Viva Energy Australia has announced a collaboration with the Tiwi Port and Marine and the Department of Defence.
The partnership with the indigenous-led commercial business ensures ongoing operations of the Melville Island Fuel Facility.
Viva Energy expects the 30 million-litre fuel facility, located 80 kilometres north of Darwin, will play a critical role supporting various industries in the region while also enhancing Defence’s fuel capability and resilience.
The Tiwi Port and Marine will take over the port operations as part of the partnership, after the previous business was placed in administration leaving the facility at risk of closing.
This would have had a significant impact on the community.
The deal will see Viva Energy enter a long-term exclusive licence to run the fuel facility, providing certainty for what is considered a crucial port business activity, supported by a storage agreement with Defence.
While this commercial deal will benefit all parties, self-determination has been a core consideration in its development.
The partnership allows Tiwi Port and Marine to acquire the overall port facility, with a portion of future storage revenue going directly to the Tiwi-led organisation once a certain level of storage is achieved.
“I’m very proud of this new partnership with Viva Energy and Defence,” said Tiwi Port and Marine Chair, Gibson Farmer Illortaminni.
“Working together, the Tiwi people are shaping the island now and into the future, creating jobs and opportunities for our kids and future generations.”
Scott Wyatt, Viva Energy CEO, said it was tremendously exciting to formalise the partnership.
“This deal aligns closely with Viva Energy’s long-standing commitment to supporting reconciliation and positive outcomes for First Nation’s people and our obligations to Defence, which is one of our company’s most strategic customers,” he said.
“Through this long-term partnership, Viva Energy will utilise our core business skills and expertise in fuel supply chain operations to run the Melville Island Fuel Facility, providing long-term certainty for the business and Defence,” said Wyatt.
“Importantly, we will work with the Tiwi communities to transfer skills and knowledge through training and employment opportunities. We will also link into our other commercial and community partners to unlock additional business opportunities and enhance access to community services.”
Working with First Nations communities in key business streams is a core part of Viva Energy’s Third Innovate Reconciliation Action Plan, which was launched last week.
Located at South Barlow Point, 63 nautical miles north of Darwin, Port Melville offers a security regulated port approved by the Commonwealth Government of Australia.
Port Melville is a multi-user facility supporting the Northern Territory oil and gas industry, marine transport industry and local Tiwi community through the provision of a port facility and ancillary services.
The Port Melville fuel facility consists of three vertical storage tanks with the capacity to hold up to 30 million-litres of fuel.
The facility also has a motor control centre room, dispensing pump skid, metering skid, wastewater system, slops tank, fire protection and a light vehicle refuelling system.
