Minerals sector aims for bright 2012

Minerals sector aims for bright 2012

Posted on 17 January 2012

The oil and gas sector’s strengthened representation will help promote the resource sector’s potential contribution to New Zealand, Straterra says.

Straterra CEO, Chris Baker, welcomed today the announcement made yesterday by the Petroleum Exploration & Production Association of New Zealand (PEPANZ) of its new board, chaired by Chris Bush, Origin Energy NZ, and of its new chief executive, David Robinson.

“New Zealand could see a step change in the economy from the responsible development of energy and mineral resources, and it is good to see PEPANZ making a compelling case for that,” Mr Baker said.

“The timing is very good for a strengthened PEPANZ and Straterra to work together in improving New Zealand’s attractiveness for investment in the resource sector.”

“The review of the Crown Minerals Act 1991 and minerals programmes, the debate on hydraulic fracturing or fracking technology, and proposed legislation and regulations for the Exclusive Economic Zone and Continental Shelf, are among key areas where our respective organisations have common interests.”

Mr Baker said that the resource sector in New Zealand has good potential in the traditional areas of oil, gas, coal, lignite, gold and other metals and industrial minerals, as well as in the emerging frontiers of offshore ironsands, rock phosphate on the Chatham Rise, and seabed base and precious metals in the Kermadecs.

“Demand worldwide for resources continues to increase, driven by the developing economies and resources are becoming increasingly expensive to find and develop. We in New Zealand are well placed to play a role in this, providing we can attract the capital required.”

“New Zealand needs a Crown minerals regime that enables the market in raising investment capital, enables the industry to make a fair return on a high-risk business, while providing for the Crown to receive a fair financial return on the property of all New Zealanders.”

“In a challenging global and domestic economic environment, the resource sector provides opportunities that must be encouraged, in an environmentally responsible way. New Zealand needs additional economic activity and we look forward to working with PEPANZ to ensure we achieve positive outcomes for New Zealand from the resource sector.”