Valero Energy SWOT Analysis, Competitors, STP & USP

Valero Energy

Oil and Gas

Energy & Power

Refining Excellence

Fortune 500 international manufacturer and a marketer of transportation fuels

Corporates and individuals in US, Canada, the UK and Aruba looking to fulfill energy needs

Enterprises looking to produce energy , people who depend on  petrol,  diesel for vehicles and domestic uses

Full filing the energy needs of US, Canada, the UK and Aruba

Below are the Strengths in the SWOT Analysis of Valero Energy:

1.With a combined throughput capacity of approximately nearly three million bpd, Valero is the largest refiner in North America
2.Large conversion capacity and feedstock flexibility enables Valero to convert more low.quality, discounted feedstock into high quality products and charge premium rates
3.Valero has more catalytic cracking and coking capacity than some refining companies' total conversion capacity
4.The diverse product portfolio enables the company to fulfill various consumer needs and protect itself against demand fluctuations for certain specific products.

5.Employ approximately 10,500 people, and assets include 16 petroleum refineries with a combined throughput capacity of approximately 3 million barrels per day

Here are the weaknesses in the Valero Energy SWOT Analysis:

1.Low refining margins in the ethanol segment
2.High dependence of Valero on the US market exposes it to the risk of economic slowdown and government regulations
3.Lack of own supply of feed stocks

Following are the Opportunities in Valero Energy SWOT Analysis:

1.Expansion of  its non.conventional fuels business through various initiatives to diversify its fuel output and open up a new source of revenue generation for the company as well as diversify its business risks
2.New pipeline expansion projects to transport Canadian crude oil will further boost crude oil logistics between key markets and consequently render a cost advantage to refining companies
3.Increased shale oil and gas production within the US will create resource and cost advantages to North American refineries

The threats in the SWOT Analysis of Valero Energy are as mentioned:

1.Operations are subject to extensive federal, state, and local environmental laws and regulations
2.Operational hazards and uninsured risks
3.Financial and operational performance is highly dependent on commodity prices in the market.

Below are the top 3 Valero Energy competitors:

1.Alon USA Energy, Inc.

2.BP Plc

3.Chevron Corporation