extension of up to three months on its deadline

span style="font-size: 12pt; font-family: "Times New Roman";" lang="EN-US">Readers, read below then see these comments.
Three months try six or even nine, with the way things are going (strikes, gassings, safety problems and poor quality items from India and china) . The over spend on this is now huge apparently they could have built a new refinery with the same amount of money. Incompetence or what?. If they are not trying to gas the locals or price gouge them at the pumps then they are wasting share owners profits big time. Wow



Caltex to ask for fuel extention

August 12, 2005 CALTEX Australia will ask the federal government for an extension of up to three months on its deadline to meet clean fuels standards.

The oil refiner said this was to ensure it can supply its customers.

Caltex (ctx.ASX:Quote,News) said today its refineries - at Kurnell in Sydney and Lytton in Brisbane - may not be upgraded in time for the January 1, 2006, deadline for the sale of cleaner petrol and diesel, due to factors mostly beyond its control.

But chief executive David Reeves said the company would only use the extension if necessary.

"We have decided it is prudent, as a contingency and to assure certainty of supply to customers, to request the short-term variation," he said.

"Caltex will only use the variation if necessary and is doing everything within its power to have the systems and facilities in place."

In April this year, Caltex (ctx.ASX:Quote,News) announced its capital costs for the clean fuels project had blown out by about $100 million due to design changes.

At the time, Mr Reeves estimated the compliance costs had increased from $295 million to $395 million. Caltex said late delivery of materials and a shortage of skilled workers in some trades had delayed the upgrade, even though the project's funding had been increased and workers were at the sites round-the-clock.

The new government regulations require petroleum companies to reduce the amount of pollutants, such as sulphur, in petrol and diesel.

Caltex said it was committed to providing certainty of supply to its customers during the transition.