Greg Garland, CEO of Phillips 66

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Greg Garland was designated the Chairman and CEO of Phillips 66, the new Downstream company created with the split-up of ConcoPhillips on May 1, 2012. Garland is expected to take charge on May 1, 2012. Greg Garland was senior vice president, Exploration and Production, Americas for ConocoPhillips at the time of the split. Photo: ConocoPhillips
A sculpture of Phillips 66 in front of the Price Tower (designed by Frank Lloyd Wright) in Bartlesville, a city in NorthEast Oklahoma that was formerly the headquarters of Phillips Petroleum Company. “I picked this company because of Bartlesville,” said Phillips 66 CEO Greg Garland. “Four times over the course of 32 years I’ve lived here. We have good memories of Bartlesville, Oklahoma, and it’s always going to be a very special place to me personally.” Bartlesville has the same pride in Frank Phillips and of its century-long oil heritage as Ponca City has of oil pioneer EW Marland.

Contents

Greg Garland, Chairman, President and CEO of Phillips 66

On October 7, 2011, Greg Garland was designated the Chairman and CEO of Phillips 66, the new Downstream company created with the split-up of ConcoPhillips on May 1, 2012. Greg Garland was senior vice president, Exploration and Production, Americas for ConocoPhillips at the time of the split. Garland was previously president and chief executive officer of Chevron Phillips, a joint venture between ConocoPhillips and Chevron, with approximately 5,000 employees that is one of the world’s top producers of olefins and polyolefins and a leading supplier of aromatics, alpha olefins, styrenics, specialty chemicals, piping, and proprietary plastics.[1][2]

According to George Pilko, founder of Pilko & Associates, a Houston- based company that advises chemical and energy companies on risk, Garland understands strategy, is a good leader and has a demeanor that makes him well liked by people who work for him. “He’s got a very effective, relaxed manner,” says Pilko. “Many CEOs are so hyper and wound tight, and Greg is always relaxed and in control.”[3]

Garland's Education and Background

Garland was the first in his family to go to college.[4] Garland received a Bachelor of Science degree in chemical engineering from Texas A&M University in 1980. Texas A&M reported on October 30, 2014 that Garland presented a check for $1 million on behalf of Phillips 66 to the Texas A&M Foundation that will support the university’s new Engineering Education Complex (EEC). “Phillips 66 is committed to investing in education,” said Greg C. Garland, chairman and CEO of Phillips 66, and a Texas A&M chemical engineering graduate. “We need leaders from schools such as Texas A&M who will challenge the status quo and create solutions to meet rising energy needs in the decades ahead.” The company’s contribution will be used to create the “Phillips 66 Experiential Learning Laboratory” within the EEC. The new lab will help better prepare engineering students to meet the evolving needs of the engineering marketplace.[5][6]

Garland has more than 30 years of industry experience in technical and executive leadership positions with ConocoPhillips, its predecessor Phillips Petroleum Company, and Chevron Phillips Chemical Company. Garland has been with Phillips for his entire 32-year career. Garland was previously president and chief executive officer of Chevron Phillips, a joint venture between ConocoPhillips and Chevron. Before his election to that position, Garland served Chevron Phillips as senior vice president, Planning & Specialty Chemicals.[7][8]

Garland served as general manager of Qatar/Middle East for Phillips, a position he assumed in 1997.[9] Garland said that taking the job in Qatar in 1997 to manage one of the first oil operations in the Middle East for Phillips was a turning point in his career. Garland says that although he didn’t want to take the job initially, he learned to view the company with a broad perspective.[10]

From 1995 to 1997, he served as general manager of natural gas liquids after serving as manager of planning and development in planning and technology. From 1992 to 1994, he was manager of the K-Resin® business unit. Garland began his career with Phillips in 1980 as a project engineer for the Plastics Technical Center. He later worked as a sales engineer for Phillips' plastics resins, business service manager for advanced materials, business development director, and olefins manager for chemicals.[11]

