Viva Energy Group Limited reported a fire at its Geelong Refinery on 15 April 2026, with the incident occurring in the Alkylation Unit within the Gasoline complex. While all personnel were safely accounted for and emergency services brought the fire under control by Thursday morning, the incident has created near-term production disruptions that warrant investor attention. The company expects diesel and jet fuel output to fall to approximately 80% of capacity in the short term, with petrol production dropping more significantly to around 60% of normal levels.
The operational impact appears manageable in the immediate term. Viva Energy management stated that other major processing units at the refinery, including the Crude Distillation Units, Reformer and Residue Catalytic Cracking Unit, remain unaffected, though the RCCU is temporarily offline during stabilisation efforts. The company anticipates restarting the RCCU within weeks, which should allow production to recover to over 90% of capacity before final repairs commence. Importantly, Viva Energy indicated it maintains sufficient fuel stocks to meet reduced production requirements and expects to maintain normal supply to customers despite the incident, suggesting the impact on downstream operations and customer relationships may be limited.
Financial exposure appears partially mitigated through insurance coverage. The announcement confirms that Viva Energy has notified its insurers and holds insurance for both property damage and business interruption. However, a comprehensive assessment of damage, required repairs, associated duration and ultimate financial impact will commence this week. This means the full extent of costs to return to optimised production remains unknown, and investors should anticipate further updates as damage assessments progress. The uncertainty around repair timelines and restoration costs represents the key financial risk at this stage.
The incident underscores the strategic importance of the Geelong Refinery to Viva Energy’s broader operations. As the company’s only owned refinery and a crucial component of its energy infrastructure business, any extended disruption could impact earnings and cash generation. The refinery supplies fuels to Viva Energy’s network of nearly 1,550 service stations and supports its broader commercial services operations, so extended production constraints could have ripple effects across the group’s business segments.
Investors should monitor several developments closely in coming weeks. The completion of damage assessments and repair estimates will provide critical information on the financial impact and timeline to full recovery. Any material deviations from management’s current expectations around production recovery timelines or insurance coverage will be important signalling events. Additionally, findings from the comprehensive investigation into the incident’s cause may reveal operational or safety issues requiring systemic remediation. The company’s shares recommenced trading on 20 April 2026, and this announcement has been flagged as price sensitive and material by the ASX.
View the full ASX announcement (PDF)
About Viva Energy Group Limited (ASX: VEA)
Viva Energy Group Limited is an energy company operating in Australia, Singapore, and Papua New Guinea with three main business segments: Convenience & Mobility, which operates fuel and convenience retail under brands including Shell and Coles Express; Commercial & Industrial, which supplies fuel and lubricants; and Energy & Infrastructure, which includes refining and pipeline operations. The company is Australia’s second-largest vertically integrated refined transport fuel supplier with a significant refining operation in Geelong.
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