NZ Refining approves upgrade

New Zealand Refining has approved a NZ$180 million (US$132.96 million) upgrade at its Marsden Point refinery in Northland. The company, which is 73% owned by BP, Mobil, Caltex and Shell, will replace imported residue from other refineries with crude oil. The planned upgrade, decided after several years’ work and NZ$30 million (US$22.16 million) in studies, will increase by 20% the refinery’s ability to process crude oil by 2009. “Margins have been excellent over the last few years, so nearly everyone around the world is looking at expanding refining capacity,” Chairman Ian Farrant said. The refinery supplies more than 70% of New Zealand’s petroleum product requirements, around 60% of its petrol and more than 75% of its diesel and jet fuel needs. (April 26, 2007)