A major fire at one of Australia's two oil refineries has been extinguished, but the damage has deepened fears over the nation's petrol supplies amid a global fuel crunch. Emergency crews rushed to Viva's Corio oil refinery in Geelong, southwest of Melbourne, just before midnight on Wednesday, after reports of explosions and flames. The blaze was put out on Thursday after burning for 13 hours. No one was injured, with dozens of workers on site when it broke out evacuated safely.
The refinery, which produces 50% of Victoria's fuel and 10% of the nation's, is still partially operational but the government has warned of impacts to petrol production. Energy Minister Chris Bowen said the fire was 'not great timing' with Australia's fuel supplies under pressure since war broke out in Iran, creating a global oil crisis.
The price of diesel in Australia has doubled in recent weeks, with fuel stations reporting shortages amid reports of panic buying, while airlines are cutting back some services as jet fuel costs rise. 'This is not a positive development, but obviously there's a long way to go in terms of working out just what the impact is,' Bowen said in an interview, adding he is working closely with the company.
The cause of the fire was due to 'equipment failure', Fire Rescue Victoria reported, indicating that an investigation will follow. The refinery processes about 120,000 barrels of oil per day and employs over 1,100 people. Viva Energy chief executive Scott Wyatt remarked that the fire had affected two petrol production units, while jet fuel and diesel are also being produced at reduced levels as a precaution.
Australia largely relies on imported refined fuels, particularly from countries like Singapore, South Korea, and Malaysia. This diversified supply chain offers some resilience against short-term domestic disruptions, according to experts. However, local authorities have been alerted that the incident narrows the buffer available to absorb shocks in fuel availability.
Geelong Mayor Stretch Kontelj described the fire as 'unprecedented', expressing shock and concern for the refinery's management following such a significant incident.
The refinery, which produces 50% of Victoria's fuel and 10% of the nation's, is still partially operational but the government has warned of impacts to petrol production. Energy Minister Chris Bowen said the fire was 'not great timing' with Australia's fuel supplies under pressure since war broke out in Iran, creating a global oil crisis.
The price of diesel in Australia has doubled in recent weeks, with fuel stations reporting shortages amid reports of panic buying, while airlines are cutting back some services as jet fuel costs rise. 'This is not a positive development, but obviously there's a long way to go in terms of working out just what the impact is,' Bowen said in an interview, adding he is working closely with the company.
The cause of the fire was due to 'equipment failure', Fire Rescue Victoria reported, indicating that an investigation will follow. The refinery processes about 120,000 barrels of oil per day and employs over 1,100 people. Viva Energy chief executive Scott Wyatt remarked that the fire had affected two petrol production units, while jet fuel and diesel are also being produced at reduced levels as a precaution.
Australia largely relies on imported refined fuels, particularly from countries like Singapore, South Korea, and Malaysia. This diversified supply chain offers some resilience against short-term domestic disruptions, according to experts. However, local authorities have been alerted that the incident narrows the buffer available to absorb shocks in fuel availability.
Geelong Mayor Stretch Kontelj described the fire as 'unprecedented', expressing shock and concern for the refinery's management following such a significant incident.