How Garland Was Selected for CEO of Phillips

By October 2010, CEO James Mulva was expected to retire within two years and wanted to establish a cabinet of possible successors. On October 7, 2010, ConocoPhillips announced a sweeping overhaul of its executive suite. The executive changes included the departure of the president and chief operating officer, John Carrig, and the chief financial officer, Sigmund Cornelius, as well as two senior level vice presidents. ConocoPhillips spokeswoman Cathy Cram said the changes are part of a plan to provide for a smooth transition in anticipation of Mulva’s retirement. “You can assume the next leader will come from this team,” Cram said. “They’ve been taking a lot of steps to position the company as well as they can for Mulva’s successor,” said Phil Weiss, an energy analyst with Argus Research who said he was pleased the company had lined up management with strong operations experience. “One of the biggest issues that many people believe Conoco faces is a somewhat lackluster production portfolio, as compared to other large integrated companies,” he said. “I was of the opinion that to have someone with an operating background would be better than somebody that doesn’t.”[12]

Tom Fowler reported in FuelFix on October 7, 2010 that the management team reporting to Mulva at the end of the shakeup consisted of:

  • Alan Hirshberg, senior vice president, planning & strategy; formerly vice president, worldwide deep-water and Africa projects, for Exxon Mobil;
  • Greg Garland, senior vice president, exploration and production-Americas; formerly president and CEO of Chevron Phillips Chemical Co;
  • Jeff Sheets, senior vice president, finance and chief financial officer; formerly senior vice president, commercial and planning and strategy;
  • Willie C.W. Chiang, senior vice president, refining, marketing & transportation, adding responsibility for the company’s commercial business activities;
  • Ryan Lance, senior vice president, exploration and production, international, and
  • Larry Archibald, senior vice president, exploration and business development, continuing in those roles.[13]

Tom Fowler reported in FuelFix on October 7, 2010 that since 2006 about a dozen executive-vice-president-level staff members moved on from ConocoPhillips, for a wide range of reasons and that a number of observers note there’s been an oversized churn of talented executives from ConocoPhillips who one might have expected to stick around longer. According to Fowler some observers think the turnover may have more to do with the command-and-control management style of Chairman and CEO Jim Mulva than the day-to-day stress of working at an oil major. “It sounds like the head coach firing all the assistant coaches for a bad season, when it’s really the head coach who’s the problem,” said one analyst. A former ConocoPhillips executive puts it another way: The company is seen by many as a major international corporation with an Oklahoma mentality (he’s referring to the Bartlesville, Okla. roots of Phillips Petroleum, where Mulva worked when the firm merged with Conoco in 2002). "The latest round of departures is to clear the way for a likely successor to Mulva, who is expected to leave in a couple of years," writes Fowler. "It appears outgoing COO John Carrig didn’t have the operations background the company wanted to fill that role."[14]

Brian Youngberg, an analyst with Edward Jones, says Garland's selection as CEO of Phillips was likely due to Garland's experience as chief executive officer of Chevron Phillips because he brings a wider view to Phillips including chemicals, the likely growth engine for the downstream company. Youngberg said Phillips will continue to de-emphasize refining over time, so "having someone with a broader background like Garland makes sense." ConocoPhillips brought in Garland in 2010 to oversee exploration and production in a management shake-up that included the retirement of former Chief Operating Officer John Carrig, who had been seen as Mulva's successor.[15]

Garland, who formerly headed Chevron Phillips Chemical, was selected to head the new company over Willy Chiang, senior vice president of ConocoPhillips' refining division.[16] Oxy reported on May 23, 2012 that Chiang left Phillips 66 and went to work as Executive Vice President, Operations at Occidental Petroleum Corporation with responsibility for oversight of Occidental’s Midstream businesses.[17] Kristen Hays wrote at Reuters on October 7, 2011 that according to Deutsche Bank analyst Paul Sankey "we believe that Chiang sees himself as a future CEO, and he would have to find that role in a different company."[18]

Latest News About Greg Garland

September 11, 2012: Bartlesville a Special Place for Garland

The Tulsa World reported on September 12, 2012 that Garland spoke on September 11, 2012 at a packed Bartlesville Area Chamber of Commerce Forum at the city's community center downtown carrying on a tradition started several years ago by his predecessor, ConocoPhillips CEO Jim Mulva. Garland was adamant that Bartlesville's value as a global web center, combined with its heritage as home city of the original Phillips Petroleum Co. always make it important to the company's future plans. "We have deep roots here," Garland said adding that he visits the company's local operations several times a year. "It's a cost-efficient place for us to do business. I think we made the right decision." Garland noted that office space is almost maxed out locally, so he does not see more than "modest growth" adding to the 2,000 jobs Phillips 66 already has in Bartlesville. Garland was recruited out of Texas A&M by Phillips and lived many years in Bartlesville with his wife and four children.[19]

