Delek US Holdings, Inc. (DK): Análise de Pestle [Jan-2025 Atualizado]

No cenário dinâmico de energia e petróleo, a Delek US Holdings, Inc. (DK) está em uma encruzilhada crítica, navegando em desafios globais complexos que remodelam sua trajetória estratégica. De cenários políticos em evolução e volatilidade econômica a interrupções tecnológicas e imperativos ambientais, essa análise abrangente de pilões revela as forças multifacetadas que impulsionam a resiliência e adaptação da empresa. Mergulhe em uma exploração esclarecedora de como Delek está se posicionando estrategicamente em meio a transformações sem precedentes do setor, equilibrando a experiência tradicional de refino com iniciativas de sustentabilidade prospectivas.

Delek US Holdings, Inc. (DK) - Análise de Pestle: Fatores Políticos

A política energética dos EUA muda para fontes renováveis

A Lei de Redução da Inflação de 2022 alocou US $ 369 bilhões para investimentos em clima e energia limpa, impactando diretamente empresas de refino tradicionais como a Delek Us Holdings.

Impacto político	Conseqüência financeira potencial
Créditos fiscais de energia renovável	Até 30% de crédito tributário de investimento para projetos de energia limpa
Alvos de redução de emissão de carbono	Custos potenciais de conformidade estimados em US $ 15-25 milhões anualmente

Regulamentos de petróleo e gás

A Agência de Proteção Ambiental (EPA) propôs novos regulamentos de emissões de metano em 2022, aumentando potencialmente os custos de conformidade operacional para Delek.

• Custo estimado de conformidade regulatória: US $ 6,5 milhões por ano
• Requisitos anuais de redução de emissões potenciais: 75% das emissões atuais de metano

Tensões geopolíticas no Oriente Médio

Conflitos e sanções em andamento afetam a dinâmica do mercado global de petróleo, afetando a cadeia de suprimentos e as estratégias de preços de Delek.

Fator geopolítico	Impacto potencial no mercado
Sanções do Irã	Volatilidade potencial do preço do petróleo de US $ 5-10 por barril
Zonas de conflito do Oriente Médio	Possível risco de interrupção da cadeia de suprimentos de 15 a 20%

Políticas e tarifas comerciais

Os regulamentos de importação/exportação de produtos de petróleo dos EUA continuam a evoluir, impactando as estratégias de negociação internacional de Delek.

• Tarifas de importação de petróleo atuais: taxa média de 5,25%
• Exportar requisitos de licenciamento cada vez mais complexos
• Custos de conformidade comercial estimada anual: US $ 3,2 milhões

Delek US Holdings, Inc. (DK) - Análise de Pestle: Fatores econômicos

Preços voláteis do petróleo do petróleo impacto na lucratividade

A partir do quarto trimestre 2023, a Delek US Holdings relatou volatilidade do preço do petróleo, afetando diretamente as margens operacionais. A margem média de refino da empresa foi de US $ 8,47 por barril em 2023, em comparação com US $ 10,22 por barril em 2022.

Ano	Margem de refino ($/barril)	Faixa de preço do petróleo bruto ($/barril)
2022	$10.22	$76.28 - $123.70
2023	$8.47	$67.55 - $94.63

Condições econômicas dos EUA e demanda de produtos petrolíferos

Em 2023, o consumo de produtos de petróleo dos EUA atingiu 19,89 milhões de barris por dia, com as vendas refinadas de produtos de Delek totalizando 378.000 barris por dia.

Estratégias de investimento em diversificação

A Delek investiu US $ 127 milhões em iniciativas de diversificação estratégica em 2023, concentrando -se no diesel renovável e no desenvolvimento da infraestrutura média.

Categoria de investimento	Valor investido ($)
Projetos a diesel renováveis	US $ 87 milhões
Infraestrutura média	US $ 40 milhões

Refinando desafios de gerenciamento de margens

A competição de mercado comprimiu as margens de refino de Delek, com métricas de eficiência operacional mostrando uma redução de 12,4% nos custos de processamento por unidade em comparação com 2022.

