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Marsden Point oil refinery reopening under review

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Staff Reporter

20 March 2024, 7:27 PM

Marsden Point oil refinery reopening under reviewFeasibility study launched to enhance fuel security

Associate Energy Minister Shane Jones is delving into the possibility of reopening the Marsden Point Oil Refinery to fortify New Zealand's fuel security, a crucial step in safeguarding the nation's energy needs.


The closure of Marsden Point in 2022 left New Zealand without a refinery, prompting concerns about the country's vulnerability in terms of fuel supply.





Now, the government is responding to these concerns by embarking on an investigation into the feasibility of reopening the refinery, situated in Northland.


This initiative stems from the New Zealand First Coalition Agreement with the National Party, which points out the need for a robust fuel security plan.


Such a plan aims to shield vital sectors like transportation, logistics, and emergency services from potential disruptions, whether domestic or international in nature.


Associate Minister Jones underscored the importance of this study, highlighting the refinery's pivotal role in supplying a significant portion of New Zealand's jet fuel, shipping fuel oil, and diesel.


He stressed the potential risks associated with relying solely on imported fuels and the need for domestic production.


"Investigating the reopening of Marsden Point is critical," Jones stated. "Not only did its closure impact employment in Northland, but it also jeopardised our nation's fuel security."





The study will encompass more than just reopening the refinery.


It will also explore strategies for transitioning to low-carbon fuels and assess the infrastructure required to support alternative fuel sources like methanol and hydrogen.


A Request for Proposals is currently in development, with the study expected to commence later this year.


This proactive approach underscores the government's commitment to ensuring a stable and resilient fuel supply for all New Zealanders.


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