Initial findings of study into oil, gas exploration welcomed
March 7th, 2013
Hastings Mayor welcomes initial findings of study into oil and gas exploration
Hastings Mayor Lawrence Yule has welcomed the findings of the just released study on oil and gas exploration on the East Coast.
The study was undertaken by the Ministry of Business Innovation & Employment and is supported by eight councils from the East Coast, and Business Hawke’s Bay.
Lawrence Yule says “The findings contained in the study are a good first step but I believe that further investigation is required before any permits for exploration are considered.”
“The report includes five scenarios for exploration in the future. Three of those scenarios add considerably to the GDP of the East Coast, and importantly, have the capacity to create job opportunities which will be welcomed throughout the East Coast. The economic benefits contained in the study range from $360m to a massive $18b which indicates the enormous potential that could become available from oil and gas exploration.”
Lawrence Yule says “The information contained in this study points to the fact that oil and gas exploration could become a game changer for the East Coast and I believe that we should encourage test drilling to understand exactly what resource is available.”
“As the study points out, oil and gas exploration has the potential to improve the economic diversity of the East Coast and would provide flow-on opportunities for a wide range of industry which is already operating in the area. Anyone who has visited Taranaki will have witnessed the economic growth which has gone hand in hand with oil and gas exploration. The East Coast needs another side to its economy and the oil and gas industry could become a major economic driver for the region and provide job opportunities for our young people.”
Mr Yule says “It is pleasing to note that the Ministry of Business, Innovation and Employment has indicated it will continue to work collaboratively with all East Coast councils to ensure there is informed discussion on what oil and gas development could mean for the region.”
“I would add a cautionary note, however, that any drilling activity must not pose a risk to the Heretaunga aquifer. Our farmers, orchardists, winegrowers and others drive the economy of the East Coast and rely on a high quality water supply for continuing growth. Water from the aquifer is the lifeblood of the region and that supply must not be put at risk by any oil and gas exploration activities” Mr Yule says.