Valero 2004 Annual Report Download - page 13

Download and view the complete annual report

Please find page 13 of the 2004 Valero annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 32

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32

1 0
Va l e r o ฀ E n e r g y ฀ C o r p or a t i o n
s u m m a r y ฀ a n n u a l ฀ r e p o r t
1 1
Va l e r o ฀ E n e r g y ฀ C o r p or a t i o n
s u m m a r y ฀ a n n u a l ฀ r e p o r t
1 0
Va l e r o ฀ E n e r g y ฀ C o r p or a t i o n
s u m m a r y ฀ a n n u a l ฀ r e p o r t
1 1
Va l e r o ฀ E n e r g y ฀ C o r p or a t i o n
s u m m a r y ฀ a n n u a l ฀ r e p o r t
SUPERIOR฀OPERATIONS,฀SPECTACULAR฀RESULTS
This฀strategy฀is฀the฀root฀of฀Valero’s฀success฀and฀this฀
successful฀strategy฀continues฀today.฀In฀fact,฀the฀strategic฀
projects฀Valero฀implemented฀in฀its฀refineries฀in฀2004฀
and฀2005฀are฀expected฀to฀add฀$175฀million฀in฀
incremental฀operating฀income฀in฀2005฀alone!฀
And,฀as฀a฀result฀of฀the฀capital฀investments฀made฀since฀
Valero฀decided฀to฀focus฀on฀growing฀its฀refinery฀system฀
in฀1997,฀Valero฀has฀added฀approximately฀381,000฀
barrels฀per฀day฀of฀refining฀capacity฀–฀the฀equivalent฀฀
of฀a฀world-scale฀refinery!
INTELLECTUAL฀ASSETS฀฀
ARE฀THE฀BEST฀INVESTMENTS
As฀an฀independent฀refiner,฀Valero฀has฀other฀unique฀
assets฀that฀contribute฀to฀its฀operational฀success฀–฀people฀ who฀are฀experts฀in฀specific฀areas.฀For฀example,฀Valero฀
has฀an฀expert฀on฀cat฀crackers,฀an฀expert฀on฀reformers,฀
and฀an฀expert฀on฀cokers.฀So,฀when฀the฀company฀
acquires฀a฀refinery฀–฀especially฀one฀that฀may฀have฀
had฀operating฀problems฀in฀the฀past฀–฀Valero฀sends฀its฀
best฀people฀from฀its฀various฀refineries฀to฀work฀side-
by-side฀with฀the฀new฀employees.฀Valero’s฀seasoned฀
workers฀observe,฀mentor,฀share฀best฀practices฀and฀
train฀the฀new฀employees฀–฀always฀making฀safety฀฀
the฀top฀priority.฀
Valero’s฀successful฀strategy฀includes฀a฀synergistic฀refining฀
system฀that฀breeds฀efficiency,฀superior฀operational฀
flexibility,฀outstanding฀refinery฀leadership฀teams฀and฀
excellent฀refinery-upgrading฀capacity.฀These฀qualities฀
combined฀with฀the฀increasing฀global฀demand฀for฀
cleaner-burning฀fuels฀and฀other฀high-value฀products฀
makes฀the฀company’s฀strategy฀a฀long-term฀winner.
REFINERY฀COMPLEXITY
COMPARISON
AS฀OF฀JULY฀2004
A฀LEADER฀IN฀UPGRADING฀CAPACITY
CONVERSION฀CAPACITY1