By Ross Kelly 
 

SYDNEY--Caltex Australia Ltd. (CTX.AU) said Thursday it will close its Kurnell refinery in Sydney and convert it to a fuel import terminal by 2014 as it struggles to compete with larger-scale facilities in Asia.

Australia's biggest refiner, 50%-owned by Chevron Corp. (CVX), said it will continue operating its only other refinery, Lytton in Brisbane, with a focus on operational improvements.

Caltex said it has also forged an agreement with Chevron for the supply of transport fuels into Australia for it to sell through its fuel marketing division.

Its decision comes after Royal Dutch Shell PLC (RDSB.LN) decided to shut its Clyde refinery in Sydney. When Kurnell closes in the second half of 2014, Australia's biggest city will have no operating refineries and will rely on imports for its liquid fuel needs.

-By Ross Kelly, Dow Jones Newswires; 61-2-8272-4692; Ross.Kelly@dowjones.com

Subscribe to WSJ: http://online.wsj.com?mod=djnwires

Caltex Australia (ASX:CTX)
Historical Stock Chart
From Nov 2024 to Dec 2024 Click Here for more Caltex Australia Charts.
Caltex Australia (ASX:CTX)
Historical Stock Chart
From Dec 2023 to Dec 2024 Click Here for more Caltex Australia Charts.