Coming Clean Down Under (March 27, 2015)
Australian refinery closures increase product tanker demand
In recent years, a number of oil companies operating in the Australian market have decided to close their least efficient refineries and import products to satisfy demand. Today, Chevron announced to divest its 50% shareholding in Caltex Australia which owns the 109 thousand barrels per day (Kb/d) Lytton refinery. In 2012, Shell shut down the 85 Kb/d Clyde refinery, the 124 Kb/d Kurnell refinery closed in October 2014, while BP’s 102 Kb/d Bulwer refinery in Brisbane is scheduled to close later in 2015. The 120 Kb/d Geelong refinery, formerly owned by Shell, was sold in 2014 to Vitol and remains operational. After these closures, Australia still has four operating refineries with a total capacity of 465 Kb/d.