A Sunshine Coast service station has been ordered to undertake further remediation work following a fuel leak that contaminated the surrounding environment.
The Queensland Department of the Environment, Tourism, Science and Innovation (DETSI) has issued an Environmental Enforcement Order (EEO) to Freedom Fuels Australia over a contamination incident at its Kulangoor service station on Nambour Connection Road, where an underground unleaded petrol tank leak prompted the evacuation of the neighbouring Nambour Caravan Park in March.
Freedom Fuels CEO Mark McKenzie said the company had been working with environmental experts and regulators since the incident was identified.
“We acknowledge the Environmental Enforcement Order issued by the Department on May 19 2026,” Mr McKenzie said.
“Since the incident was identified, we have been working with independent environmental specialists and the regulator to investigate the cause, undertake remediation activities, and comply with all requirements of the Order.
“We are committed to completing the required work and keeping the regulator informed of our progress.”
The EEO states the department believes Freedom Fuels is a prescribed person for the contamination incident and requires the company to undertake further work to prevent or minimise contamination, rehabilitate or restore the environment, assess the nature and extent of the environmental harm or risk of environmental harm, and keep the department informed.
According to the order, the leak occurred after a flange failed within an underground unleaded petrol tank turret used in the service station’s operations.
Freedom Fuels notified the department on March 24 after identifying the leak, while the Queensland Fire Department also alerted environmental officers after fuel entered the neighbouring caravan park.
During an inspection that day, environmental officers observed a very strong odour of unleaded petrol throughout the caravan park’s drainage system and identified an oil sheen on stormwater within the drainage line. Emergency crews isolated power to the caravan park and evacuated residents while contaminated water was pumped through the drainage system, extracted and removed from the site.
The EEO states about 10,400 litres of unleaded petrol had been delivered to the site two days earlier. It also notes a caravan park tenant reported smelling fuel on March 23, prompting Freedom Fuels to arrange an urgent inspection before the leak was confirmed the following day.
The company said the faulty equipment had since been repaired.
“The leak was caused by an equipment failure associated with one underground petrol tank,” Mr McKenzie said.
“The failure was identified, repaired, tested, and the service station was reopened following confirmation that all equipment was operating correctly.”
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He said soil and groundwater investigations had since been completed, fuel identified during the emergency response had been removed, and remediation measures recommended by independent environmental specialists had been implemented.
However, the EEO states reports provided to the department following the incident indicated an ongoing presence of contaminants.
Reports submitted to the department found surface water samples contained toluene, ethylbenzene and o-xylene at concentrations above the ANZG 2018 toxicant default guideline values for slightly to moderately disturbed freshwater ecosystems.
The EEO also states soil investigations found coarse fill material had provided a preferential pathway for hydrocarbons to migrate towards the caravan park drainage line.
Groundwater monitoring identified light non-aqueous phase liquid (LNAPL), or free-phase petroleum product, in a monitoring well, with the most recent results identifying a 190-millimetre layer.
The order requires Freedom Fuels to prepare and implement a remediation plan that identifies options to reduce the risk associated with on-site and off-site contamination, restore and protect environmental values beyond the site boundary, validate the effectiveness of remediation works and report progress to the department.
Mr McKenzie said the company accepted ongoing remediation was required.
“Subsequent testing has identified contamination associated with the incident, which is why remediation and ongoing monitoring are required,” he said.
He said independent environmental specialists had advised there was “no unacceptable risk to human health or the environment”.
“Our remediation plan is currently being reviewed by the Environmental Regulator,” Mr McKenzie said.
“Once that review is complete, the regulator will determine the required implementation timeframes and Freedom Fuels will carry out the approved remediation works in accordance with those requirements.”
Nambour Caravan Park has been approached for comment.
