PORT of Newcastle will soon be home to a 30-million litre fuel storage tank which will boost the nation’s fuel storage capabilities.

The facility will be constructed at Park Fuels’ Walsh Point terminal on one of the country’s first strategic diesel storage facilities. Park Fuels is an Australian-owned fuel supply company.

Construction of the tank is set to proceed with joint funding from Park Fuels and the Commonwealth government’s $260-million program aimed at increasing nation-wide diesel storage to around 780 million litres.

Port of Newcastle CEO Craig Carmody said the new facility at the port is expected to strengthen Australia’s fuel security by increasing the volume of diesel stock that can be kept onshore.

“Fuel imports have grown significantly over the past decade and now account for the port’s second largest trade, with an increase in demand from agriculture and mining, general industry and domestic users,” Mr Carmody said.

“As operators of one of the Port’s three bulk liquid import terminals, we congratulate Park Fuels on reaching this significant milestone.”

Mr Carmody said the investment recognises the role Port of Newcastle and the Hunter region will play in supporting the nation’s economy.

“Not only will it increase our local fuel storage capabilities, but it will create local jobs and ultimately increase fuel trade through the port, which will have positive flow-on effects for our entire region.”

Construction of the new facility was marked with a sod-tuning ceremony attended by minister for industry, energy and emissions reduction Angus Taylor.

Park Fuels CEO Brett Fletcher described it as a milestone for the company and for the future security of the nation’s fuel supplies.

“Diesel is the lifeblood of our heavy industries,” he said.

“It fuels our trucks, our mines and our farms, so by investing in strategic storage facilities like this one we are helping to safeguard domestic supplies during peak periods and emergencies, while also keeping costs down for consumers.”

He said the new tank would increase the company’s storage capability at Kooragang from 54 megalitres to around 84 megalitres.

“As an Australian owned and operated company, we are proud to deliver a project that will not only double our workforce during the construction phase but will increase our existing team by 10% upon completion, ensuring Australian families and industries have continual access to the fuel they need, when they need it.”

The tank is scheduled to reach completion in mid 2023, and operational by late next year.