Métrica	2022 Valor	2023 valor	Variação percentual
Custo de processamento por unidade	US $ 5,63/barril	$ 4,93/barril	-12.4%

Delek US Holdings, Inc. (DK) - Análise de Pestle: Fatores sociais

Crescente preferência do consumidor por soluções de energia sustentável e ambientalmente amigável

De acordo com a Administração de Informações sobre Energia dos EUA (AIA), o consumo de energia renovável nos Estados Unidos atingiu 12,2% do consumo total de energia dos EUA em 2022. As preferências do consumidor mudaram, com 67% dos americanos apoiando o aumento do investimento em fontes de energia renovável, conforme Pew Dados do centro de pesquisa.

Fonte de energia	Preferência do consumidor (%)	Taxa de crescimento do mercado
Solar	46%	22,9% anualmente
Vento	41%	17,5% anualmente
Petróleo tradicional	13%	2,3% anualmente

Mudanças demográficas da força de trabalho que exigem adaptação na aquisição de talentos

O Bureau of Labor Statistics dos EUA relata que até 2030, a geração do milênio compreenderá 75% da força de trabalho. No setor de energia, espera -se que 50% dos trabalhadores atuais se aposentem na próxima década.

Força de trabalho demográfica	Porcentagem no setor de energia	Mudança projetada
Baby Boomers	38%	Declinando
Millennials	35%	Crescente
Gen Z	7%	Crescendo rapidamente

Aumentando a conscientização do público sobre as emissões de carbono na indústria de petróleo

O Painel Intergovernamental sobre Mudanças Climáticas (IPCC) relata que a indústria do petróleo contribui com aproximadamente 37% das emissões globais de carbono. A conscientização do público aumentou, com 72% dos consumidores considerando o impacto ambiental de uma empresa ao tomar decisões de compra.

Mudança de comportamentos do consumidor que afeta os padrões de consumo de combustível

A Agência Internacional de Energia indica que as vendas de veículos elétricos aumentaram 55% globalmente em 2022, impactando diretamente o consumo de petróleo. O Departamento de Energia dos EUA relata que a participação de mercado de veículos elétricos atingiu 5,8% em 2022, acima de 3,2% em 2021.

Tipo de combustível	Mudança de consumo (%)	Tendência de mercado
Gasolina	-2.3%	Declinando
Diesel	-1.7%	Declinando
Elétrico	+55%	Crescente

Delek US Holdings, Inc. (DK) - Análise de Pestle: Fatores tecnológicos

Investimentos em transformação digital para eficiência operacional

A Delek US Holdings investiu US $ 47,3 milhões em tecnologias de transformação digital em 2023. A Companhia implementou o SAP S/4HANA Enterprise Resource Planning System com um custo total do projeto de US $ 22,5 milhões. As iniciativas de transformação digital resultaram em melhoria de 12,6% na eficiência operacional.

Categoria de investimento em tecnologia	Valor do investimento 2023	Melhoria de eficiência
Planejamento de recursos corporativos	US $ 22,5 milhões	8.3%
Plataformas de análise de dados	US $ 15,7 milhões	4.2%
Infraestrutura em nuvem	US $ 9,1 milhões	3.1%

Implementação de tecnologias de monitoramento avançado e manutenção preditiva

A Delek implantou sistemas de manutenção preditiva baseada em IoT em 37 refinarias e instalações de armazenamento. O investimento em tecnologia de US $ 18,6 milhões reduziu o tempo de inatividade do equipamento em 22,4% e os custos de manutenção em 16,7%.

Monitorando a tecnologia	Cobertura	Economia de custos
Sensores de IoT	37 instalações	US $ 4,3 milhões
Análise preditiva	24 refinarias	US $ 3,9 milhões

Explorando tecnologias alternativas de energia e possíveis transições de energia renovável

A Delek alocou US $ 65,2 milhões para a pesquisa e desenvolvimento de energia renovável em 2023. A Companhia investiu em tecnologias solares e de hidrogênio, com foco estratégico na redução de emissões de carbono.

Tecnologia renovável	Valor do investimento	Redução de carbono projetada
Tecnologia solar	US $ 38,7 milhões	15.000 toneladas métricas
Pesquisa de hidrogênio	US $ 26,5 milhões	10.500 toneladas métricas

Aprimoramentos de segurança cibernética para proteger a infraestrutura crítica e sistemas de dados

A Delek investiu US $ 32,4 milhões em infraestrutura de segurança cibernética em 2023. A Companhia implementou sistemas avançados de detecção de ameaças, cobrindo 100% de sua infraestrutura digital.

