Michael J. Hennigan has been appointed chief executive officer of MPLX GP LLC as Marathon Petroleum Corp., majority owner of the midstream firm MPLX LP, adjusts to the announced retirement of its chairman and chief executive officer, prepares to spin off its Speedway retail business, and begins a review of midstream holdings.
Retiring Gary R. Heminger has been president and CEO of Marathon Petroleum since the downstream company’s spin-off from Marathon Oil in June 2011 and chairman and CEO since 2016. He also has been chairman and CEO of MPLX GP, the MPLX general partner, since 2012.
Hennigan, who joined MPLX GP as president in 2017, will become CEO on Nov. 1. Marathon Petroleum owns the general partner and a majority limited partner interest in MPLX.
Heminger, who joined Marathon in 1975, will retire after Marathon Petroleum’s annual shareholders’ meeting next year. A board committee will consider external and internal candidates for his Marathon Petroleum positions. He’ll remain chairman of MPLX GP.
Another retirement is that of Gregory J. Goff, who became executive vice-chairman when Marathon Petroleum absorbed Andeavor in October 2018. Goff had been Andeavor’s chairman, president, and CEO. Frank M. Semple will replace him on the Marathon Petroleum board.
Marathon Petroleum said it intends to separate Speedway into an independent, publicly traded company comprising its 3,920 company-owned retail stores.
It also said it will form a board committee to study “value-creating options” for the midstream business.
“Among other aspects, the special board committee will analyze the strategic fit of assets with MPC, the ability to realize full valuation credit for midstream earnings and cash flow, balance sheet impacts including liquidity and credit ratings, transaction tax impacts, separation costs, and overall complexity,” a company statement said.