Caltex to help support South Australia's
rapid economic growth
July 15, 2011
Caltex Australia MD and CEO Julian Segal today announced that
Caltex has agreed on the key terms of a plan to boost the supply
and reliability of fuel to South Australia and support the state's
resources sector in its rapid growth over the next decade.
Mr Segal said the proposed 25-year deal with Terminals Pty Ltd
would provide a near doubling of fuel storage capacity in the state
and was the largest and latest in a series of commitments that
Caltex has made to its supply chain as one of the nation's leading
fuel suppliers and the only refiner-marketer listed on the
Australian Securities Exchange.
"This is a demonstration of our commitment to ensuring greater fuel
supply reliability for Adelaide and supply continuity for Caltex's
growing list of commercial customers across the state," Mr Segal
"This project is part of Caltex's overall commitment to develop
infrastructure and capability to meet Australia's growing
transport, agricultural and mining fuel needs."
As part of the arrangements, Caltex will become a foundation
customer of the new fuel storage terminal being built at Adelaide's
Terminals Pty Ltd is awaiting formal approval of a Development
Application for stage one of the terminal, which will hold unleaded
grades 91, 95 and 98 as well as diesel, biodiesel and
Caltex National Manager Distribution Mike Raleigh said that the
construction of the new facility was due to begin later this year,
subject to regulatory approvals.
The $80 million first stage of the new facility is scheduled to
open in 2013 and will initially provide 85 million litres of new
storage capacity for South Australian fuel supply and have
capability to eventually expand to 135 million litres.
"Caltex's current fuel capacity in Adelaide is limited by available
tank capacity and by congestion at the existing Inner Harbour berth
due to occupancy levels rapidly approaching their upper limits," Mr
"These capacity constraints have been a major factor in a number of
fuel shortages affecting Adelaide and the state of South Australia
over the past few years.
"Moving to a new terminal, which will be serviced by a new Outer
Harbor berth, will give South Australians much greater fuel supply
certainty and also improve safety."
Caltex National Manager Lubricants & Direct Sales Phil Amos
said the expansion of fuel storage capacity would also benefit the
state's mining industry, which needs increased volumes of diesel as
it continues a rapid expansion over the next decade.
"Caltex has seen a continued growth in its national marketing
business, driven in part by increased sales of transport fuels
which grew to 15.1 billion litres in 2010," Mr Amos said.
"Our increased commitment to fuel supply infrastructure in Adelaide
follows an expansion in our storage capacity in Western Australia
and Queensland where we are servicing the rapid growth in the
"Caltex is committed to a truly national supply chain that meets
the fuel needs of our customers wherever they are operating around
02 9250 5094
Fran Van Reyk
Manager, Investor Relations
02 9250 5378