Asia/Pacific News
Australia: Remaining Refineries Secure State Backing
Australia's government is subsidise the country's remaining two refineries to enable the plants to keep running into the foreseeable future.
The move will see A$2.3 billion ($1.8 billion) allocated through to keep the struggling plants open and protect the country's fuel security through to 2030, according to Reuters.
The package includes up to A$125 million each to Ampol and Viva to upgrade their refineries to produce ultra-low sulfur petrol.
Chief executive of Viva, Scott Wyatt, said securing the deal was a "huge relief".
"It retains a material critical mass of refining capacity across the two sites and I think that allows us to continue to work closely with government on not just the future of refining but the whole energy transition," Wyatt was quoted as saying.
The viability of Australia's refinery base has been thrown into sharp relief by the competition from bigger -- and more efficient -- units in the Asian region.
