Westgate has completed preliminary studies into the feasibility of importing LNG through Port Taranaki and believes its project would be up to NZ$80 million cheaper than a similar scheme using Northland’s deepwater port at Marsden Point and the subsequent construction of a new gas pipeline from there to Auckland.

“We are not yet convinced about the need for LNG but we are convinced about the need to plan, to hopefully ensure we are the preferred port should LNG importation become a reality,” Westgate chief executive Roy Weaver told EnergyReview.Net.

“We have spoken with everyone at the conference (last month’s NZ Petroleum Conference) and a few others and believe we have the understanding and energy expertise necessary to handle any LNG product coming into New Zealand.

“Taranaki also has existing energy infrastructure, including pipelines that can carry the gas from Taranaki to other markets, especially Auckland."

LNG was a hot topic at the March conference, with Woodside Energy representatives telling delegates that New Zealand was well placed to receive LNG from any of several Woodside sites around Australia.

Weaver said Westgate’s preliminary plan would involve almost doubling the length of the port's main breakwater so it could provide storage for up to 300,000 cubic metres of LNG, and berths for tankers carrying up to 135,000 cubic metres of the product.

Last January New Zealand’s two largest gas users, Contact Energy and Genesis Power, appointed multinational energy support companies Kellogg Brown & Root and Poten & Partners to lead an LNG feasibility study that is due to be finished by mid-2004.