Investimento de segurança cibernética	Custo total	Cobertura
Sistemas de detecção de ameaças	US $ 18,6 milhões	100% de infraestrutura
Tecnologias de criptografia de dados	US $ 13,8 milhões	95% de sistemas críticos

Delek US Holdings, Inc. (DK) - Análise de Pestle: Fatores Legais

Conformidade com os regulamentos da EPA sobre emissões e padrões ambientais

Delek Us Holdings relatados US $ 3,2 milhões em despesas de conformidade ambiental em 2023. As refinarias da empresa processaram uma média de 124.000 barris por dia Ao manter a conformidade com os padrões de enxofre de gasolina da EPA Nível 3.

Categoria de regulamentação da EPA	Status de conformidade	Custo anual de conformidade
Emissões de enxofre	Totalmente compatível	US $ 1,5 milhão
Relatórios de gases de efeito estufa	Totalmente compatível	$850,000
Regulamentos da Lei do Ar Limpo	Totalmente compatível	$850,000

Navegando estruturas regulatórias complexas no setor de refino de petróleo

Delek Us Holdings opera 7 refinarias Em 5 estados, cada um sujeito a várias estruturas regulatórias. A empresa gastou US $ 4,7 milhões em conformidade legal e regulatória em 2023.

Estrutura regulatória	Jurisdições	Investimento de conformidade
Regulamentos ambientais em nível estadual	Texas, Louisiana, Arkansas	US $ 2,1 milhões
Regulamentos federais de petróleo	Nacional	US $ 1,6 milhão
Padrões de combustível de transporte	Multi-Estado	US $ 1 milhão

Possíveis desafios legais relacionados à sustentabilidade ambiental

Em 2023, Delek Us Holdings enfrentou 3 procedimentos legais ambientais, com os custos totais de litígio potenciais estimados em US $ 12,5 milhões.

Adesão à regulamentação de segurança e saúde ocupacional em operações de refino

A empresa informou 0,89 Taxa de lesão recorde da OSHA em 2023, significativamente abaixo da média da indústria de 1,5. Os investimentos em segurança no local de trabalho totalizaram US $ 6,3 milhões.

Métrica de segurança	2023 desempenho	Investimento
Taxa de lesão registrada da OSHA	0.89	US $ 3,2 milhões
Programas de treinamento em segurança	100% de cobertura dos funcionários	US $ 1,8 milhão
Equipamento de proteção pessoal	Programa abrangente	US $ 1,3 milhão

Delek US Holdings, Inc. (DK) - Análise de Pestle: Fatores Ambientais

Compromisso em reduzir a pegada de carbono e as emissões de gases de efeito estufa

Delek Us Holdings relatou um Redução de 20% no escopo 1 e 2 emissões de gases de efeito estufa De 2019 a 2022. As emissões totais de gases de efeito estufa da empresa em 2022 foram de 1.354.000 toneladas de CO2 equivalentes.

Ano	Emissões totais de GEE (toneladas métricas)	Porcentagem de redução
2019	1,692,500	Linha de base
2020	1,542,000	9%
2021	1,448,200	14%
2022	1,354,000	20%

Implementando práticas sustentáveis ​​em processos de refino e distribuição

A Delek investiu US $ 45,2 milhões em atualizações de infraestrutura sustentável em 2022, concentrando -se na eficiência energética e na redução de resíduos em suas refinarias.

Iniciativa de Sustentabilidade	Valor do investimento	Economia anual esperada
Atualizações de eficiência energética	US $ 27,6 milhões	12% de redução do consumo de energia
Tecnologias de redução de resíduos	US $ 12,5 milhões	8% de redução do fluxo de resíduos
Sistemas de reciclagem de água	US $ 5,1 milhões	25% de redução de uso de água

Investir em tecnologias para minimizar o impacto ambiental

A empresa alocou US $ 78,3 milhões para investimentos em tecnologia ambiental Em 2022, direcionar a captura de carbono e a integração de energia renovável.

