By JOHN VAN KLAVEREN
VIVA Energy has announced a new investment in its recently-acquired Geelong refinery, with a large crude oil tank on the drawing board.
Refinery general manager Thys Heyns said the tank would increase the refinery’s crude storage by 43 per cent.
“Viva Energy is exploring the opportunity to build a new crude storage tank at its Geelong refinery,” Mr Heyns said.
“This is an important demonstration of Viva Energy’s ongoing intention to invest in the refinery and proving the viability of this proposal will be a key focus during the coming months.
“If it progresses, the project would play an important role in building a sustainable business.
“Additional storage could help reduce shipping costs and enhance production capacity by improving feedstock flexibility.
“Construction of a new tank would generate construction jobs and help support the long-term viability of the refinery.
“Achieving this in a cost-effective and timely way would require the support of our politicians, unions, workforce and local community.
“Development of a new tank would be subject to both planning approval and final board approval. As per normal planning processes, community consultation would be undertaken.”
Mr Heyns said the extra storage would allow ships to be unloaded faster, reducing waiting times.
“It also allows blends of feedstock to be added to the refining process more easily.”
Mr Heyns also called for a slightly deeper channel to the refinery pier, saying another 10cm of draught would save Viva up to $2 million a year.
“The draught of the Geelong channel is limited to 11.7m whereas the Melbourne channel is 14.5m. If we can get just 10cm additional draught out of the Geelong channel that is worth between $1 million and $2 million a year for us.
“Of course, if we could go to 14.5m like the Melbourne channel that would be a significant value to us.”
