A Bigger Role for Solid Energy

Economic Development Minister Gerry Brownlee seems to be proposing a bigger role for state owned Solid Energy Ltd in the exploitation of the country’s mineral resources.

Mr Brownlee was questioned on TV3's “the nation” this morning about how the Government might exploit the mineral resources it identified in a major report this week

Asked by panellist, Fran O’Sullivan if we would expand Solid Energy’s role in any minerals’ mining programme, Mr Brownlee said: “Solid Energy is the country's biggest miner, 100% owned by the taxpayer and it's very well run, got very very capable people on the staff there.”

Ms O’Sullivan: “ Will you expand its brief?”

Mr Brownlee: “ Well we're going to have a look at what we might do once we've got a clearer picture of what New Zealanders are interested in.”

Mr Brownlee said it was “more likely” that Solid Energy would develop some of the “significant” coal and lignite resources that in the south of the South Island, they're world leading in the technology of coal gasification, you’ve got coal seam gas prospects, and you’ve got the study at the moment looking at the lignite urea plant, that alone would have a huge...

Asked by presenter Stephen Parker if the government would consider rolling Solid Energy into a new state owned enterprise with other state organisations to exploit the country’s mineral wealth, Mr Brownlee said: “we're certainly looking at what the government needs to do to advance this sort of industry, but also to make sure that we get a good return.”

However he answered further questions about any new SOE by saying the panellists were “racing way ahead of us”.

ENDS

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