Marathon Petroleum Company LLC (MPC) is committed to operating in compliance with environmental regulations and providing a safe and secure environment for our employees and the community. MPC is focused on continuous development and identifying potential emission reduction and improvement projects at the Garyville refinery.

MPC participates in OSHA’s VPP program and is an OSHA VPP Star facility. The VPP program promotes and recognizes superior, beyond compliance safety and health management and performance. In addition, MPC has adopted “Responsible Care” through the American Chemistry Council. This is a voluntary program that stresses environmental and safety performance and community outreach. The refinery’s Health, Environmental, Safety and Security Management System (HESS MS) was recently certified by an independent auditor to the Responsible Care Management System (RCMS) standard. The Garyville refinery is also a member of the EPA’s National Environmental Performance Track (NEPT) program. NEPT encourages and rewards environmental performance exceeding minimum regulatory requirements. The key element of this program is the development, implementation and ongoing improvement of an environmental management system that will push the organization beyond compliance. MPC was the first petroleum refinery in the country accepted into the program. Employees at the Garyville refinery participate in audit teams, committees and programs to help improve refinery safety and environmental performance.

MPC continues to be a member of MT.GREW (Mt. Airy, Garyville, Reserve, Edgard and Wallace) CAP (Community Advisory Panel). This panel of community representatives meets monthly with representatives of local industries to maintain an open dialogue on various topics of concern including industrial community outreach and environmental and safety performance.

Marathon Petroleum’s Garyville refinery has begun construction of a major expansion. Permits for construction were received from the Louisiana Department of Environmental Quality at the end of December 2006 and construction began with site preparation activities in March 2007. Marathon’s Garyville Major Expansion (GME) project is a 180,000 barrel per day (bpd) expansion project that represents a capital investment of over $3.0 billion. The project will be comprised of several new process units (crude, coker, reformer, hydrocracker, kerosene hydrotreater, sulfur recovery) and supporting utilities. All of the proposed facilities will incorporate the latest safety and environmental control technologies. Start up is planned for the end of 2009. The expansion will boost crude capacity from the current 245,000 barrels of crude oil per day to 425,000 bpd, which is equivalent to 7.5 million gallons of clean fuels a day.

The number of contractors needed for this expansion will average around 2,000 workers, with as many as 4,000 construction workers required during peak periods. Approximately 200 new Marathon full-time jobs will be created to operate the new production facilities and about another 80 fixed base contractors will be added. Louisiana Refining Division (LRD) will maintain our strong local hiring record. Since 2003, almost 70% of the operators hired at the Garyville refinery have been from St. John Parish and 86% have been from the River Parish region. The project’s construction schedule — now through late 2009 — allows those interested in applying for employment the opportunity to obtain or refine the necessary job skills, education and/or experience. Hiring for the expansion has already begun this year. We generally look for job candidates with at least two years of operator or process technology experience, or five years of industrial experience or a two-year degree in the state’s community college process technology curriculum.

The Garyville refinery is well-positioned for this expansion project as the last grassroots refinery built in the United States and our south Louisiana location represents a strategic fit to Marathon’s existing refining network, including accessibility to numerous product transportation systems that serve key markets throughout the U.S. MPC also has excellent health, environmental, safety and security management systems that allow the refinery to achieve outstanding performance in these key areas.

The project is expected to have a tremendous impact on the south Louisiana economy. During the construction phase alone, the GME is projected to contribute approximately $60 million in tax revenue to St. John Parish and the State of Louisiana. MPC’s Garyville refinery already adds value to the local economy by purchasing as much as possible from local businesses, paying taxes and hiring parish residents. In 2006, MPC spent $5.6 million in St. John the Baptist Parish. MPC also helps support the parish by paying $15.5 million in local taxes and $21 million state taxes. Of the 590 employees, more that one third live in St. John Parish and an additional 25% live in the adjacent St. Charles and St. James Parishes.

MPC’s Toxic Release Inventory Report now includes releases from the asphalt and fuel terminals. In previous years, these emissions have been reported as a separate facility. There were some additional increases in reported air emissions for MPC for the year 2006. Releases to the air increased from 293,000 pounds in 2005 to 341,000 pounds in 2006. This increase is due to a fugitive emission program component retagging project in the refinery. Emissions from added components were included in this years report. Also this is the first year to include the new Distillate Hydrotreating Unit emissions in the report. Releases to water decreased from the previous year: 52,993 pounds in 2005 to 29,800 pounds in 2006. This decrease was achieved with the new waste water treatment plant train which was put online in 2005. Off-site transfers decreased from 68,645 pounds to 5,110 pounds.

For the eighth year, MPC is an Adopt-A-School partner with East St. John Elementary School and donates employees’ time for tutoring and reading, as well as funds for special programs. The company also sponsors a Teach for America Corps teacher and provides scholarships to students at the Louisiana Technical College, where it also hosts a Career Awareness Day. In addition, MPC works with the local parish government to make improvements at the nearby Ezekiel Jackson Park in Garyville. MPC was also a corporate sponsor of the 2007 Frisco Fest, held at the San Francisco Plantation, and was a major contributor to the St. John United Way Campaign. These are just a few of the many community activities and outreach programs in which MPC actively participates to help make St. John the Baptist Parish even better.