The Bartlesville Examiner-Enterprise reported on September 12, 2012 that Garland went to work for Phillips 66 as his first job out of college because of Bartlesville. “I picked this company because of Bartlesville. Four times over the course of 32 years I’ve lived here. We have good memories of Bartlesville, Oklahoma, and it’s always going to be a very special place to me personally," said Garland. “As we were approaching the repositioning and spinning Phillips 66 out of ConocoPhillips, there was never any question that Bartlesville would continue to be a strategic and important part of our company, in the support of our company operations, for a very long time."[20]

September 11, 2012: Conoco the Only Company That Didn't Offer Garland a Job

In an anecdote that reveals Garland's humorous side and long memory, Garland told members of the Bartlesville Chamber of Commerce during his speech in September 2012 that when Garland was looking for his first job as a chemical engineer after graduating with honors from Texas A&M in 1980, Garland interviewed with 17 companies but only received job offers from 16 of the companies. More than thirty years later, Garland was still able to quote from memory to his Bartlesville audience the contents of the rejection letter he received from the only company that did not offer him a job. According to Jessica Miller writing in the Bartlesville Examiner-Enterprise, when Garland disclosed the name of the one company that did not offer him a job, "his revelation of the company — Conoco — garnered laughter from the audience."[21]

August 27, 2013: Garland Recognizes Contribution of E. W. Marland

ConocoPhillips announced on November 11, 2011 that the new independent downstream company created through its previously announced strategic repositioning would be named Phillips 66. When Phillips went public on May 1, 2012, Garland recognized the contribution of Frank and L.E. Phillips and the company's "birthplace" in Bartlesville, Oklahoma in 1917. "With a history that goes all the way back to petroleum industry "birthplace," in Bartlesville, Oklahoma in 1917, the company will be a leading independent company with refining, marketing, midstream and chemicals businesses operating across the globe. "Phillips 66 has strong brand recognition and value and it provides a link between our rich history and our exciting future," said Greg Garland, designated chairman and chief executive officer of Phillips 66. "Our name reflects an independent spirit and drive--two attributes of our future company."[22] According to the ConocoPhillips web site "the name Phillips 66 was chosen [for the new downstream company] because it has strong brand recognition and value, which allows us to link our rich history and our exciting future. The name represents the independent spirit and drive that will be part of the culture of Phillips 66."[23] The new company's name capitalizes on the public awareness and gives tribute to history, Garland added.[24]

On August 27, 2013 Garland spoke to the Bartlesville Chamber of Commerce and said that the reputation and success of Phillips were built from the “giants” who first created the company and recognized E. W. Marland's contribution for the first time. “We are standing on the shoulders of giants,” said Garland. “People like E. W. Marland, who started Marland Oil in 1911, and Frank and L. E. Phillips that started Phillips Petroleum in 1917. I could go on and on and list the giants that have come before us that have so well positioned this company for the success that we enjoy today.”[25]

August 13, 2014: Garland Wants to Find a Company to Lease the North and South Towers in Ponca City

The North Tower and the South Tower, part of Phillips 66's Refinery Complex in Ponca City, contain over 250,000 square feet of Class A office space that is essentially unused. Photo: Hugh Pickens
Ponca City resident Hugh Pickens (left) speaks with Phillips CEO Greg Garland (right)[26] about the disposition of the North Tower, South Tower, and Research West after Garland's speech to the Bartlesville Chamber of Commerce on August 13, 2014.
The 587 foot tall Mammoet PTC 140 crane, seen here from North First Street, towers over the Refinery Complex in Ponca City. The supercrane was used to move two new 232 ton coker reactor units within the refinery on September 29, 2013. Phillips was willing to invest $70 million in the two new coker reactor units because the Ponca City Refinery is one of the best run, safest, and most profitable of Phillips' fifteen worldwide refineries and Garland wants the refinery in Ponca City to continue to run smoothly and profitably. This photograph of the supercrane in Ponca City was taken from almost two miles away from the crane. Photo: Hugh Pickens All Rights Reserved.
Some of Phillips 66's other refineries do not run as safely or trouble-free as the refinery in Ponca City says Hugh Pickens, a private investor who closely follows Phillips' worldwide refinery operations. "For example, the Borger Refinery, operated by Phillips 66 since 1927[27], has a troubled history that includes two employee deaths and eleven injured by deadly fumes from a paralyzing gas in 1979 for which OSHA cited Phillips for "willful and serious" safety violations," says Pickens. More recently Phillips' Borger Refinery suffered three serious employee injuries in March, 2014, an employee fatality in 2012, a penalty for violations of the Clean Air Act in 2014, and an unscheduled shutdown in July, 2014 that closed down the refinery for 35 days for repairs. "Borger hasn't run well this year," says Garland.[28][29] [30] [31] [32][33] [34] [35] [36] [37] [38] [39][40] Borger Refinery Photo by: Philip Klein All Rights Reserved. Photo used with permission of the photographer
Ponca: A Core Asset. Phillips CEO Greg Garland told members of the Bartlesville Chamber of Commerce on August 27, 2013 that the refinery at Ponca is a 'core asset' of Phillips 66. The refinery in Ponca City "is making very good money for us," Garland told his Bartlesville audience. Garland added that he expects gas demands in the U.S. to decline by 20 percent in the next 10 years, but that demand for refined products in South America and Africa will more than offset that decline.[41]

