Shell and Woodside rekindle supply deal

Shell Australia and Woodside Petroleum have bolstered their relationship, entering a deal to redevelop fuel supply facilities at Dampier's King Bay.

Shell said the agreement would enable it to continue to supply Woodside with bulk fuels.

Works include the reinstatement of the King Bay supply base import pipeline, additional tank facilities and a road gantry for truck loading.

Shell's general manager of marketing Craig James said the facility was important for the storage of diesel to support shipping and local export industries.

Mr James said Western Australia was a key growth market for Shell's Australian business and the redeveloped facility would improve supply to customers in the Dampier area.

"This investment is part of a much larger capital program to support Shell's aggressive plans to grow its fuels business," he said.

"Shell is uniquely placed to understand the challenges in northern WA as a business that is heavily involved in LNG production, shipping activity and also road transport.

"Our major focus is to work together with resource customers to meet their energy needs.

"Northern WA is one of the largest export regions in Australia, and because of this demand for marine fuel is booming.

"This investment will assist Shell to meet increased demand."