‘Unprecedented’ fire at Australian oil refinery to impact nation’s petrol supplies
Major Fire at Australian Refinery Raises Concerns Over Petrol Supplies Amid Global Crisis
A significant blaze erupted at Viva’s Corio oil refinery in Geelong, Victoria, intensifying anxieties about the country’s fuel availability during a worldwide shortage of petroleum products. Emergency services arrived shortly before midnight on Wednesday after initial reports of explosions and visible flames. The facility, which accounts for 50% of Victoria’s fuel and 10% of the nation’s total production, remains partially active, with jet fuel and diesel still being manufactured at lower capacities as a precaution.
No personnel were harmed in the incident, though the fire continues to spread and has led to advisories regarding local air quality. Energy Minister Chris Bowen emphasized the timing of the fire as particularly challenging, noting that Australia’s fuel reserves are strained due to the ongoing oil crisis sparked by the conflict in Iran. He highlighted the potential ripple effects on petrol supplies, stating, “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.”
“This is very early days,” Bowen added, while underscoring his collaboration with the refinery’s management to assess the situation.
Australian diesel prices have surged by 100% in recent weeks, with some fuel stations experiencing shortages and consumers rushing to purchase supplies. Airlines are also reducing certain services due to increased jet fuel costs. The cause of the fire was attributed to “equipment failure” by Fire Rescue Victoria, which confirmed an investigation is underway to determine its exact origin.
The refinery, operational for approximately 120,000 barrels of oil daily and employing over 1,100 workers, is currently managing the situation with safety as the top priority. Scott Wyatt, the company’s CEO, stated that production focus has shifted from output to securing the site, as two petrol units were affected but others remained intact. “We’ll only start increasing production again once we’re confident we can do that safely,” he explained.
Experts argue that Australia’s reliance on imported refined fuels from nations like Singapore, South Korea, and Malaysia limits the immediate impact of the fire. Professor Yuan Chen of the University of Sydney noted, “This diversified supply chain provides a degree of resilience against short-term domestic disruptions,” while Hussein Dia from Swinburne University of Technology cautioned that the buffer for absorbing supply shocks has been reduced.
Geelong Mayor Stretch Kontelj described the fire as “unprecedented,” predicting it may persist for several hours. He recounted speaking with management, who expressed surprise at the incident. “The fire is still burning and will have to just burn out,” Kontelj said, explaining that the intensity made containment difficult for emergency teams. Ronnie Hayden, a state secretary for the Australian Workers’ Union, confirmed that between 50 and 100 workers were evacuated safely from the facility.