Phillips 66 CEO Greg Garland spoke to over 250 community leaders at the Bartlesville Chamber of Commerce on August 13, 2014 about initiatives Phillips is taking to benefit communities in the state of Oklahoma including Phillips 66's new initiative to expand the Research Center in Bartlesville and Phillips 66's gift of $1.7 million to Bartlesville Public Schools to create new innovative laboratories on three school campuses to support science, technology, engineering and math classes and research projects.[42][43]

With regard to Ponca City, Garland announced at the forum that Phillips 66 has been working hard with state and local officials to figure out what to do with the North and South Towers and if Phillips and Ponca City can find a company or companies that would like to use those buildings, "I think we would like to go down that route." Garland praised the buildings and their condition effusively. "I did a refinery review in Ponca City the week before last. We actually had our review in the Marland Board Room. It is a beautiful building, a great facility," said Garland. "There is no question that these are great buildings that are part of the rich heritage of Ponca City."[44]

Garland's public statement about the North and South Towers came in response to a question from the audience from Ponca City resident Hugh Pickens. "Phillips 66 has two beautiful, nine-story office buildings in Ponca City, the North and South Towers, that together contain over 250,000 square feet of Class A office space suitable for several hundred employees that have been essentially vacant for several years," said Pickens. "Could you talk about what options you are considering for these two empty office towers? Specifically, what are the chances that you are going to continue to leave the buildings vacant, tear the two buildings down, or sell or lease them to a company or companies that could utilize them to benefit the community of Ponca City and could you share your rationale for your decision."[45]

The reason there is so much unused office space at the refinery complex is that on February 17, 2009 ConocoPhillips announced they had decided to relocate all of its 750 non-refinery positions out of Ponca City within two years and that the first 250 jobs would be moved in 2009 with 180 jobs going to Houston and 70 jobs to Bartlesville. The positions moving first included jobs in technical services, research and development, engineering and support, human resources and Internet technology, among others. Management met with hundreds of Ponca City employees to tell them the news. "It’s a difficult time in general for all ConocoPhillips employees," said ConocoPhillips spokesman Tracy Harlow. "We made the strategic decision to consolidate locations for the most effective corporate operations." The decision to consolidate operations in Bartlesville and Houston was made by ConocoPhillips CEO Jim Mulva, formerly President and CEO of Phillips 66 before the merger with Conoco.[46]

"What can citizens of Ponca City do to support and encourage Greg Garland's initiative? First, if you are an employee of Phillips 66, thank Refinery Manager Tim Seidel for Garland's initiative and for Phillips 66's willingness to work with our community. Tell Mr. Seidel how important this is for Ponca City and offer your support for Phillips' decision to work with local Ponca City officials at the Ponca City Development Authority (PCDA) to find companies that will come to Ponca City to occupy space in the North Tower, South Tower, and Research West," says Pickens. "It is also extremely important that retirees of Conoco, ConocoPhillips, and Phillips 66 make their voices heard. Retirees are very influential because they know first hand the world-class resources at the refinery complex and how they have gone unused for so many years. For example, when you meet with Phillips managers and executives at retiree meetings, tell them that you do not want to see the North and South Towers torn down, that these facilities still have many years of good service left in them, and tell Phillips managers and executives that you know that Phillips 66, working together with the community of Ponca City, can use these buildings to benefit both Phillips and Ponca City."