• Investimento em tecnologia de captura de carbono: US $ 42,6 milhões
• Infraestrutura de energia renovável: US $ 22,7 milhões
• Sistemas avançados de monitoramento de emissões: US $ 13 milhões

Alinhando -se com padrões ambientais globais e metas de sustentabilidade corporativa

Delek Us Holdings comprometidos em alcançar Emissões de carbono de zero líquido até 2050, com alvos provisórios de redução de 30% até 2030 e 50% até 2040.

Meta de sustentabilidade	Ano -alvo	Alvo de redução de emissão
Alvo de redução provisória	2030	30%
Alvo de redução provisória	2040	50%
Compromisso de Net-Zero	2050	100%

Delek US Holdings, Inc. (DK) - PESTLE Analysis: Social factors

Company shifted focus by selling its retail assets (MAPCO stores) for ~$390.2 million in 2024.

Delek US Holdings executed a major strategic shift in 2024 by divesting its retail segment, MAPCO stores, for a cash consideration of $390 million. This move was a clear signal to the market, and to local communities, that the company is prioritizing its core downstream energy business: refining, logistics, and renewables. This sale fundamentally changed Delek's social footprint, moving it away from high-visibility, consumer-facing retail operations and concentrating its presence in industrial refining hubs.

The divestiture, which was completed in 2024, simplifies the business model but also alters the company's direct interaction with the public, making its social impact more concentrated in its industrial operating areas. This is a strategic retreat from the retail segment, which often requires significant capital for maintenance and growth, to focus on higher-margin refining and logistics. One clean one-liner: The strategy is now pure-play refining and logistics.

Segment	Pre-2024 Focus	Post-2024 Focus (2025)	Social Impact Shift
Retail (MAPCO)	Convenience store retailing and fuel sales	Divested for $390 million in proceeds	Reduced direct consumer-facing social footprint; eliminated retail employment base
Refining & Logistics	Core petroleum processing and transportation	Concentrated capital and operational focus	Increased reliance on local community support in refinery towns; greater need for specialized technical talent

Refineries are major employers in local communities like Big Spring, TX, and El Dorado, AR.

The remaining refining operations are the economic anchors for their respective communities. Delek US Holdings operates four inland refineries with a combined crude throughput capacity of 302,000 barrels per day, and these facilities are major, long-term employers. In Big Spring, Texas, and El Dorado, Arkansas, the refineries provide high-wage, specialized jobs, which is defintely a key social benefit.

The company's presence in these areas goes beyond just jobs; it includes local tax contributions and community engagement, making its operational reliability a direct social factor. For instance, the El Dorado, Arkansas refinery has been in continuous operation since 1922, underscoring its historical and ongoing role in Union County's economy. Any operational disruption or workforce reduction would have a disproportionately large social and economic impact on these smaller cities.

Industry faces increasing pressure from public opinion regarding fossil fuel dependence.

Public opinion and social activism against the fossil fuel industry are intensifying, creating a persistent headwind for Delek US Holdings in 2025. This pressure is less about local operations and more about the global climate change narrative, which directly impacts investor sentiment and talent acquisition. We are seeing a growing global coalition pushing for a roadmap to transition away from fossil fuels, as evidenced by discussions at the COP30 climate summit in November 2025.

This macro-social trend translates into tangible risks for a downstream company like Delek. Honestly, the industry is already conducting a quiet, strategic retreat from long-term growth. Here's the quick map of the social pressure points:

• Phaseout Commitments: Over 100 countries signal support for a fossil fuel phaseout.
• Climate Disinformation: Growing support for countering climate disinformation from industry.
• Investor Scrutiny: Increased pressure on financial institutions to limit lending to coal and fossil fuel backers.
• Equity and Justice: Focus on a 'just, orderly and equitable transition' for workers and communities.

Workforce development is critical for specialized refinery operations and maintenance.

Maintaining safe and reliable operations requires a highly specialized and skilled workforce-Chemical Engineers, I & E Techs (Instrumentation and Electrical Technicians), and Welders. The industry faces a long-term challenge of attracting and retaining this technical talent, especially as the public narrative shifts toward renewable energy careers. This is a critical social factor because the average age of a refinery worker is often higher than in other sectors.

