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Home Industry

Australian fuel refinery fire: ‘There will be an impact on production’

A fire at an oil refinery in Geelong – one of only two refineries operating in Australia – has threatened to further impact local fuel supply.

Jordan Mulach by Jordan Mulach
16 April 2026
in NEWS
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Australian motorists are being warned there could be another blow to the local supply of fuel, after an explosion and subsequent fire occurred at one of the nation’s two remaining oil refineries overnight.

At approximately 11:15pm on Wednesday April 15, multiple calls to emergency services reported explosions and flames at the Viva oil refinery in Corio, just north of Geelong’s CBD in southern Victoria.

The fire, which has still not been extinguished at the time of publication, broke out in the refinery’s ‘mogas’ (motor gasoline) plant, which produces high-octane petrol fuels, low aromatic gas for remote communities, and aviation gasoline (avgas, not jet fuel).

Production of jet fuel and diesel at the plant is reportedly continuing at the facility, but in a reduced capacity due to safety concerns. Production of mogas products has been paused indefinitely.

Australia’s fuel excise cut after petrol, diesel prices soar

According to Federal Energy Minister Chris Bowen, “the major impact at this point appears to be more on petrol production”, he told ABC News Breakfast this morning.

“It appears to be an accident at this point.

“Never a dull moment… and not great timing. But, you know, we manage these things. This is no one’s fault.”

As reported by the ABC, the Corio refinery produces approximately 50 per cent of Victoria’s fuel, and 10 per cent of Australia’s, though this includes all products, not just the mogas products affected.

Australian Government allowing ‘dirtier’ fuel to ease shortage fears

No injuries were reported as a result of the fire, the root cause of which is still to be determined, however it’s understood the explosions took place in a part of the plant which turns liquefied petroleum gas into gasoline, with liquid hydrocarbons and gasses fuelling the fire.

The refinery was opened in 1954, and is one of just two oil refineries still operating in Australia, with the other being in Lytton near Brisbane.

The two oil refineries have been put in the spotlight in recent weeks, due to the impact on oil supply globally due to conflict in Iran, and the blockage of the Strait of Hormuz.

Previous reports have said Australia’s fuel reserves have increased since the start of the conflict due to additional stockpiling, however panic buying and a rise in temporary demand has resulted in some stations running out of fuel.

Jordan Mulach

Jordan Mulach

Motoring Editor
Jordan Mulach is an Australian motoring journalist with a background in motorsport reporting. Now a leading automotive news writer, he combines industry expertise with a passion for cars, sim racing, and all things motoring.

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