UPDATE, 10.30am: Colac police have located a stolen tractor used in a ram raid on the western outskirts of the city.
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Detective Senior Constable Stuart Sims said the red $100,000 tractor was located abandoned about five kilometres from Swayn & McCabe were it was stolen.
Warrnambool-based crime scene police officers are in the process of attending and processing the tractor for forensic evidence.
Two offenders broke into the Swayn & McCabe yard about 2am Wednesday before hot wiring the tractor and using it to ram raid a BP service station across the road.
A 41-year-old Ballarat man has been arrested, interviewed and charged with burglary, causing criminal damage and theft of a vehicle.
He has been bailed to appear in the Colac Magistrates Court on May 1.
Inquiries are continuing in relation to a second offender.
Wednesday, 8am: A STOLEN $100,000 tractor was used in a ram raid at Colac early Wednesday.
Detective Sergeant Dave Renney said a tractor was stolen from Swayn & McCabe about 2am on the western side of Colac.
"Offenders then drove the tractor across the Princes Highway and used it to ram raid the BP service station," he said.
"There was very extensive damage caused to the service station building.
"A patrolling police unit was nearby at the time. Those police officers attended, one offender fled on foot but he was chased down and arrested."
Detective Sergeant Renney said a second offender, who was driving the tractor, then crashed through an industrial fence and took off across paddocks.
"That offender and the tractor are yet to be located," he said.
Anyone with information is requested to contact the Colac police station or Crime Stoppers on 1800 333 000.