Garland told community leaders at the Bartlesville Regional Chamber of Commerce forum that the company’s commitment to Bartlesville continues and that there are no plans to close any of the Bartlesville facilities or move any of Phillips' 2,000 employees out of Bartlesville. “Bartlesville is a special and unique place,” said Garland. “It has a rich part of our heritage and our legacy. It is important today. It will be important in the future of Phillips 66… A big part of the day-to-day operations and the successes of Phillips 66 are born by the people here in Bartlesville.” Even with expansion at the Houston headquarters, Garland said that the space there is already at capacity and the Bartlesville facilities will continue to be full as well. Garland talked about an expansion that is currently underway at the Research Center in Bartlesville to continue the development of polyethylene technologies.[47]

During his talk to the Bartlesville Chamber, Garland also announced that Phillips will be giving $1.7 million to Bartlesville Public Schools to create new innovative laboratories on three school campuses to support science, technology, engineering and math classes and research projects. “We want to create a place where our students will come and be excited, be challenged and hopefully be encouraged to follow a career at a place like Phillips 66,” Garland said. “We want to put the right kind of tools in the hands of students in Bartlesville so they can be more successful.”[48] An application by the Ponca City School System for a STEM grant under the Signature Community Initiative was turned down by Phillips 66.[49]

The funds came through a Phillips 66 Signature Community Initiative grant application submitted to the company under an effort spearheaded by Scott Bilger, a Bartlesville school board member and Phillips 66 employee, and Granger Meador, a physics teacher who heads up Bartlesville High’s science department. The new laboratories and major new course offerings will be at the high school, along with Madison and Central Middle Schools. “We are just really, really excited about the opportunity this is going to provide our students,” Superintendent Gary Quinn said. “It cannot be overstated what this is going to mean to our students.”[50]

September 25, 2014: Garland Places Ethics and Safety at the Top of His List

The Daily Cougar reported on September 25, 2014 that Phillips CEO Greg Garland spoke to students at the Bauer College of Business at the University of Houston on September 23, 2014 about the importance of ethical responsibility in the business world and the place of responsible, socially conscious decisions in modern commercial enterprise as part of the school’s ongoing “Distinguished Leaders Program." “You’ve got to have high standards if you’re going to be ethical. It has to start at the very top,” Garland said. “(I) fundamentally disagree with people who say that energy companies can’t be good corporate citizens … I think that good ethics makes for good business.” Garland stressed that aside from being the responsible and morally correct decision, good ethical business and environmental safety is also profitable long-term. “We have people who invest literally billions of dollars in our company, and I want them to know they’re investing in safety,” Garland said. “One major accident can absolutely devastate shareholder value.” Garland also offered some words of encouragement to UH students entering the energy industry. “Your education is actually just the launching pad for a lifetime and career of learning in this industry,” Garland said. “And if you’re at the top of your class, I want to talk to you after the show.”[51]

Other Board Memberships

On October 16, 2013 Amgen Inc. announced the appointment of Garland to the Company's Board of Directors. Garland will serve on the Governance and Nominating Committee and the Audit Committee of the Board. "We are pleased to welcome Greg Garland to the Amgen Board," said Robert A. Bradway, Chairman and CEO of Amgen. "In addition to his leadership experiences as a chief executive officer, Greg brings more than 30 years of international experience in a highly regulated industry. At a time when Amgen is expanding its global presence to serve more patients, we look forward to Greg's contributions to the Board."[52]

Garland's Compensation as CEO of Phillips

Businessweek reports that as of the fiscal year 2012 Garland's Total Annual Calculated Compensation is $14,423,038 including his salary and stock options.[53]

