Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Z looks for savings with increased storage

Z looks for freight savings with increased storage at Lyttelton, Tauranga ports

April 19 (BusinessDesk) - Z Energy, the petrol retailer whose owners are mulling a listing later this year, wants to reap significant savings in freight costs as it spends $40 million to boost storage at ports in Lyttelton and Tauranga.

The announcement coincides with today's official opening of a new 10.4 million litre storage tank at the Port of Tauranga by Terminals NZ, a branch of the transport fuels businesses owned by low-cost competitor Gull.

Wellington-based Z received resource consent to add 25 million litres of storage at Port of Lyttelton in Christchurch to its existing 30 million litre capacity, and is in early engineering and consent stages for the Port of Tauranga, Z said in a statement. The increased storage means Z should be able to maintain security of supply and avoid a repeat of the diesel shortage in the South Island last month.

"This additional tankage will start to address some of the infrastructure deficit that has developed over the last 20 to 30 years and enable a more secure and reliable supply of fuel to New Zealand," chief executive Mike Bennetts said. "It will also enable Z to procure larger shipments of imported goods that will lower freight costs."

Petrol prices have been falling at the pump in recent weeks and are at their lowest since July last year as a strong currency and weaker global demand for oil keep the major players fighting for market share.

Bennetts threw his support behind Port of Tauranga's announcement last month that it can widen and deepen its shipping channels, saying bigger vessels "can make for significant savings in freight."

Earlier this year, Z's owners Infratil and the New Zealand Superannuation Fund is considering floating between 40 percent and 60 percent of the petrol station chain after buying it at an attractive price in 2010.

(BusinessDesk)


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Economic Update: RBNZ Says Rate Cut Seems Likely

The Reserve Bank will likely cut interest rates further as a persistently strong kiwi dollar makes it difficult for the bank to meet its inflation target, it said. The local currency fell. More>>

ALSO:

House Price Action Plan: RBNZ Signals National Lending Restrictions

The central bank wants to cap bank lending to property investors with a deposit of less than 40 percent at 5 percent and restore the 10 percent limit for owner-occupiers wanting to take out a mortgage with a deposit of less than 20 percent, according to a consultation paper released today. More>>

ALSO:

Sparks Fly: Gordon Campbell On China Steel Dumping Allegations

No doubt, officials on the China desk at MFAT have prided themselves on fashioning a niche position for New Zealand right in between the US and China – and leveraging off both of them! Well, as the Aussies would say, of MFAT: tell ‘em they’re dreaming. More>>

ALSO:

Loan Sharks: Finance Companies Found Guilty Of Breaching Fair Trading Act

Finance companies Budget Loans and Evolution Finance, run by former 1980s corporate high-flyer Allan Hawkins, have been found guilty of 106 charges of breaching the Fair Trading Act for misleading 21 borrowers while enforcing loan contracts. More>>

ALSO:

Post Panama Papers: Govt To Adopt Shewan's Foreign Trust Recommendations

The government will adopt all of the recommendations from former PwC chairman John Shewan to increase disclosure and introduce a register for foreign trusts with new legislation to be introduced next month. More>>

ALSO:

The Price Of Cheese: Cheddar At Eight-Year Low

Food prices decreased 0.5 percent in the year to June 2016, influenced by lower grocery food prices (down 2.3 percent), Statistics New Zealand said today. Compared with June 2015, cheese prices were down 9.5 percent, fresh milk was down 3.9 percent, and yoghurt was down 9.2 percent. More>>

ALSO:

Financial Advisers: New 'Customer-First' Obligations

Goldsmith plans to do away with the current adviser designations which he says have been "unsatisfactory" in that some advisers are obliged to disclose potential conflicts of interest and act in their customers' best interests, but others are not. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news