In the following video, energy analyst Joel South discusses Marathon Petroleum (NYSE:MPC) and explains why he slated Marathon in the No. 5 spot for best energy stocks of 2012. 

Marathon Petroleum's success starts with cheap access to crude from growing shale production throughout North America. However, the company's 90% share price appreciation also has to do with the way the company budgeted its excess cash flows. Besides making plans on taking over BP's (NYSE:BP) Texas City Refinery, and increasing its heavy oil capacity through its Detroit Heavy Oil project, the company significantly increased its dividend as well as deployed a large share repurchase program.

Joel South, Taylor Muckerman, and The Motley Fool have no positions in the stocks mentioned above. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.