Master Index for Phillips 66 Articles

References

  1. ConocoPhillips "Greg C. Garland" retrieved April 23, 2012.
  2. Chevron Phillips. "Company Overview" retrieved November 10, 2013.
  3. Businessweek. "Conoco Names CEOs for New Production, Refining Companies" by Jim Polson and Edward Klump. October 7, 2011.
  4. University of Colorado. "Greg Garland, Phillips 66 CEO, visits CU-Boulder" April 25, 2013.
  5. Texas A&M. "Texas A&M Engineering Education Complex receives major donation from Phillips 66" October 30, 2014.
  6. Phillips 66. "Greg Garland" retrieved November 5, 2015.
  7. Barrons. "Wall Street Should Pump Up Phillips 66's P/E" by Andrew Bary. June 9, 2012.
  8. ConocoPhillips "Greg C. Garland" retrieved April 23, 2012.
  9. ConocoPhillips "Greg C. Garland" retrieved April 23, 2012.
  10. University of Colorado. "Greg Garland, Phillips 66 CEO, visits CU-Boulder" April 25, 2013.
  11. ConocoPhillips "Greg C. Garland" retrieved April 23, 2012.
  12. FuelFix. "Line of succession: ConocoPhillips overhauls its executive ranks" by Tom Flowler. October 7, 2011.
  13. FuelFix. "Line of succession: ConocoPhillips overhauls its executive ranks" by Tom Flowler. October 7, 2011.
  14. FuelFix. "ConocoPhillips keeps looking for Dream Team, but what about the coach?" by Tom Fowler. October 7, 2010.
  15. Reuters. "ConocoPhillips names insiders to head new units" October 7, 2013.
  16. Houston Chronicle. "ConocoPhillips split becomes official as company 'shrinks to grow'" by Simone Sebastian and Emily Pickrell. April 30, 2012.
  17. Oxy. "Occidental Petroleum Corporation Names WCW Chiang Executive Vice President, Operations" May 23, 2012.
  18. Reuters. "ConocoPhillips names insiders to head new units" October 7, 2011.
  19. Tulsa World. "Spinoff of Phillips 66 positive, profitable, CEO Greg Garland tells Bartlesville chamber" by Rod Walton. September 12, 2012.
  20. Bartlesville Examiner-Enterprise. "CEO: City strategic to Phillips 66" by Jessica Miller. September 13, 2012.
  21. Bartlesville Examiner-Enterprise. "CEO: City strategic to Phillips 66" by Jessica Miller. September 13, 2012.
  22. CSPNet. "Phillips 66 Rises Again" November 11, 2012.
  23. ConocoPhillips "FAQs:Why was the name Phillips 66 chosen?" retrieved April 26, 2012.
  24. Houston Chronicle. "Spun-off refiner gets Phillips 66 name" by Simone Sebastian. November 10, 2011.
  25. Bartlesville Examiner-Enterprise. "Phillips 66 CEO praises city" by Kelcey King. August 28, 2008.
  26. Fortune Magazine. "Fortune 500 for 2014 - Phillips 66" retrieved October 7, 2014.
  27. Borger by Jane Snyder Agee. Copyright 2012. page 49.
  28. The statement that Borger refinery has a "troubled history" is the result of analysis by Hugh Pickens. See following footnotes.
  29. The Frederick Daily Leader reported on October 26, 1979 that two refinery workers trying to repair equipment at the Phillips Petroleum refinery at Borger, Texas were killed and 11 other were injured by deadly fumes from a paralyzing gas or acid lead in the area where they were working. One of the injured was in "very critical" condition. The accident occurred when either hydrogen sulfide gas or hydrflouric acid began leaking. "Apparently, ther was just a leakage of gas, said Jim Ormsby, director of human resources at Phillips. Ormsby said the situation had been brought under control and work at the plant was not interrupted. Frederick Daily Leader. "Fumes at Refinery Kill Two, Injure 11 Borger Workers" October 26, 1979.
  30. Officials said they were relatively certain the disabling fumes were from hydrogen sulfide gas that dissipated quickly, but the substance could have been dhydroflouric acid. A Lubbock, Texas, doctor said strong doses of hydrogen sulfide immediately paralyze the respiratory system and can kill within seconds. The gas is very dangerous, the doctor said, because it quickly overcomes a person's sense of smell. Ormsby said the 13 workers had been overhauling an "alkylation unit" at refinery unit 22 in recent weeks and "were getting it ready to start up." The fumes from the leak drifted over a platform crowded with workers after 1 pm, Ormsby said. Times-Union. "Fumes From Leakage At Refinery Kill 2" October 26, 1979.
  31. Phillips Petroleum was fined $19,600 for violating government safety regulations in connection with the death of the two workers at Borger Refinery. OSHA cited Phillips for "two willful and two serious" safety violations after the two workers fell to their deaths after they inhaled lethal gas on October 25, 1979 during a maintenance check of a special refinery tower at the refinery. Willful violations are those committed with an intentional disregard of, or plain indifference to, the requirements of the Occupational Safety and Health Act and OSHA regulations. A serious violation is defined as one in which there is a substantial probability that death or serious physical harm could result, and the employer knew or should have known of the hazard. Jerry Bailey, OSHA's area director, said that while the autopsies were inconclusive, there was "strong evidence" to show the men died from hydrogen sulfide poisoning. The Prescott Courier. "Oil Firm Fined in Deaths" December 28, 1979.
  32. Bailey added that an OSHA inspector noted the two men did not have respirators, breathing equipment or facial protection available to them when toxic gas spewed from a pipe thought to be empty. "We feel that had Phillips been in compliance with regulations, the deaths could have been prevented," Bailey said. Lawrence Journal-World "Report Says Phillips Hit with Safety Fine" December 30, 1979.
  33. Dan Murtaugh reported at Businessweek on July 3, 2014 that Phillips plans to shut most of its Borger Refinery for as long as 35 days after it was unable to recover from a power failure, according to a report from Energy News Today. Phillips declined to comment on the report when contacted by Bloomberg. Businessweek. "Trains Keep Rolling From Permian Basin on Crude Discounts" by Dan Murtaugh. July 3, 2014.
  34. Greg Garland told analysts during the 2nd quarter earnings conference on July 30, 2014 that with Borger's major turnaround in March and the 30-day-plus outage in July, Borger hasn’t run well this year. "So we’re working on improving operational reliability at Borger really to me are expectations. But the July event, by the way Borger is back up and running today. But July then was unplanned outage." Seeking Alpha. "Phillips 66's (PSX) CEO Greg Garland on Q2 2014 Results - Earnings Call Transcript" July 30, 2014.
