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Four-year high in LPG production

Hon Gerry Brownlee
Minister of Energy and Resources

15 December 2010
Media Statement

Four-year high in LPG production

Increased production at the Kupe gas field has resulted in the largest quarterly production of liquefied petroleum gas (LPG) since June quarter 2006, Energy and Resources Minister Gerry Brownlee said today.

“LPG production is at a four-year high,” Mr Brownlee said.

“Production exceeds domestic market use, there has been a growth in LPG exports, and for the first time since the March 2006 quarter New Zealand hasn’t needed to import LPG.”

Data on the supply of major fuels, electricity generation and greenhouse gas emissions, and prices to the end of September 2010 are published in the latest edition of the New Zealand Energy Quarterly, released today by the Ministry of Economic Development.

Other highlights in this edition of the New Zealand Energy Quarterly include:
• greenhouse gas emissions from geothermal electricity generation exceeded those of coal generation for the first time on record
• demand for diesel is up for the first time in two years (two per cent on the period a year ago); conversely, petrol demand is 0.6 per cent lower than the same quarter last year
• increased availability of gas is leading to substitution of coal at Huntly, and electricity generation from coal reached an eight-year low.

The New Zealand Energy Quarterly is part of a suite of energy publications that help inform knowledge of the state of the energy sector.

Later today the Ministry of Economic Development will also be releasing the annual New Zealand Energy Outlook, which presents long-term forecasts of energy supply, demand, prices and energy sector greenhouse gas emissions out to 2030.

“I encourage the industry to engage with the ministry on this work – as any such modelling is an important part of the energy policy and planning process,” Mr Brownlee said.

Both energy publications will be available on www.med.govt.nz. The ministry also provides up-to-date energy information at www.med.govt.nz/energy/data.

ENDS

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