Michael J. Hennigan
Chief Executive Officer at Marathon Petroleum
Thanks, Kristina. Good morning, everyone, and thank you for joining our call. First, I'd like to recognize some changes we made at our executive management level. Maryann Mannen has been appointed President of MPC. In this role, she'll be responsible for our Refining & Marketing, commercial, and HES&S organizations. John Quaid, previously CFO of MPLX, succeeds Maryann as CFO of MPC. In addition to these changes, Rick Hessling has been appointed Chief commercial Officer. Rick will lead our global feedstock and clean products teams with the goal of maximizing margin capture across the entire value chain. Brian Partee has been appointed Chief Global Optimization Officer. Brian will be responsible for assessing and redefining business processes that are critical to improving our performance, including our value chain optimization efforts and determining investments needed to accelerate the delivery of results. At a high level, these organizational changes put more emphasis on advancing important value creating initiatives, driving increased performance throughout our entire value chain, and making a step change in our cash flow generation capability.
Turning to our 2023 results. We're pleased to continue to deliver on our strategic commitments. Full year cash provided by operating activities was over $14 billion on a consolidated basis, reflecting our team's strong execution. Our Refining & Marketing business delivered excellent full year results, generating EBITDA of $12.74 per barrel of throughput and capture of 100%. These results reflect strong utilization of our assets and improved execution against our commercial strategy. Incremental to our Refining & Marketing results, our Midstream business posted nearly $6.2 billion of EBITDA. EBITDA for the Midstream segment grew by approximately 7% year over year, or by approximately $400 million. We expect MPC will receive $2.2 billion of annual cash distributions, supported by MPLX's most recent 10% increase to its quarterly distribution. MPLX is strategic to MPC's portfolio. Its current pace of cash distributions fully covers MPC's dividend and more than half of our planned 2024 capital program. We expect MPLX to increase its cash distributions as it pursues growth opportunities, further enhancing the value of this strategic relationship.
We are committed to returning excess capital to shareholders. In 2023, we returned $11.6 billion through share repurchases, bringing total repurchases to over $29 billion since May of 2021. In addition, we increased MPC's quarterly dividend by 10% in the fourth quarter. Over the past five years, we have grown our quarterly dividend at a compound annual growth rate of over 12%. For the full year 2023, this capital return represents a payout of 92% of our operating cash flow, excluding changes in working capital, highlighting our commitment to superior shareholder returns. Executing on our commitments, combined with a strong macroenvironment, led to total shareholder returns of approximately 31% for MPC in 2023.
Turning to our view on the refining macroenvironment. As we head into 2024, global oil demand hit a record high in '23, and we see another year of record oil consumption in '24. The IEA is currently projecting demand growth of over 1.2 million barrels per day, with their projections having been raised higher over the last three consecutive months. In our system, both domestically and within our export business, we are seeing steady demand year over year for gasoline, diesel, and jet fuel. Global supply remains constrained and anticipated global capacity additions have progressed slower than expectations. Gasoline and diesel inventories remain tight globally, and as we look into '24, we anticipate that above average turnaround activity globally in the first quarter, as well as the transition to summer gasoline blends, will be supportive of refining margins.
As we look further into 2024, we believe the U.S. refining industry will experience an enhanced midcycle environment due to global supply-demand fundamentals and its relative advantages over international sources of supply, including energy cost, feedstock acquisition cost, and refinery complexity. Our capital allocation priorities remain unchanged. These include, first, sustaining capital. We remain steadfast in our commitment to safely operate our assets, protect the health and safety of our employees, and support the communities in which we operate. Second, our dividend. We're committed to paying a secure, competitive, and growing dividend. We intend to evaluate the dividend at least annually. Third, growth capital; we will invest capital but be disciplined where we believe there are attractive returns which will enhance our competitiveness and position MPC well into the future. Beyond these three objectives, we will return excess capital through share repurchases to meaningfully lower our share count.
From May '21 through January 2024, we reduced our total share count by approximately 45%, repurchasing approximately 300 million shares at an average price of $97. As we execute in 2024, we remain committed to share repurchases as a key component of our capital allocation priorities. MPC's standalone 2024 capital investment plan, excluding MPLX, totals $1.25 billion. Underpinning our commitment to safety and environmental performance, sustaining capital is approximately 35% of capital spend. In Refining & Marketing, growth spending is down nearly $200 million compared to 2023, reflecting strong capital discipline. In 2024, we are focused on investments that enhance margin and reduce cost. In low carbon, we are investing in an opportunity that offers an attractive return, lowers our cost, increases reliability, and reduces emissions. This morning, MPLX also announced its 2024 capital investment plan of $1.1 billion, which is anchored in the Marcellus and Permian basins.
At this point, I'd like to turn the call over to Maryann.
