PERDAMAN chairman Vikas Rambal says Australia’s dependence on imported fuel and fertiliser has left the nation dangerously exposed, warning that global supply shocks have pushed the country “to the brink” and underscored the urgency of completing the company’s $7‑billion urea project on the Burrup Peninsula.
In a wide‑ranging interview, Mr Rambal said he was “searching the internet and ChatGPT” for answers as to why Australia had not built a refinery in decades, despite importing 90% of its diesel, gasoline and aviation fuel.
“Australia is importing thousands of refined fuel and petrochemical products,” Mr Rambal said. “It beggars belief, we should be importing crude and converting it here.”
He said Europe now held just 100 days of fuel supply, the UK 60 days, and Australia was similarly exposed. “Imagine if we don’t get one material out of that list, what will the country do?” he said. “Australia is on the brink.”
Mr Rambal said both state and federal governments had increased pressure to accelerate Perdaman’s urea project after the Prime Minister struggled to secure supply overseas.
“Suddenly, when the Prime Minister went overseas to get urea and he didn’t get enough, he realised someone stupid like me put his balance sheet at risk to get this project up and running,” he said.
He said the “ring bell has rung in Canberra” following the Iran conflict, prompting a new appreciation of the project’s national significance. “Sometimes you have to think about the country rather than your personal thing.”
Perdaman’s Burrup urea plant is now 87% complete, with construction at 78%, and first production targeted for June 2027. “We should be in production in June… by June–July we will produce 100%,” Mr Rambal said. “This time next year farmers will be able to laugh and smile.”
The company expects to build full stockpiles within a couple of months of commissioning.
Although the project is financed under FOB arrangements to manage drought and market risk, Perdaman plans to allocate at least 50% of early production to Australia and New Zealand. “With the passage of time, my expectation is this project will almost scatter the import requirement for this country,” he said.
Perdaman will produce granulated urea, a dust‑free, higher‑value product preferred in Europe, the US and Australia. “We are in a very exclusive position from the supply chain point of view.”
Mr Rambal praised Pilbara Ports Authority chief executive Sam McSkimming as “the most commercial guy I’ve met in my life,” saying the port’s understanding of the project’s national significance had been critical. “Once you have that understanding, everything falls in place,” he said.
The 3.5‑kilometre enclosed conveyor linking the plant to Dampier is now 70% complete and described by Mr Rambal as “a beautiful piece of art.” “It comes very well… the way it is prefabricated in Vietnam, the way it has come together.”
In a second project, Mr Rambal confirmed that federal and state governments were finalising documentation for a pre‑feasibility study into Perdaman’s proposed large‑scale fuel refinery.
“They are doing some documentation which should finish by the end of this month,” he said. “Then we will start selecting technology companies.”
He said Australia’s failure to build a refinery in the past century remains inexplicable. “I don’t know why we didn’t do it for the last 100 years… I’m very concerned not to find that information.”
Mr Rambal is one of the country’s most prominent industrial investors, with the Australian Financial Review Rich List estimating his wealth at around $5 billion.
Perdaman is not seeking new investors, with BlackRock remaining a committed partner. “Our focus is on one thing right now — to start production,” Mr Rambal said.