THE oil refinery proposed for Gladstone will go some way to making Australia’s fuel supply more secure, the developer of the project says.
A report by the NRMA indicates Australia’s fuel storage is well below international standards, at 23 days’ supply, rather than the 90 days required of International Energy Agency members.
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That is an unsustainable position, according to Gladstone oil refinery project director Duncan Mackenzie.
This paper last month detailed plans of a $700million oil refinery at Targinie that would refine crude oils into high quality products such as diesel.
While Mr Mackenzie doesn’t expect the Gladstone refinery to have a huge impact on the country’s energy supplies, he said the fuel produced would ensure more reliable stocks in central Queensland.
The Gladstone refinery will use more up-to-date technology than other, ageing refineries in Australia. This means it will be able to process crude oils from sources such as the Americas, where there is less volatility.
Mr Mackenzie said the design of the plant would be “quite discreet”.
“Potentially you will be able to see it from the highway, but our main columns are only 20m high, so it will fit in,” he said.
BY THE NUMBERS:
In the 2012-13 year Australia’s domestic refineries supplied about 60% of petroleum products required by major industries and the fuel distribution network of around 6300 service stations.
While demand for petrol is flat, the demand for diesel fuel in increasing at a rate of 4% each year.
Products produced currently in Australia include-
- Petrol: 43%
- Diesel: 35%
- Jet fuel: 15%
- Fuel oil: 2%
- LPG: 3%.