TSO in the process of finalizing the buyout of BP refinery in California. They are also working on bringing domestic crude to the West Coast refineries by way of rail and switch of to coastal barges and other methods. They are not only just beginning to fully implement large scale crude slate replacement but also will be able to increase their daily throughput with the new refinery. Increased capacity could also allow them to maximize cash flow to use for financing these projects quickly, paying down debt/ buying back more stock/ increasing the dividend moving forward.
Seems like most of that is already priced into PSX due to their more favorable geographic locations and access to these domestic feedstocks. Plus, PSX needs to account for the weight of the chemicals division--- not a pure play on crack spreads, but needs chemicals growth and pricing factored in as well. Makes it more complex situation that needs to be priced. I think PSX is also talking about possible logistics MLP spin off that could add to fair value and growth rate complexity. Just easier to price TSO at the moment.