LNG proposal goes cold

The controversial subject of liquefied natural gas (LNG) imports through Port Taranaki flared up briefly during last year’s general election campaign, with some protesters questioning the suitability of New Plymouth as an entrance way for the fuel.

New Zealand’s two largest gas users, Contact Energy and Genesis Energy formed the joint venture Gasbridge company during 2006, primarily as a “prudent backstop”, should explorers not find enough new indigenous gas during the next few years to prevent the shortage that is scheduled to happen about the middle of next decade.

The big gas users have already investigated the economics of importing LNG, finding it feasible and choosing New Plymouth’s Port Taranaki, ahead of Marsden Port near Whangarei, as the preferred port for any $600 million LNG importation and regasification plant should the project ever go ahead.

About a year ago, Contact and Genesis indicated they were about to seek the necessary resource consents to build an LNG import terminal at Port Taranaki.

However, by early 2009, former Gasbridge contact Peter Hewett is now Contact Energy’s project manager for its new $250 million 200MW gas peaker plant being constructed at Stratford.

As well, no Gasbridge resource consent applications have been filed with the Taranaki Regional Council, with resources management director Fred McLay noting, “the project appears to have gone a bit cold of late”