Texas Transit Association

Ultra Low Sulfur Diesel to be supplied by Valero Energy. More.

Valero to provide clean-burning fuel for Houston METRO
July 22, 2003, San Antonio Business Journal

Valero Energy Corp. (NYSE: VLO) has been awarded a one-year contract, with a one-year renewal option, to supply 13 million gallons of Ultra Low Sulfur Diesel (ULSD) to the Metropolitan Transit Authority of Harris County (METRO) for its bus operations.

METRO will begin using ULSD, the latest in clean-burning fuels, for its entire fleet of 1,460 buses as one step in a plan to control emissions as required by the Environmental Protection Agency.

“As a leader in the transportation industry, we are committed to our community and concerned about the environment,” says METRO President and CEO Shirley A. DeLibero. “We are focused on improving the quality of air and determined to set a new standard in delivering reliable and safe service in the most environmentally friendly manner possible. This partnership with Valero will help us to do just that.”

METRO, based in Houston, is the largest mass transit company in Texas.

“This effort is very important to us since we are committed to producing clean fuels,” says Bill Greehey, chairman and CEO of Valero. “By introducing this clean diesel well before it’s mandated and by teaming up with companies operating private and public fleets, such as METRO, we can help significantly improve air quality in major cities now.”

Valero is capable of producing 20,000 barrels per day (BPD) of ULSD at its Three Rivers refinery located in South Texas, and is exploring the possibility of producing additional barrels at its McKee refinery, in the Texas Panhandle. Outside of Texas, the company’s Wilmington, Calif., refinery is able to produce 30,000 BPD of ULSD.

Valero is a Fortune 500 company based in San Antonio, with about 20,000 employees and annual revenues of nearly $30 billion. The company currently owns and operates 14 refineries in 13 locations throughout the United States and Canada with a combined throughput capacity of approximately 2 million barrels per day. Valero is also one of the largest retail operators with approximately 4,100 retail outlets in the United States and Canada under various brand names including Diamond Shamrock, Ultramar, Valero, Beacon and Total.