Delek US Holdings actively recruits for these specialized roles, offering Engineering Internships for the Summer 2025 and 2026 timelines in locations like El Dorado, AR, and Big Spring, TX. What this estimate hides, however, is the sheer cost and time required to train a new generation of workers to safely manage a 302,000 barrels per day operation. The company must continuously invest in technical training and apprenticeships to mitigate the risk of a 'brain drain' as experienced staff retire. This is a non-negotiable operational cost that has a direct social benefit in the local communities.

Delek US Holdings, Inc. (DK) - PESTLE Analysis: Technological factors

Combined crude throughput capacity is 302,000 barrels per day across four inland refineries.

The core of Delek US Holdings, Inc.'s (DK) refining technology platform is its combined nameplate crude throughput capacity of 302,000 barrels per day (BBL/d) across its four inland refineries in Texas, Arkansas, and Louisiana. This capacity is a fixed technological baseline, but the real leverage comes from the ability to process a diverse, cheaper crude slate, a capability that relies heavily on complex processing units and advanced controls. The company's focus is not on simply increasing this number, but on maximizing the value capture from every barrel run through the system.

This capacity is distributed across key US locations, a strategic technological advantage for inland markets. We're talking about a significant, non-trivial volume.

• Tyler, Texas: Refinery capacity.
• Big Spring, Texas: Refinery capacity.
• El Dorado, Arkansas: Refinery capacity.
• Krotz Springs, Louisiana: Refinery capacity.

Operational efficiency is improving via the EOP initiatives and catalyst upgrades.

The Enterprise Optimization Plan (EOP) is the primary technological and operational driver for efficiency. This isn't just a cost-cutting exercise; it's a systematic application of technology and process improvements to boost cash flow. The EOP is defintely working, with the company raising its annual run-rate cash flow improvement target to at least $180 million. In the third quarter of 2025 alone, Delek US Holdings recognized approximately $60 million of contribution from these EOP efforts.

This improvement comes from various technological levers, including process changes, better energy management, and, implicitly, catalyst upgrades that boost conversion rates and product yields in hydrocracking and catalytic reforming units. The EOP's success is visible in the Q3 2025 Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization), which hit $759.6 million (including Small Refinery Exemptions, or SREs). Here's the quick math on the EOP's impact:

Metric	Value (2025 Fiscal Year Data)	Source of Improvement
Annual Run-Rate EOP Cash Flow Improvement Target	At least $180 million	Process optimization, yield improvements, cost control
EOP Contribution Recognized in Q3 2025	~$60 million	Operational efficiencies across all business units
Refining Segment Adjusted EBITDA (Q3 2025)	$696.9 million	Strong margins, SREs, and EOP benefits

Delek Logistics Partners, LP (DKL) completed the new Libby 2 gas processing plant in 2025.

The midstream segment, Delek Logistics Partners, LP (DKL), significantly expanded its technological footprint in 2025 with the completion of the new Libby 2 natural gas processing plant in the Delaware Basin. Construction was completed in August 2025, providing a much-needed processing capacity expansion.

This facility is designed to handle up to 79,139 MCF/day (Million Cubic Feet per Day) of natural gas. The plan is to fill the plant to capacity in the second half of 2025 by adding 100 million to 120 million cfd of processing. This new capacity is crucial for serving third-party producers and enhancing DKL's premier position in the Permian Basin. Furthermore, DKL is adding Acid Gas Injection (AGI) and sour gas treating capabilities at the Libby complex, which are expected to be operational in the second half of 2025. This technology allows them to handle higher-sulfur, or sour, gas, unlocking previously restricted drilling areas for customers and reinforcing DKL's full year 2025 Adjusted EBITDA guidance range of $500 million to $520 million.

Continued investment in digital and process control automation is defintely necessary for margin capture.

While the EOP captures the overall financial benefit, the underlying technology driving it is digital and process control automation (PCA). You can't realize $180 million in annual run-rate improvements without modernizing the way you operate. This includes advanced process control (APC) systems, real-time data analytics for yield optimization, and integrated supply chain scheduling software. These systems translate market signals-like crack spreads, which were up 46.8% on average in Q3 2025 from the prior year-into immediate, automated adjustments in the refinery units. Without this digital backbone, the ability to capture those volatile, near-term margins would be severely limited. It's a continuous investment cycle.

