Dive Brief:

• Citgo Petroleum launched a brand licensing program that will bring the oil and gas retailer into five new states across the Western U.S., the company announced this week.
• The program offers Citgo’s fuels, lubricants and other petroleum products to marketers and retailers in Arizona, Colorado, New Mexico, Nevada and Utah. Operators who join the program can access Citgo’s branding, loyalty program, credit cards, marketing support and customer service.
• This marks the first time Citgo has expanded into the Western U.S. beyond Texas.

Dive Insight:

Since its founding in 1910, Houston-based Citgo has only operated in the South, Midwest and along the East Coast. To date, it supplies fuel and other services to over 4,300 branded gas stations across 31 states in these regions.

That will soon change with the company’s first expansion out West. In addition to reaching Arizona, Colorado, New Mexico, Nevada and Utah, Citgo is “evaluating additional states for launch this year” through its branding program, according to the announcement.

Reaching retailers outside its current territories is a key priority for Citgo’s new branding program, said Greg Caponegro, the company’s general manager for light oil sales.

"By offering our brand and marketing support to retailers who source their own fuel, we can expand our presence and provide more consumers with the quality and service they expect from CITGO,” Caponergo said in a statement.

Citgo’s westward expansion comes during a busy period for the company, which is in the process of being sold for over $7 billion following years of speculation. On the retail front, Citgo piloted its first electric vehicle charging stations last February and updated its Club Citgo loyalty platform with several new features over the summer.