an Office of Foreign Assets Control (OFAC) license.

Issued by the US Department of the Treasury's OFAC, the license authorizes US entities to engage in transactions otherwise prohibited by economic and trade sanctions.

OFAC has extended protections for Citgo that prohibits creditors from seizing shares in the Venezuela-owned refiner, with key licenses currently extended through at least June 19, 2026.

Financial outlook

Citgo ended first-quarter 2026 with liquidity of $2.5 billion, including full availability under its $500-million accounts receivable securitization facility, which was extended through July 31, 2026.

Based on current market conditions, the company said it anticipates full-year 2026 EBITDA of $3.2-3.6 billion alongside a yearend cash balance of $3.5-3.9 billion.