British energy giant BP shall be closing down one of the Australia’s last remaining oil refineries – Kwinana in Western Australia, causing hundreds of people to lose their jobs and expanding the country’s dependency over imported fuel.
Federal Labor leader Anthony Albanese has asked the Morrison government to intervene and stop the closure saying it will be critical for the nation’s fuel security.
The oil and gas giant, citing the reason for the closure, said that the regional oversupply and low margins mean the refinery is not viable anymore.
The refinery, that currently employs 650 employees, will be converted into an oil import terminal.
In a previous statement, federal energy Minister Angus Taylor had said that Morrison government is disappointed by the move, but the decision has been taken considering factors such as the age of the refinery and overseas competition.