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BP Refinery Closure Leaves Australia More Reliant On Gasoline Imports

The full closure of BP’s oil refinery in Brisbane would result in Australia supplying solely round one third – or much less – of its personal petrol and diesel.

Earlier on Wednesday, BP stated it would close its Bulwer Island refinery in Brisbane in mid-2015, with the lack of more than 350 jobs.

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Initially, BP will take product from Caltex’s Lytton refinery close by, however will keep the storage units at Bulwer Island on ‘care and maintenance’.

This opens the door to importing its own refined oil product, as BP is now doing in Adelaide, the place the corporate has established an oil import terminal.

Associated Articles
– Jobs to go as BP closes Brisbane refinery

– Brisbane job losses as BP refinery is closed
The strong Australian dollar compelled Shell to shut its Clyde refinery in 2012, with Caltex deciding at the identical time its Kurnell refinery would close by the end of 2014. At the same time, Mobil determined to dismantle its Port Stanvac refinery in South Australia, which had been mothballed since 2003.

The closure of Kurnell, which will happen by the end of 2014, will end in Australia sourcing only round half of its refined oil merchandise domestically.

That would fall to around a 3rd if BP takes the following step and opts to import its own provides for the south Queensland market. The closure of the Bulwer Island refinery will halve the number of domestic refineries, from eight in 2003 to just four as we speak.

The remaining refining of petroleum process pdf 9th edition pdf refineries are BP’s Kwinana unit in WA, Shell’s Geelong refinery which has just been offered to Vitol of Switzerland, Caltex’s Lytton refinery and Exxon-Mobil’s Altona refinery in Melbourne.

”It is unlikely Australian refining will regain its competitive place,” Caroline Finch, a director of trade reseacher IBISWorld stated. ”A lot of refining capacity has been added globally, especially in Asia.

”They are massive refineries which may meet Australian gasoline requirements,” which can not have been the case previously.

”The cost pressures on native refiners have been really high resulting from a lack of economies of scale,” she stated.

The sturdy Australian dollar forced the earlier choices to close refining of petroleum process pdf 9th edition pdf Clyde, Port Stanvac and Kurnell, Finch mentioned, with BP holding on a little longer in Brisbane.

Last 12 months, BP offered 28 petrol stations in SA while establishing the oil-import storage unit in Adelaide.

The refinery closure is more bad information for Brisbane, because it follows by a matter of weeks the deliberate axing of around 300 jobs on the BG places of work because it winds down work on its gas export project. It also follows the earlier lack of an unspecified number of jobs as miner Xstrata Glencore consolidated the administration of its Australian coal operations in Sydney.

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