  35. Phillips said it would shut most of the production units at its refinery in Borger, Texas, over the July Fourth weekend to start a month of repairs following a power outage early this week, said sources familiar with operations at the refinery. The company had already been planning to shut the refinery’s 25,000 b/d delayed coking unit over the weekend for a three-week overhaul, sources told Reuters. Trade sources have said the refinery was planning a multi-unit overhaul this month to correct operational problems created by the power outage. US Department of Energy. "Energy Assurance Daily" July 7, 2014
  36. CSP Daily News reported on March 26, 2014 that Phillips will pay a $500,000 penalty for violations of the Clean Air Act at the Borger Refinery in Borger, Texas, the Lake Charles Refinery in Westlake, La., the Wood River Refinery in Roxana, Ill., the Alliance Refinery in Belle Chasse, La., the Sweeny Refinery in Old Ocean, Texas, and several terminals across the country. Phillips also agreed to retire more than 21 billion sulfur credits that could have been used in the production of gasoline, which could potentially lead to significantly less pollution from vehicles. In a administrative settlement agreement, the EPA alleged that the company generated invalid sulfur credits between 2006 and 2012 and that Phillips failed to comply with recordkeeping, reporting, sampling and testing requirements at the five refineries. EPA discovered these violations during facility inspections and through a review of company records, which included the results of third-party company audits required by the Clean Air Act. CSP Daily News. "Phillips 66 to Pay $500,000 Over Clean Air Act Violations" March 26, 2014.
  37. Channel 7 Amarillo reported on March 18, 2014 that two Phillips employees and a contractor were injured in an accident at Borger refinery that took place at about 5 pm on March 18, 2014. The injured were taken to Golden Plains Community Hospital to receive medical treatment and the condition of the individuals is not life threatening. One employee is at Golden Plains Community Hospital, the second has been transported to the Lubbock Burn Center, and the contract worker is under observation at Golden Plains Community Hospital. Scanner traffic indicated the injured had been exposed to hydrogen sulfide. Phillips is investigating the incident. Channel 7 Connect Amarillo. "Phillips 66 employees hospitalized" by Larry Lemon. March 18, 2014.
  38. According to the "Borger News-Herald" the incident occurred during turnaround at the unit that handles hydrofluric (HF) acid. The hydrofluric acid unit was shut down at the time the accident occurred. Phillips did not confirm the exact nature of the incident. Phillips is investigating the cause and implications of the incident and details are still being clarified as the influx of turnaround workers has increased traffic inside the plant. "We want to figure out exactly what happened," said Dennis Nuss, a Senior Advisor for Phillips 66 who works with Project Communications. "We want to make sure that something similar will not happen again." When asked if the incident was due to either a chemical exposure or a fire, Nuss said, "There was no fire." The Borger News-Herald is reaching out to contract companies and contractors for more information and will update the story as more information is released. Borger News-Herald. "Workers injured in industrial accident at Phillps 66" by JC Cortez. March 19, 2014.
  39. KVII-TV in Amarillo, Texas, reported on May 1, 2012 an employee at the Phillips 66 refinery in Borger, Texas fell from a height of 100 feet at about 3pm and was taken to the Golden Plains Community Hospital in Borger where he died. "ConocoPhillips deeply regrets the loss of our employee and wishes to extend sympathy to the employee's family, friends and co-workers," said spokesman Rich Johnson. "ConocoPhillips is investigating the cause of the accident." Officials with Phillips 66 say the incident remains under investigation. It is reported that this is the first fatality at the refinery in 25 years. Reuters. "Employee dies after fall at Phillips refinery" May 1, 2012.
  40. ConnectAmarillo.com "Borger ConocoPhillips employee dies after falling" by Travis Ruiz. May 1, 2012.
  41. Tulsa World. "Phillips 66 CEO addresses fuel efficiency, overseas market" by Susan Hylton. August 27, 2013.
  42. Presentation to the Bartlesville Chamber of Commerce by Phillips CEO Greg Garland. August 13, 2014
  43. Bartlesville Examiner-Enterprise. "Phillips 66 gives $1.7M to BPSD" by Nathan Thompson. August 13, 2014.
  44. Presentation to the Bartlesville Chamber of Commerce by Phillips CEO Greg Garland. August 13, 2014
  45. Presentation to the Bartlesville Chamber of Commerce by Phillips CEO Greg Garland. August 13, 2014
  46. Tulsa World. "Ponca City losing hundreds of ConocoPhillips jobs" February 27, 2009.
  47. Bartlesville Examiner-Enterprise. "Phillips 66 CEO: Company remains committed to Bartlesville" by Nathan Thompson. August 13, 2014.
  48. Tulsa World. "Phillips 66 CEO announces $1.7 million STEM grant for Bartlesville schools" by Laura Summers. August 13, 2014.
  49. Pickens' source for the information on the Phillips 66 Signature Community Initiative grant application that was turned down is a Ponca City official who spoke on background and requested that he remain an unnamed source. The source added that Phillips provided very little information on why the application was turned down or how the application could be improved in a future round of grants. Comment made on August 22, 2014.
  50. Tulsa World. "Phillips 66 CEO announces $1.7 million STEM grant for Bartlesville schools" by Laura Summers. August 13, 2014.
  51. the Daily Cougar. "Phillips 66 CEO talks responsibility, ethical practices to students" by Conrad Schafman. September 25, 2014.
  52. 4-traders. "Insys Therapeutics Inc : Stock Price Movements, Clinical Study Results, and New Appointments - Research Report on Pfizer, Gilead Sciences, Amgen, Celgene, and Insys Therapeutics" October 22, 2013.
  53. Businessweek. "Executive Profile - Greg C. Garland"

