Shell Australia has today announced its Geelong Refinery is for sale, in line with the company’s global strategy to concentrate investment on large scale sites, such as the company’s world scale Pulau Bukom refinery in Singapore.
Shell hopes that other parties, with a different portfolio, may have a different strategy and would jump at the chance to enter or expand in the Australian refining market.
Shell revealed the company will be seeking a buyer who will show care for current employees, provide reliable supply for the company and its customers, and run the facility safely with respect for the environment and the Geelong community.
‘The company’s efforts are towards achieving a successful sale. There are other options available if a sale with agreeable terms and conditions cannot be reached – this could include converting the site to an import terminal,’ Shell.
Andrew Smith, Shell Australia’s downstream vice-president, acknowledged the process will create a period of uncertainty for employees, believing Shell was committed to a timely sale process, providing support to employees during this period.
“I understand this announcement will be difficult for refinery employees, but Shell will support them through this period of uncertainty,” Mr Smith said.
“Refinery employees in Geelong have made a significant contribution to both Shell and the local community over many years, supporting the economy in south east Australia.”
Shell is set to make an announcement of any successful buyer as soon as it could, with the aim to conclude the sales process by the end of 2014.
“Shell is one of Australia’s largest private sector investors, and remains committed to its business in Australia,” Mr Smith said.
Shell has operated in Australia for more than 110 years.