Oh, yes, get into one of those famous bidding wars at sea !
I would and many others also would be wishing it was that simple.
Oh yes it has to be a tanker with petrol and/or diesel, no refineries here.

If this situation arises there will be a lot of countries in the same
boat, OH dear, I did not mean that !

But seriously, an ISIS or Israeli attack on Iran or Saudi, or Iraq
etc etc could close the straight of Hormuz and bang goes 25%.
Really read the NRMA report.

http://tinyurl.com/mnotj8p

It says Part 2 but I think it is actually part 1 & 2.
There is also an earlier government report by ABIRE which was suppressed
by the government but escaped thanks to a LaMonde reporter in Paris.

Bazz -
In the shipping industry, tankers changing destination because they've been outbid are a common occurrence.
BTW we do still have a few refineries still working in Australia. AIUI the biggest is at Geelong, but they're also in WA and Queensland.

Nothing short of America or Britain going to war against Iran could close the Strait of Hormuz. And a 25% supply shock would not paralyse us.

Yes I am aware that on board buying is common except in the situation
I suggested countries would buy FOB so the cargo could not be sold
over their head. The only reason they don't now is to save the interest
on purchase price.

Iran has often threatened to close the strait if the current restriction
on their trade are upgraded. Israel attacking is I think
a real possibility if they start enriching beyond the present limit.

I was under the impression Geelong was closed, but it is up for sale
either as a refinery or a terminal. So far no buyers.
Kiwana is slated for closure this year or next year.
Brisbane's refinery is closing this year.
In a very few years there will be none.
I suspect your view is held by the government.

Famous last words.

Swiss energy group Vitol is adamant that oil refining in Australia can be a profitable business, so much so that it is tipping $150 million into its Geelong plant.

Vitol, which bought Shell's downstream business for $2.9 billion three months ago, is progressing with a $1 billion five-year investment plan, which includes upgrading the Geelong refinery. But the plan to salvage the marginal refining business has come at a cost.

Sources say the company has axed about 10 per cent of its workforce with white collar jobs accounting for most of the cuts. The company has retained all 450 staff at the Geelong refinery, saying their expertise was a key part in making the business profitable.

Australian Workers Union Victorian branch secretary Ben Davis said he understood there had been some job cuts but they were non-union members.

The coalition is on very shaky ground today. NSW elections coming up nothing can be guaranteed. Not while Abbott is still wreaking the nation . It has not taken long at all to cause such a mess, so much for a one man parliament.

579, thanks for the update on the Geelong refinery.
I had not heard that Shell had sold it. Shell also sold out their
share of Woodside in a bid to raise money. Most of the major oil
companies have been selling assets to maintain their dividends.