AUSTRALIA will increase its dependence on foreign sources of oil with the decision by Caltex to close the Kurnell refinery - the second of Sydney's two oil refineries - with the loss of several hundred jobs.
Caltex said the refinery, on Port Botany, south of the city, will be converted to an import terminal at a cost of $680 million. As a result, more than 330 in-house employees will lose their jobs, and the jobs of an unspecified number of the 300 contractors who also work at the plant are at risk.
Minister for Resources and Energy Martin Ferguson insisted the closure would not jeopardise Australia's energy security, since the country already imported large amounts of crude oil and finished petroleum products.
''This decision will see imported supplies of crude oil being replaced by imported refined product,'' he said.
Caltex said it would buy refined oil from Singapore, Korea and India for sale in the local market.
Read more at Brisbanetimes.com.au
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