About Z


16 news results

16/12/2021 - General News

Z Energy welcomes release of the Sustainable Biofuels Mandate

Z Energy (Z) welcomes today’s announcement from the Government that New Zealand’s Sustainable Biofuels Mandate will be in place by 1 April 2023.

"Biofuels are an important step on the journey to help New Zealand decarbonise the transport sector,” says Z Energy GM Transition Julian Hughes.

"This announcement sets a clear agenda for us and the wider industry on what we need to achieve and how to get there."

Many other countries such as Europe, the UK, US, Japan and South Korea already have a biofuels mandate, as well as production incentives that have helped to create a biofuel industry in those markets. Z has been advocating for this type of policy as a way to reduce the carbon intensity of the fuel that all retailers sell.

"We’ve long said that we want to be at the heart of the climate change solution and biofuels is an area we have been committed to for some time now. We built a biodiesel production plant, and despite a pause in local production, continue to supply biodiesel to our most committed commercial customers. We’ve also signed an MoU with Neste, the world’s leading producer of renewable diesel and sustainable aviation fuel (SAF), to collaborate to bring low-carbon fuels to the New Zealand market,” continues Julian.

Z believes this mandate will create mass demand for low emissions fuels for use in existing internal combustion engine vehicles and looks forward to working with Government and industry on how it can supply this to its customers.

"We commend the Government for making key changes from the initial proposals, including increasing the maximum penalty from $300 to $800 per tonne of carbon dioxide equivalent emissions not achieved, to incentivise compliance," says Julian.

"However, we would like to continue working with the Government on ways to support domestic production, including access to domestic feedstocks as a way to allow local producers to compete more effectively with demand from subsidised markets overseas. For example, we suggest that double accounting for the emissions reductions created by locally produced biofuels could be considered as a way of supporting a domestic biofuel industry."

As we have advocated for, Z supports the development of a separate mandate for sustainable aviation fuel (SAF) during 2022 given the unique challenges the sector faces and looks forward to responding to the RFP set by Air New Zealand and MBIE.

Z believes the best fuel for the best use case will be the foundation of a successful energy transition, recognising electric and hydrogen will have a role to play alongside biofuels. It sees the announcement today as a step in the right direction on our journey to a low carbon future, with biofuels helping to reduce emissions as we make the transition to low emissions vehicles.

Media enquiries: Haley Mortimer — haley.mortimer@z.co.nz; 027 549 9323


09/12/2021 - General News

Z Energy releases report on the future of New Zealand's fuel supply

Z Energy (Z) has released a report titled Our future fuel supply, which outlines how New Zealand will get its fuel as the country stops importing and processing crude oil at Marsden Point and moves to an import-only, finished product model.

Following last month’s final investment decision by Refinery NZ (the operator of New Zealand's only oil refinery) to revert to an import-only terminal from April 2022, there has been considerable analysis from industry experts and market commentators as to whether New Zealand will be more vulnerable to fuel supply disruption as the country moves to an import-only model.

Z’s report released today supports its position that moving to a refined product fuel supply will improve flexibility and resilience of the supply chain, improve the industry’s ability to respond to changes in the domestic market, help to reduce New Zealand’s greenhouse gas emissions and level the playing field in the domestic market.

"As a highly mobile nation, fuel is an essential product in supporting our economy and everyday lives of New Zealanders. Although the demand for liquid ground fuels will steadily reduce with the advancement of alternative technologies, it is forecast to be part of the picture for decades to come and remains vital as part of a transition to a low-carbon future," says Julian Hughes, GM Transition.

"Instead of importing crude oil from the Middle East, a region which has faced frequent political instability, New Zealand will instead predominately acquire its refined fuel from Asia, including Singapore, Japan and Korea.

"A refined fuel import supply chain, sourced from multiple refineries in multiple countries, will provide more options from where we source product and is therefore more resilient to most credible fuel disruption scenarios.

"There will also be more frequent deliveries of finished product to New Zealand – we estimate around 175 tankers arriving annually. This means a tanker will be discharging into our domestic supply chain every two days. That is considerably more tankers than the industry currently imports and each carrying fuel that is ready to be delivered to customers," continues Julian.

While refining crude oil domestically has provided a level of comfort to governments and consumers alike, that oil still needs to be refined and distributed. Import shipments of refined fuels provide more flexibility as ships can be redirected to other ports if needed and arrive with the finished product ready to use immediately. It also offers more flexibility to import the specific fuel type New Zealanders need, without having to process and refine the entire crude oil barrel.

"If we were operating with an import-only model through Covid, we could have reduced the amount of jet fuel we were bringing in as part of the crude oil barrel while continuing to bring in sufficient petrol and diesel supply for our customers," says Julian.

To help allay fuel supply concerns as New Zealand transitions out of refining, the report outlines a number of steps industry and government can take which include supporting domestic biofuels production at Marsden Point; establishing a national stockpile of fuel; and mandating crisis management exercises.