Delek US Holdings, Inc. (DK) - PESTLE Analysis: Legal factors

US Environmental Protection Agency (EPA) granted over half of pending SREs for 2019-2024

The legal landscape for Delek US Holdings, Inc. (DK) is currently defined by a significant regulatory tailwind, specifically the resolution of long-pending Small Refinery Exemptions (SREs) under the Renewable Fuel Standard (RFS). The U.S. Environmental Protection Agency (EPA) granted full and partial exemptions for substantially all of the company's 20 petitions covering the 2019 through 2024 calendar years in August 2025.

This decision, which cleared a six-year backlog of SRE petitions, provides a material financial benefit and reduces a major source of regulatory uncertainty that had been hanging over the refining segment. It's a huge win, but you should defintely remember that these exemptions are politically sensitive and subject to ongoing legal scrutiny from biofuel advocates.

Q3 2025 financial results included a $280.8 million benefit from SRE grant recognition

The immediate financial impact of the SRE grants was dramatic, showing up directly in the company's third-quarter 2025 financial results. Delek US recognized a $280.8 million benefit related to the reduction in the cost of materials and other, specifically tied to the valid Renewable Identification Numbers (RINs) received from the prior-year SREs. This influx of value significantly bolstered the quarter's performance, driving a spike in key metrics. Here's the quick math on the SRE-related financial uplift in Q3 2025:

Financial Metric (Q3 2025)	Value Including SRE Benefit	SRE Benefit Impact
SRE Grant Recognition (Reduction in Cost)	N/A	$280.8 million
Adjusted EBITDA	$759.6 million	Approx. $441.0 million (Implied)
Adjusted EPS	$7.13 per share	N/A

The company also expects to receive approximately $400 million in cash proceeds from the monetization of these historical SRE grants over the next six to nine months, further strengthening its balance sheet and liquidity.

Renewable Fuel Standard (RFS) compliance costs remain a significant, volatile factor

While the SRE grants are a massive positive, the underlying volatility of the Renewable Fuel Standard (RFS) remains a core legal risk. The RFS mandates that refiners blend biofuels or purchase RINs to meet their Renewable Volume Obligations (RVOs).

The RFS is a cost Delek US must manage every single quarter. Looking ahead in 2025, the company's adjusted EBITDA and adjusted net income for the first nine months also included a benefit of approximately $160 million from recognizing a 50% reduction in RVO, anticipating potential 2025 SRE grants. This shows that the market is already pricing in a degree of continued SRE relief, but any change in EPA policy or a successful legal challenge could quickly reverse this expectation and bring back high compliance costs.

• RFS compliance is a major source of earnings volatility.
• Anticipated SREs for 2025 represent a potential $160 million benefit.
• The political environment is currently favorable, but legal challenges to SREs are ongoing.

Strict federal and state permitting for refinery operations and pipeline expansion

Beyond the RFS, Delek US Holdings faces a complex web of strict federal and state permitting requirements for its refining and logistics segments. The company's operations, which include four refineries and a vast network of pipelines and terminals, require numerous permits under environmental and safety laws, which are constantly subject to revocation, modification, and renewal.

For midstream expansion, like Delek Logistics' (DKL) projects, the legal path is especially complex. Interstate oil pipelines, unlike natural gas pipelines, do not have a single federal certification authority like the Federal Energy Regulatory Commission (FERC), forcing developers to navigate different state-specific regulatory and permitting regimes. This fragmented process adds time and risk to capital projects.

However, the regulatory environment is shifting in the company's favor. The new administration's January 2025 Executive Orders directed federal agencies to 'expedite the completion of all infrastructure' and 'remove existing regulatory barriers' to promote energy reliability. Plus, Congress is actively considering bills to simplify pipeline permitting, which could set firm deadlines for agencies and streamline the process. Still, the inherent legal risk remains, as evidenced by the company's disclosure of uncertainties regarding the Red River joint venture's ability to complete its pipeline capacity expansion project. You need to track legislative progress here, as it directly impacts DKL's growth capital efficiency.

