‘Unprecedented’ fire at Australian oil refinery to impact nation’s petrol supplies

‘Unprecedented’ fire at Australian oil refinery to impact nation’s petrol supplies

A significant fire erupted at Viva’s Corio oil refinery in Geelong, southwest of Melbourne, shortly before midnight on Wednesday. Emergency responders were dispatched to the site following reports of explosions and flames. The incident has raised concerns about the stability of Australia’s fuel supply, especially as the country faces a global oil shortage. The refinery, which contributes 50% of Victoria’s fuel and 10% of the nation’s total output, remains partially functional, though petrol production is now at risk due to the ongoing blaze.

Although no personnel were harmed, the fire has caused air quality issues in the area. Fire Rescue Victoria stated the cause was “equipment failure,” with an investigation underway to determine the exact origin. The refinery processes approximately 120,000 barrels of oil per day and employs over 1,100 workers. Scott Wyatt, Viva Energy’s chief executive, emphasized that safety is the priority, noting the fire affected two petrol units but left others undamaged.

“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,” said Energy Minister Chris Bowen during an interview with Nine’s Today show. He added, “Obviously, this is very early days,” highlighting the uncertainty surrounding the crisis.

Bowen pointed out the timing of the fire is particularly challenging, as Australia’s fuel supplies are already under strain following the Iran conflict. Diesel prices have nearly doubled in recent weeks, with stations reporting shortages and panic buying. Airlines have also scaled back some services due to rising jet fuel costs.

Geelong Mayor Stretch Kontelj described the fire as “unprecedented,” noting it may burn for several hours. “I’ve spoken to management there this morning, and needless to say, this has been a huge shock and has rocked them,” he told the Australian Broadcasting Corporation. The intensity of the flames made it difficult for crews to intervene beyond monitoring the situation.

Australia depends heavily on imported refined fuels from countries like Singapore, South Korea, and Malaysia. Experts suggest this diversified supply chain limits the immediate impact of the fire on domestic fuel availability. However, University of Sydney professor Yuan Chen warned, “This doesn’t mean people will run out of fuel tomorrow, but it does narrow the buffer we have to absorb shocks.” Swinburne University’s Hussein Dia echoed this, stating the supply chain offers resilience against short-term disruptions.

Ronnie Hayden, state secretary of the Australian Workers’ Union in Victoria, confirmed between 50 and 100 workers were at the refinery when the fire began. They were evacuated safely, though the event has disrupted operations and heightened anxieties about energy security. As the situation develops, officials continue to assess the full extent of the crisis and its effects on the nation’s fuel market.