Not Outer Harbor, but close by and a similar facility. They mention the mining boom and the need for more deisel, and they're putting in rail sidings - I wonder if this means that there will be rail to the mine at Olympic Dam, or does it mean that the fuel will be arriving at Largs North by rail? The Outer Harbor facility is being enlarged to be able to take a whole shipload of fuel - can fuel be offloaded by ship at Largs North too?
BP outlines $20m expansion project of its Largs North fuel terminal
Chief business reporter Cameron England From: The Advertiser April 15, 2011 12:00AM
BP will spend $20 million expanding its Largs North fuel terminal.
And the construction is set to start in the second half of this year.
The expansion is on top of a potential $110 million diesel storage and refinery being considered for Port Bonython, north of Whyalla, and a separate $110 million bulk fuel facility proposed for Outer Harbor, which would extend the state's fuel stocks from six days to an estimated two weeks.
Diesel use in South Australia is expected to increase markedly in the next few years, as mining projects such as BHP Billiton's proposed Olympic Dam mine expansion and several other projects start production.
Work has begun on the design of the BP facility, for the construction of two additional 30 million litre storage tanks, to increase diesel storage capacity from 75 to 135 million litres.
It will create 20 to 30 jobs during construction.
A rail gantry will also be built within the terminal.
"As the South Australia mining and transport markets continue to grow, rail movement of fuel offers a reduction in the number of truck movements and an improvement in the efficiency and safety of transporting large volumes of fuel around the state," the company said.
"BP's Largs North terminal is already the largest storage facility in the region, and when complete the new tanks will double its diesel storage capacity."
BP Australasia president Paul Waterman said the additional storage would increase supply security for South Australian customers.
"This announcement follows the recent award of four exploration blocks offshore South Australia which will see BP investing $1.4 billion in seismic and drilling activity over the next six years," he said.
The new tanks are expected to be operational late next year.
The Port Bonython project, which is being considered by Senex Energy, was approved by the State Government in January last year, and if backed for funding by the company, would initially involve a $60 million storage facility, with a capacity of 100 million litres.
The second stage would involve building a refinery, which would process oil from the Cooper Basin into diesel, and an expansion of storage capacity.
The Development Assessment Commission is considering the other Outer Harbour project, with 10 above-ground tanks.