About the Author

Hugh Pickens

Hugh Pickens (Po-Hi '67) is a physicist who has explored for oil in the Amazon jungle, crossed the empty quarter of Saudi Arabia, and built satellite control stations for Goddard Space Flight Center all over the world. Retired in 1999, Pickens and his wife moved from Baltimore back to his hometown of Ponca City, Oklahoma in 2005 where he cultivates his square foot garden, mows nine acres of lawn, writes about local history and photographs events at the Poncan Theatre and Ponca Playhouse.

Since 2001 Pickens has edited and published “Peace Corps Online,” serving over one million monthly pageviews. His other writing includes contributing over 1,500 stories to “Slashdot: News for Nerds,” and articles for Wikipedia, “Ponca City, We Love You”, and Peace Corps Worldwide.

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This web page is frequently updated so check back periodically to see the latest information or subscribe to the rss feed for this article. If you have any information or insights that you would like to see added to this report please contact Hugh Pickens by email at hughpickens AT gmail DOT com.

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The material in this article is licensed under under the Creative Commons under an Attribution-Noncommercial-Share Alike 2.0 Generic license. Except for short, fair use excerpts, the material on this article cannot be used for commercial purposes without permission of Hugh Pickens. Attribution for use of any material from this article must be provided to Hugh Pickens and if used on the web a link must be provided to http://hughpickens.com.

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