NZR
18/12/2015 09:47
GENERAL
PRICE SENSITIVE
REL: 0947 HRS The New Zealand Refining Company Limited
GENERAL: NZR: Refinery Signs Gas Agreement
Refining NZ (NZR) has reached an agreement with Vector Gas Limited to double
the quantity of natural gas available for the Marsden Point refinery.
The agreement will see Vector Gas invest around $25 million in upgrading
compression capacity on the northern pipeline, with construction of a new
compressor expected to begin September 2016.
Refining NZ currently takes 2-2.5 PJ/year of gas and when the transmission
capacity is available in 2017, the Company expects to take more than 5
PJ/year. Increased gas access is a competitive source of energy and also
will provide greater flexibility in crude selection. When available it is
expected to lift the Gross Refinery Margin (GRM) by a minimum of US$0.15 per
barrel, rising to US$0.20-0.25 per barrel at a crude price of US$60-70 per
barrel.
ENDS
Further information:
Greg McNeill
Communications and External Affairs Manager
T: 094325115; M: 021 873623; E: [email protected]
End CA:00275378 For:NZR Type:GENERAL Time:2015-12-18 09:47:44
