Paul Millar
VIVA ENERGY Australia has entered into an agreement to buy a non-controlling stake in fuel supplier Liberty Oil in an early show of commitment to Geelong’s refinery.
The deal is subject to regulatory approval but Viva Energy said the Liberty investment was part of a wider program to build demand and improved the outlook for the refinery.
Scott Wyatt, Viva Energy’s chief executive officer, said the move would help strengthen local employment.
“Liberty operates throughout the country but has a particularly strong business in regional Victoria and neighbouring states, which can be supplied from locally made production at Geelong Refinery rather than imports,” Mr Wyatt said.
“With a well-developed wholesale fuel business, Liberty is already one of our largest customers. I’m excited about this investment as it complements our business, supports local jobs and cements our existing relationship.
“We look forward to further strengthening this relationship by supporting Liberty, both as an investor and a reliable fuel supplier.”
Liberty distributes hundreds of millions of litres of fuel annually.
David Wieland and David Goldberger, partners in Liberty Oil, said the supplier had for many years enjoyed a strong relationship with former refinery owner Shell expected it to continue with Viva Energy.
“I can assure our customers that little will change under the proposed acquisition by Viva Energy,” Mr Goldberger said.
“Not only will the Liberty branding remain but we do not envisage any management or employee changes. Customers will continue to receive the same service level as they do now.
“The day-to-day operation and management of the business will not change and David Wieland and I will remain at the helm.”
Viva Energy parent company Vitol took over the refinery from Shell this month.
Vitol bought the refinery and Shell’s Australian service stations for $2.9 billion.
Vitol this month announced a further $150 million investment in the refinery.
