By OGJ editors
HOUSTON, Dec. 20 -- New Zealand Energy Minister David Parker announced that, effective Jan. 1, 2007, New Zealand would meet its International Energy Agency (IEA) obligation to hold oil stocks representing 90 days of net oil imports.
New Zealand's oil stocks have dipped to as low as 60 days of net oil imports as a result of increasing demand and declining domestic oil production, he said. In May, the IEA criticized New Zealand's inventory levels.
The government has arranged contracts that provide options for New Zealand to buy petroleum and diesel in case of an IEA-declared emergency. The contracts cover petroleum and diesel stored in Australia, the Netherlands, and the UK from BP PLC, Royal Dutch Shell PLC, and Total SA.
The New Zealand government signed bilateral arrangements with the governments of Australia, the UK, and the Netherlands to enable the stocks to count toward New Zealand's IEA obligations.
