Refining NZ is committed to
delivering for our many stakeholders
We strive to achieve economic success for our customers and shareholders in a competitive global market
We strive to achieve economic success for our customers and shareholders in a competitive global market.
We initiated a strategic review in April 2020 to determine the best operating model for our business in the face of an incredily challenging set of circumstances, including:
- Historically low levels of gross-refining margins (the income we recieve from our work), exacerbated by the impacts of COVID-19, and with low margins forecast to continue for a number of years.
- Structural challenges to the competitiveness of the refinery compared to newer Asian refineries; this is due to the relatively small scale and higher cost of operating in New Zealand, which includes significant increases in electricity and gas costs.
- We are also necessarily conscious of the global movement towards, and New Zealand’s focus on, reducing carbon emissions, with the emergence of new challenges and opportunities expected in the transition to low-carbon transport fuels over time.
- The preference of our customers to move to an import terminal model.
Our proposed Import Terminal is the best option for the future of our business.