April 13, 2022
(press release)
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Viva Energy Group Limited (the Company) announces today that it has agreed to acquire LyondellBasell Australia (LBA), a Geelong-based national polymer manufacturer and distributor which has its production facility located inside the footprint of Geelong Refinery. This will be a key step in the development of the Company’s Energy Hub. LBA is the country’s only polypropylene manufacturer, supplying the Australian and New Zealand market with raw material for the production of diverse plastic products ranging from food packaging and medical equipment to polymer bank notes, and serving more than 60 customers across Australia, New Zealand, Asia, India, the Middle East and North America. The business is strongly complementary to Viva Energy’s refining operations, with the refinery’s propylene production utilised as the feedstock in LBA’s existing manufacturing operations. LBA has a strong market position, manufacturing and importing a range of polymers with both broad market use and specialist applications. The acquisition broadens the scope of Viva Energy’s manufacturing capability, and further diversifies our product mix and marketing opportunities. The business has good fundamentals and a solid operating model, with potential for growth. LBA employs approximately 100 people across manufacturing, supply chain and marketing operations, and the production facility at Geelong plays an important role in the optimisation of the Geelong refinery. Viva Energy CEO Scott Wyatt said, “This acquisition is another step in the development of our Geelong Energy Hub and the further diversification of our Commercial and Industrial businesses. This facility and its manufacturing capability are vital to the economies of Victoria and Australia, and can have important roles to play in Australia’s circular economy through the recycling of plastics. The acquisition of this business opens the door for innovation and the development of new business opportunities.” LBA Managing Director Mitchell Killeen said, “LBA has a proud operational and trading history in Geelong and Australia, and we are excited to see this continue under Viva Energy’s ownership. As part of the transaction, we have agreed that Viva Energy will become our local distributor and we look forward to working with them. Just last month, Prime Minister Scott Morrison identified plastics as one of seven key manufacturing sectors of national interest. This business has an important role in Australia’s future.” The transaction is for 100% of LBA through a share sale. The long-term business arrangements will deliver value for both Viva Energy and LyondellBasell. About Viva Energy Viva Energy owns and operates the strategically located Geelong Refinery in Victoria, and operates bulk fuels, aviation, bitumen, marine, chemicals and lubricants businesses supported by more than 20 terminals and 50 airports and airfields across the country. www.vivaenergy.com.au About LyondellBasell
Viva Energy is one of Australia’s leading energy companies and supplies approximately a quarter of the country’s liquid fuel requirements. It is the exclusive supplier of high quality Shell fuels and lubricants in Australia through an extensive network of around 1,330 service stations across the country.
As a leader in the global chemical industry, LyondellBasell strives every day to be the safest, best operated and most valued company in our industry. The company’s products, materials and technologies are advancing sustainable solutions for food safety, access to clean water, healthcare and fuel efficiency in more than 100 international markets. LyondellBasell places high priority on diversity, equity and inclusion and is Advancing Good with an emphasis on our planet, the communities where we operate and our future workforce. The company takes great pride in its world-class technology and customer focus. LyondellBasell has stepped up its circularity and climate ambitions and actions to address the global challenges of plastic waste and decarbonization. In 2022, LyondellBasell was named as one of FORTUNE Magazine's "World's Most Admired Companies" for the fifth consecutive year. For more information, please visit www.lyondellbasell.com or follow @LyondellBasell on LinkedIn
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