Geelong Refinery Fire Slams Australian Jet Fuel Supply

0:00A fire at the Viva Energy Refinery in Jalong has slashed Australia's jet fuel output, hitting quantists, jet star, and Virgin right when they're already, reeling from skyrocketing global prices. Energy Minister Chris Bowen says the plant's still churning out jet fuel and diesel, but at way lower levels as a safety measure after the overnight. Blaze. The aviation fuel area dodged direct damage, yet everything scaled back across the board. This mess piles on top of the Middle East chaos, where attacks shut down the Strait of Hormuz, spiking refining costs from $20 USD a barrel, to a peak of $120. Quantists is staring down $600 to $800 million extra in fuel expenses for the second half of their financial year. Virgin's bracing for $30 to $40 million more in cost next year, even with heavy hedging on crude oil and margins. Analysts like Hugh Dive warn it'll tighten jet fuel supply down under, forcing airlines to slap on fuel surcharges soon, or risk running dry.

1:02Meanwhile, Asian refiner's are hoarding stocks, leading to shortages that cramped short haul flights and regional routes. With carriers already trimming schedules since early March, expect tighter travel options as this fuel crunch drags on. I'm Corey with the story. That's your sending news today update, AI powered and always on.