Reaction: Vitol Not Involved in MUA Dispute

In a statement emailed to World Maritime News, Viva Energy Australia denied the Maritime Union of Australia’s claims about taking Swiss multi-billion company Vitol to the Fair Work Commission (FWC) over its alleged decision to fire the MUA members working on board the product tanker Tandara Spirit.

Viva Energy’s spokesperson Jessica Marriner said that “Viva Energy is an independent and locally managed business,” and that ”any reference to Vitol’s involvement in the matter is incorrect.”

”As a result of agreeing new contracts which significantly increase ground fuel sales in Victoria (Australia), Viva Energy’s requirement to export product from Victoria has considerably reduced and consequently, Viva Energy no longer requires a dedicated coastal vessel to transport petroleum products within Australia,” said Marriner.

Vitol launched Viva Energy back in August 2014, following the completion of Vitol’s acquisition of Shell’s Australian downstream business for AUD 2.9 billion (USD 2.51bn).

‘This decision was not prompted by the purchase of the business by Vitol,” said Marriner. ”Viva Energy’s coastal requirements have changed to an extent that the vessel is no longer required. Viva Energy will meet all obligations under the time charter agreement and the ship is returning to Singapore so that it can be prepared for re-delivery to its owners before the time charter expires. Our independent advice is that we have not breached the memorandum of understanding. We have also supplied all information requested by the MUA. We continue to focus on our goal of ensuring the long-term viability of Geelong Refinery (Victoria, Australia). Since taking this decision Viva Energy has held discussions with the ship operator, employees, unions and the government. Teekay Australia is the employer of the seafarers, so any employment questions should be directed to them.”