Australia's Ampol ends Lytton refinery repairs, provides output forecast

Australia's top fuel retailer Ampol ALD said on Friday it had completed repairs at its fluidized catalytic cracking unit (FCCU) at the Lytton refinery in Queensland, and now expects total production for 2024 to be 5.2 billion liters.

Ampol previously said the FCCU had been experiencing operational issues, which resulted in a sharp drop in third-quarter output. It deferred a turnaround and inspection of the FCCU planned for 2025 to the first half of 2026.

The company said the Lytton refinery margin had increased to $6.20 per barrel for October, up from $1.48 in the third quarter.

The fuel retailer forecast a capital expenditure of A$650 million ($422.50 million) for 2024, citing further planned maintenance work at the refinery along with investment in a sulfur fuels project.

Its capital expenditure was A$521.4 million in 2023.

The company also announced a proposed issue of Australian dollar-denominated subordinated notes to wholesale investors, with proceeds aimed at refinancing debt and general corporate purposes.

($1 = 1.5385 Australian dollars)