Costco plans to open its first ever stand-alone gas station in the city of Mission Viejo, California, reported Fox Business. The city “has approved plans to tear down a former Bed, Bath and Beyond store to make room for the fuel pumps that will only be available to Costco members,” reported the outlet.

The station will feature 40 pumps and will not have a convenience store. It will be located at the Mission Viejo Freeway Center at 25732 El Paseo, just off Interstate 5. 

Earlier this month, NACS Daily reported that Costco saw record fuel sales after expanding its hours from 9 p.m. to 10 p.m., past the typical 6 p.m. closing time of the store. Per Fox, Costco reported two "all-time highest gallon weeks" after CFO Gary Millerchip previously told analysts and investors in early March that the warehouse retailer had been "pleased so far with the member reaction" to the longer hours and "seeing an improvement in overall usage of the gas stations."

The chain had more than 700 fuel stations globally at the end of 2024, according to a Securities and Exchange Commission filing.

The retailer is also focusing on adding more electric charging. In December 2024, Costco teamed up with Electrify America to offer new electric vehicle charging stations at five Costco Wholesale locations. The charging stations feature hyper-fast chargers capable of speeds up to 350 kW.

Other big box retailers like Walmart are also investing in fuel. Walmart is “revamping its convenience services” and will open or remodel more than 45 fuel stations across the United States this year. Walmart currently operates 400+ fuel and convenience stations nationwide, and the new locations will bring the retailer’s store count to more than 450 locations across 34 states.