Breaking News: Phillips 66 Hit with $605 Million Verdict
In a stunning courtroom drama, a jury has slapped Phillips 66 Company, a subsidiary of Phillips 66 (NYSE:PSX), with a whopping $604.9 million verdict in a trade secrets lawsuit brought by Propel Fuels Inc. The ruling, handed down on October 16, 2024, marks a significant blow to the energy giant.
The Allegations
At the heart of the lawsuit lies Propel Fuels’ accusation that Phillips 66 misappropriated trade secrets related to its renewable fuels business. The jury’s verdict sends a clear message: Phillips 66 must answer for its alleged wrongdoing.
The Fallout
While the court has yet to enter a judgment, Phillips 66 Company has denied any wrongdoing and vows to vigorously defend its position. The company is currently evaluating its legal options, leaving investors on high alert. Meanwhile, PSX stock has defied expectations, surging over 16% in the past year, according to Benzinga Pro.
Investor Opportunities
For those looking to capitalize on the energy sector, VanEck Oil Refiners ETF (NYSE:CRAK) and iShares U.S. Oil & Gas Exploration & Production ETF (BATS:IEO) offer exposure to Phillips 66 stock.
Refinery Shutdown Looms
In a separate development, Phillips 66 announced plans to cease operations at its Los Angeles-area refinery in Q4 2025. The company will work with the state of California to ensure a seamless fuel supply and meet consumer demand. This decision will impact approximately 600 employees and 300 contractors, prompting CEO Mark Lashier to pledge support during the transition.
Market Reaction
As news of the verdict and refinery shutdown spread, PSX shares edged up 0.16% to $132.52 in premarket trading on Thursday. Stay ahead of the curve with Benzinga’s expert analysis and insights. Get the latest stock updates and cutting-edge tools to navigate the markets.
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