Caltex Australia has today announced an agreement to triple its bitumen storage capacity in New South Wales and secure long-term supply continuity for its customers across the state.

Caltex Australia's General Manager for Supply & Distribution, Ken James, said the agreement with Terminals Pty Ltd for the use of its emerging bitumen import facility at Port Botany was a proactive move that would ensure Caltex could meet current and future demand for this specialty product.

"The agreement with Terminals Pty Ltd will provide Caltex with more than 20 million litres of hot bitumen storage capacity, allowing us to efficiently import and distribute bitumen within NSW for future decades," Mr James said.

"This is a clear demonstration of our commitment to maintain reliable bitumen supply to NSW and service Caltex's growing list of commercial customers across the state.

"The project is just one part of our broader commitment to develop infrastructure and capability to meet Australia's need for a diverse range of fuel and non-fuel products."

Mr James said the decision was made in light of the phase-out of supply from the Caltex Lubricating Oil Refinery at Kurnell.

"We will cease manufacture of bitumen at Kurnell and transfer our supply base to the new import facility at Port Botany once it is commissioned," Mr James said.

Caltex will now become the foundation customer of the new bitumen storage facility, to be owned and operated by Terminals Pty Ltd, and will import the product from quality regional refineries using a fleet of specialised tank ships.

The facility was recently granted development approval and is scheduled to open in the second half of 2012.

Caltex Australia's National Manager Lubricants & Direct Sales, Phil Amos, said the expansion of bitumen storage capacity would also benefit the state's road services industry by maintaining quality supply of all Roads & Traffic Authority base grades.

"Caltex is committed to a truly national supply chain that meets the product needs of our customers wherever they are operating around Australia," Mr Amos said.

Media contact:
Sam Collyer
Media Adviser
02 9250 5094
sam.collyer@caltex.com.au

Analyst contact:
Fran Van Reyk
Manager, Investor Relations
02 9250 5378
fvanrey@caltex.com.au