A severe fire and loud explosions broke out inside the Viva Energy oil refinery in Geelong, which produces various fuels accounting for 10% of Australia's supply, exacerbating an already strained energy security situation impacted by the Iran war.
At about 11:00 p.m. local time on Wednesday (15 Apr), a fire and explosion occurred at Viva Energy's refinery in the Corio area of Geelong, southwest of Melbourne. This refinery is one of only two remaining in Australia and supplies more than half of Victoria's fuel needs, representing about 10% of the nation's fuel consumption.
Victoria's emergency services reported the fire originated at the mogas plant, which produces high-octane gasoline, with severe leaks of liquid hydrocarbons and high-quality fuel gases.
The fire chief preliminarily stated the cause was likely equipment malfunction, such as leaks or faulty valves, preventing personnel from manually shutting valves due to intense heat. However, no employees were injured, and there is no suspicion of arson.
This incident comes as Australia faces tight fuel supplies due to the impact of the Iran war. Although Viva Energy CEO Scott Wyatt said the company does not directly rely on Middle Eastern oil, this production disruption will inevitably affect gasoline availability in the market.
Energy Minister Chris Bowen acknowledged the event negatively affects the energy situation, stating, "Gasoline production will be impacted for some time," although diesel and aviation fuel production continues at reduced levels for safety.
Earlier, Prime Minister Anthony Albanese warned of a prolonged oil supply disruption. The government has reached agreements with major distributors Ampol and Viva Energy to guarantee prices amid rising spot market costs, aiming to prevent retail prices from soaring excessively and burdening consumers.
Environmental protection authorities have inspected air and water quality in the surrounding area. Initially, no harmful contaminants were found, and the shelter-in-place warning for residents was lifted earlier this morning.