Overseas investment decision for case 202400421 - Graymont (NZ) Limited

The Applicant operates four lime and limestone-based facilities in New Zealand. The Applicant’s parent company is based in Canada and is a large worldwide producer of lime and limestone products.  

The Applicant is buying the land which is home to the settling ponds that support the operation of its adjacent Otorohanga Plant.  It wishes to buy the land to secure continued access to the settling ponds required to support its lime quarry operations, and as a buffer zone.  This will enhance the viability of the Applicant’s business operations as without the settling ponds or water resources the Applicant could not operate its Otorohanga Plant until alternative arrangements were put in place. This would take time and in the interim, the Applicant would have to discontinue its operations impacting the supply of lime and limestone products in New Zealand. 

The land is currently used for dry stock grazing. Most of the land (96 hectares) is not required for the Applicant’s business operations and it intends to lease these areas to a third party for continued farming activities. 

The main benefits to New Zealand are likely to include enhanced viability of its business and increased capital expenditure through bridge improvement works. 

Consent was granted as the Applicant has met the investor test criterion and the investment is likely to benefit New Zealand.