Australian Refinery Catches Fire, Fuel Supply Concerns Rise

A fire broke out at a Viva Energy refinery in Geelong, Victoria, Australia, on Wednesday night, causing a significant gas leak that ignited flames as high as 60 meters (200 feet) above the ground. The blaze, which occurred at one of the country’s two operational oil refineries, was brought under control by noon on Thursday.

The Viva Energy refinery, located about an hour southwest of Melbourne, produces approximately 10% of Australia’s fuel. According to energy company Viva, the plant has been in operation since the 1950s and is one of only two working oil refineries in Australia.

The fire occurred at a time when Australia is facing increased pressure to ensure fuel security due to disruptions in global supply caused by the Iran conflict. The country relies on imports for 80% of its fuel needs, with major stockpiles being limited. Energy analysts have expressed concerns about the impact of this disruption on fuel security.

In response to the incident, Prime Minister Anthony Albanese announced that Australia has secured an additional supply of diesel from Brunei and South Korea. The government has also urged Australians to conserve petrol where possible and favor public transport.

Firefighters reported a “significant leak” of highly flammable gases and liquid hydrocarbons as the cause of the blaze. Viva Energy officials stated that production was not their primary priority at this time, but rather ensuring the site’s safety.

The incident highlights Australia’s reliance on oil shipments through the Strait of Hormuz, which has been severely impacted by the ongoing conflict in the region. The country holds approximately 38 days’ worth of petrol in reserve, far below the recommended minimum of 90 days set by the International Energy Agency.

Source: Al Jazeera