bp Australia to Cease Production at Kwinana Refinery a

security of fuel supply for Western ‎Australia. The refinery, near Fremantle, has provided fuels for Western Australia for 65 years. However, ‎the continued growth of large-scale, export-oriented refineries throughout Asia and the Middle ‎East has structurally changed the Australian market. ‎

Regional oversupply and sustained low refining margins mean the Kwinana Refinery is no ‎longer economically viable. Having explored multiple possibilities for the refinery’s future, bp ‎has concluded that conversion to an import terminal is the best option.‎

The refinery currently employs around 650 people – 400 permanent staff and 250 contractors. ‎Refining activities will wind down over the next six months, with a conversion workforce ‎supporting site works. The new terminal will support construction work out to 2022. Once ‎complete, the import terminal is expected to support around 60 jobs.‎

This includes building on its position in the North West Shelf joint venture through gas ‎exploration at Ironbark and investing in retail growth, as well as progressing low carbon ‎projects with Lightsource bp. It is also assessing the feasibility of a large-scale hydrogen ‎export plant in Geraldton in partnership with the Federal Government.