CC-98-144 INTEGRATING THE NEW ZEALAND SUPPLY CHAINNZRC’S HYDROCARBON INTEGRATION PROJECT

Description:

The New Zealand fuels market is a complex one, in which there are a number of parties having differing ownership of parts of the supply chain. At the center of the supply chain is the Marsden Point Oil Refinery, a modem, medium sized upgrading installation at Whangarei, some 169 kilometres north of New Zealand’s major city, Auckland. The refinery is a public Company in which 85% of the ownership is distributed between the 5 major marketers. At present only 4 of those marketers have processing agreements with the Refining Company. The Refinery processes some 30 feedstocks per annum sourced from all over the world. The supply chain is at times a very long one with the time between crude loading and products to a retail depot being over 4 months. The Refinery is connected to Auckland by a multi-products pipeline, this being the only source of most automotive and aviation fuels. The Refinery owns the pipeline and the marketing terminal at the termination of the pipeline, but the terminal is operated by a joint venture of the four processors at the Refinery. A similar Company owns and operates the coastal fleet of 3 tankers which not only carry all fuels and bitumen to 11 ports but also deliver indigenous crude to the refinery.