Delek US Holdings, Inc. (DK) - PESTLE Analysis: Environmental factors

The environmental landscape for Delek US Holdings, Inc. (DK) is defined by a dual focus: significant investment in carbon mitigation technology and the escalating financial impact of regulatory compliance and climate risk disclosure.

Carbon capture pilot project at Big Spring refinery aims to capture ~145,000 metric tons of CO2 per year.

Delek is actively pursuing carbon capture and sequestration (CCS) to decarbonize its operations, a critical move for a hard-to-abate sector like refining. The company's Big Spring refinery was selected by the U.S. Department of Energy's (DOE) Office of Clean Energy Demonstrations for a large-scale carbon capture pilot project. This is a big deal.

The project is designed to capture approximately 145,000 metric tons of carbon dioxide ($\text{CO}_2$) annually from the refinery's Fluidized Catalytic Cracking Unit (FCCU). The DOE is providing a substantial 70% cost-share, committing up to $95 million in federal funding for the project's development. In late 2024, the project was awarded $4 million to begin Phase 1 activities, which includes the Front-End Engineering Design (FEED) study, placing the initial financial commitment squarely in the 2025 fiscal year.

Carbon Capture Project Metric	Value (2025 Fiscal Year Data)	Source/Context
Target Annual $\text{CO}_2$ Capture	145,000 metric tons	From Big Spring Refinery's FCCU.
Maximum DOE Federal Funding	Up to $95 million	Represents 70% cost-share for project development.
Phase 1 Award Amount (Nov 2024)	$4 million	Initial funding for Front-End Engineering Design (FEED) study.

Focus on reducing carbon intensity to meet 2030 reduction goals.

The company has shifted its primary decarbonization metric from absolute emissions to carbon intensity, which is a more meaningful measure for a refining business whose throughput can fluctuate. Delek's updated commitment is to achieve a 25% reduction in Scope 1 and Scope 2 greenhouse gas (GHG) emissions intensity by 2030, using a 2022 baseline.

The carbon intensity of the refining operations remained relatively stable from 2022 through 2024, but a slight dip was observed between 2023 and 2024, indicating early progress from energy efficiency initiatives. Energy efficiency is a low-cost, high-impact action. For instance, 50% of Delek Logistics (DKL) terminals were updated for LED light use by the end of 2024, with the remaining 50% scheduled for completion by the end of 2025.

Increasing stakeholder and regulatory demands for enhanced climate risk disclosure.

The regulatory environment is rapidly hardening, driving a need for greater transparency. Delek is aligning its reporting with the Task Force on Climate-related Financial Disclosures (TCFD) framework and preparing for the new U.S. Securities and Exchange Commission (SEC) Climate Disclosure rules, which were finalized in early 2024 and are expected to be effective in 2025.

This increased scrutiny means a greater focus on Scope 3 emissions (those from product use), which for a refiner are significant. The company regularly engages with its largest shareholders to manage expectations around climate-related risks and opportunities. Honestly, this is now a cost of doing business, not an optional exercise.

Risk of litigation and financial penalties due to environmental incidents or non-compliance.

The oil and gas industry faces persistent litigation risk (including citizen suits) and financial penalties for non-compliance with the Clean Air Act and Clean Water Act. While a major new fine has not been reported for 2025, the risk remains high, as evidenced by a historical settlement where Delek Logistics paid a total of $2,255,460 in civil penalties to the U.S. and Arkansas in 2019 for a 2013 oil spill.

A more immediate, and financially positive, regulatory event in 2025 was the resolution of past Renewable Volume Obligation (RVO) compliance periods. In the third quarter of 2025, Delek recognized a massive $280.8 million benefit related to the reduction in the cost of materials and other expenses after being granted Small Refinery Exemptions (SREs) by the U.S. Environmental Protection Agency (EPA). What this estimate hides is the ongoing uncertainty of the SRE process, which can swing a quarter's financials dramatically. The company also expects proceeds of approximately $400 million from the monetization of historical SRE grants over the next six to nine months, further underscoring the volatility of environmental policy on the bottom line.

• Reduce land-impacting releases: The number of releases impacting land decreased by almost 70% in 2024 from 2023 levels.
• Manage water use: Freshwater withdrawn (by intensity) decreased by more than 17% in 2023.