Shell Australia
| File:Shell logo.svg Logo of Shell Australia | |
| Company type | Subsidiary |
|---|---|
| Industry | Oil and gas |
| Founded | 1901 |
| Founder | Shell Transport and Trading Company |
| Headquarters | Perth , Australia |
Area served | Australia |
| Products | Fuels, lubricants, petrochemicals, LNG, coal seam gas |
| Parent | Shell plc |
Shell Australia serves as the Australian branch of Shell. Since its establishment in 1901, the company initially concentrated on delivering bulk fuels before broadening its operations to include storage facilities, distribution terminals, oil refineries, and a widespread network of service stations. It further diversified into sectors such as oil exploration, petrochemicals, coal mining, and became a significant contributor to the North West Shelf Venture, which stands as Australia's largest resource development initiative.
In August 2014, Shell divested its Australian downstream segment—comprising the Geelong Oil Refinery, 870 retail outlets, bulk fuel operations, bitumen, chemicals, and part of its lubricants business—to the Dutch corporation Vitol for A$2.9 billion.
While retaining its aviation fuel division, Shell Australia’s current strategic emphasis lies in upstream operations including exploration, liquefied natural gas (LNG), and onshore coal seam gas extraction. The company possesses extensive reserves within the North West Shelf, Gorgon, Browse Basin, as well as coal seam gas fields located in Queensland’s Surat Basin and Bowen Basin. Additionally, it holds a robust exploration portfolio with major offshore permits in Western Australia and the Northern Territory.
In January 2016, Shell Australia moved its corporate headquarters to King Square in Perth.
History
Shell's Australian operations commenced in 1901 when the Shell Transport and Trading Company of London established bulk fuel facilities at Gore Bay, Sydney, and leased land near Melbourne’s Williamstown railway station. The tanker Turbo delivered Australia's first bulk kerosene shipment on 3 June.
In 1903, the tanker , owned by the Shell/Royal Dutch joint venture Asiatic Petroleum Company, was wrecked near Port Phillip Bay, resulting in Australia's earliest significant oil spill.
By 1905, Shell Transport and Trading partnered with Royal Dutch Petroleum to create the British Imperial Oil Company in Australia as a joint venture. Bulk deliveries to service stations with pumps began by 1916. The acquisition of Neptune Oil Company occurred in 1926; shortly afterward in 1927, British Imperial Oil was renamed Shell Company of Australia. The Clyde Refinery in Sydney was purchased in 1928.
Shell expanded refining capabilities by opening a second refinery at Geelong in 1954 and added a detergent alkylate plant there in 1959 alongside a petrochemical facility at Clyde. Throughout the 1960s, Shell actively pursued both onshore and offshore oil exploration across Australia.
Domestic LNG sales from the North West Shelf commenced in 1984, followed by a sales contract with eight Japanese utilities in 1985. By that period, Shell had increased its stake in Woodside Petroleum from 21% to 40%. Today, Shell is one of six stakeholders in the North West Shelf project holding a 16.67% equity share alongside BP, BHP Billiton Petroleum, Chevron, Mitsubishi/Mitsui, and Woodside.
Sale of downstream business
In August 2014, Shell disposed of its Geelong refinery and petrol station network for A$2.9 billion (US$2.6 billion) to Geneva-based Vitol. Vitol manages these assets under the Viva Energy brand while continuing to operate service stations under the Shell name through a brand licensing agreement.
Prelude
In May 2011, Royal Dutch Shell completed its investment in the globe's inaugural floating liquefied natural gas (FLNG) installation. Shell's initial FLNG investigations occurred in Namibia during the 1990s but were discontinued due to unfavorable economic conditions. The initiative was reinstated in 2007 following the discovery of the offshore Prelude field off Australia's northwest coastline, which is estimated to contain approximately of natural gas equivalent reserves.
As of mid-2014, the Prelude FLNG vessel was being constructed in Geoje, South Korea, and is recognized as the longest floating structure worldwide. This processing unit rises tall from the deck and is designed to convert up to of oil-equivalent natural gas daily into liquefied natural gas for export markets in Asia. The hull was finished by December 2013, with production initially planned for 2016 and total expenditures surpassing US$12 billion.
Operations began in December 2018. Shell possesses a 67.5% ownership share, alongside partners including CPC Corporation, Inpex Corporation, and Korea Gas Corporation.
Ningaloo
In July 2011, the Australian Federal Government granted approval for Shell to drill an exploration well approximately west of the Ningaloo Marine Park. This project targets depths near , marking the deepest drilling activity within Australian maritime territory.
Surat
Royal Dutch Shell acquired $10 billion (AUS) in leases for the Surat project in February 2019, collaborating with PetroChina through their joint venture Arrow Energy. In December 2017, Arrow entered a 27-year agreement to supply gas to Shell's Queensland Curtis LNG (QCLNG) operation. The Surat development utilizes QCLNG infrastructure to exploit Australia's largest coal seam gas reserves, aiming to expedite production while reducing environmental impact.
Sponsorships
Shell sponsored the Shell Aria, a competition promoting emerging operatic talent in Australia, conducted alongside the Australian National Eisteddfod in Canberra beginning in 1955.
Between 1987 and 2004, Shell served as the principal sponsor of Dick Johnson Racing, later maintaining a minor sponsorship role before resuming title sponsorship of DJR Team Penske during the 2017 Supercars Championship. Additionally, Shell reinstated its position as the official fuel supplier for the series—a role it initially held from 1987 to 2001 and resumed in 2017.