| Decision | Consents granted Sections 12 and 13 of the Overseas Investment Act 2005 |
|---|---|
| Decision Maker | The Minister for Land Information and the Associate Minister of Finance |
| Decision Date | 13 December 2018 |
| Investments |
An overseas investment in significant business assets and sensitive land, being up to 100% of the ordinary shares in each of:
which will result in indirect interests in sensitive land associated with the Maui production station, Pohokura production station, and the Omata tank farm (“Shell Transaction”). An overseas investment in significant business assets and sensitive land, being up to 100% of the ordinary shares in Maui Development Limited and indirect interests in the Maui production station and Omata tank farm (“Todd Transaction”). |
| Consideration and Assets | The Shell Transaction consideration is approximately $817 million. The assets underlying both the Shell Transaction and Todd Transaction each exceed $100 million. |
| Applicant | OMV New Zealand Limited Österreichische Bundes – und Industriebeteiligungen GmbH, Austria (31.5%), International Petroleum Investment Company, Saudi Arabia (24.9%), Various Institutional Investors, Various (16.6%), Various overseas persons (9.45%), United States Public (8.37%), United Kingdom Public (5.67%), European Public (3.51%) |
| Vendors |
Shell Investments NZ Limited Todd Corporation Limited |
| Background |
OMV New Zealand Limited has been granted consents for two transactions by which it will increase its ownership of the offshore Pohokura and Maui gas fields and the related onshore production and processing facilities. The OMV Group is based in Austria engaged in producing and marketing oil and gas, and innovative energy and high-end petrochemical solutions. OMV is one of Austria's largest listed companies with sales of EUR 20 billion and a workforce of around 20,700 employees in 2017. OMV has existing interests in the Pohokura Joint Venture and the Maui Joint Venture. The first transaction involves OMV buying majority interests in Maui and Pohokura from Royal Dutch Shell. The second transaction involves OMV buying a minority interest in Maui from Todd Energy. After the transactions complete, OMV will own 74% of the Pohokura Joint Venture and 100% of the Maui Joint Venture. Ministers have decided that these transactions are likely to result in the substantial and identifiable benefits to New Zealand. These benefits include creating significant new employment opportunities and retaining existing jobs for longer than would otherwise be the case, continued support for the national spot market for gas, new capital for the research and development, evaluation, and execution stages of the identified exploration and field life projects, and the protection of historic heritage on the land. OMV has also undertaken previous transactions that have been of benefit to New Zealand, including:
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| More information | James Hawes Simpson Grierson PO Box 2402 WELLINGTON |