Julian added that Z views the closure of the Marsden Point Refinery as an opportunity for greater efficiencies and is confident that fuel security can be maintained, if not enhanced post-refinery, for the benefit of Z customers and New Zealanders alike.

Read Z Energy: Our future fuel supply

Media enquiries: Kiri Shannon — kiri.shannon@z.co.nz; 021 0234 4157

Investor enquiries: Matt Hardwick — matt.hardwick@z.co.nz027 787 4688

19/10/2021 - General News

High-quality drop-in biofuels one step closer in New Zealand as Z Energy and Neste announce their collaboration

Kiwi energy company, Z Energy, and the world’s leading producer of renewable diesel and sustainable aviation fuel (SAF), Neste, have today announced they will collaborate to bring low-carbon fuels to the New Zealand market.

Renewable fuels are high-quality biofuels. Unlike conventional biofuels, they are considered “drop-in” fuels as they are suitable to be used as such in the existing vehicle or aircraft fleet and distributed via the already available distribution infrastructures thanks to their molecular similarity to conventional fossil fuels. This means that existing diesel vehicles and aircraft can simply fill up with renewable fuels as direct substitutes for fossil-based diesel or aviation fuel.

Neste and Z aim to accelerate a low-carbon future, and to be leaders in providing customers with high-quality, low-carbon transport fuel options. Z and Neste recognise the opportunity to work together in this endeavour in New Zealand, given complementary skills in different parts of the supply chain. The Z and Neste partnership aims to bring the supply of Neste-produced renewable diesel to the New Zealand market over the next few months.

Z’s General Manager Transition, Julian Hughes, says that Z is committed to bringing low-carbon solutions to its customers.

“Z has been an early mover and early investor in biofuels because we recognised it as the simplest way to help our customers lower their emissions without having to replace their fleets.

“This is why we invested in a local biodiesel production plant, and despite a pause in local production, continue to supply biodiesel to our most committed commercial customers.

“Renewable fuels differ from conventional biofuels in that they have the same chemical composition as their fossil counterparts. This enables us to offer higher blends of renewable content in fuels than we could with conventional biofuels, resulting in up to 90%* emissions reduction potential for land transport fuels, and up to 80% emissions reduction potential for aviation fuels” said Julian.

“Following the New Zealand Government’s announcement of increasing support for biofuels through the Low Emissions Transport Fund, Neste has been looking for capable partners in New Zealand to help market our products and solutions and distribute our fuels. Z Energy’s expertise and reach in New Zealand as well as their commitment to decarbonising transport made them the right fit,” said Peter Zonneveld, Vice President, Sales, Neste Renewable Road Transport business unit. “Together, we will support New Zealand in its emission reduction targets”.

A few forward-thinking New Zealand companies are already lining up to use Neste’s renewable fuels. Z believes the sustainable biofuels mandate proposed by the New Zealand government will further increase customer appetite for lower-carbon fuels.

“Z supports the Government’s decision to introduce a biofuels mandate because this will support a market for lower carbon fuels.

“We expect to see more interest from large businesses seeking to reduce their carbon footprint even before a mandate comes into force in 2023.

“If you’re a commercial business serious about your sustainability targets and want to know how renewable diesel or sustainable aviation fuel can dramatically reduce your transport emissions, then please get in touch,” said Julian.

* (The method used to calculate life cycle emissions and emission reduction complies with the EU Renewable Energy Directive (2009/28/EC)

Media enquiries: Kiri Shannon — kiri.shannon@z.co.nz; 021 0234 4157

Investor enquiries: Matt Hardwick — matt.hardwick@z.co.nz027 787 4688

11/10/2021 - General News

Z Energy Board unanimously recommends Scheme of Arrangement with Ampol

Z Energy Limited (NZX/ASX: ZEL) (“Z”) has entered into a binding Scheme Implementation Agreement with Ampol Limited (ASX: ALD) (“Ampol”) under which it is proposed that Ampol acquire all the shares of Z by means of a Scheme of Arrangement (“the Scheme”).


  • Under the Scheme, Z shareholders would receive a cash offer price of NZ$3.78 per share and will also receive the first NZ$0.05 per share of the interim FY22 dividend without adjusting the cash offer price, resulting in overall value to Z shareholders of NZ$3.83 per share.
  • If the Scheme has not been implemented by 31 March 2022, the final cash consideration will be progressively increased to reflect FY23 performance, up to a limit of NZ$0.10 per share.
  • The Z Board unanimously recommends that shareholders vote in favour of the Scheme, subject to the Scheme consideration being within or above the valuation range specified by the independent advisor and in the absence of a Superior Proposal being made for Z (as defined in the transaction agreement).
  • The Scheme is subject to a number of conditions including regulatory approvals from the New Zealand Commerce Commission (NZCC) and New Zealand Overseas Investment Office (OIO).


On 23 August 2021, Z announced that it had received a proposal from Ampol to acquire all the shares of Z at an offer price of $3.78 per share (subject to adjustment for any dividends paid and a mechanism to increase the Cash Consideration progressively up to a maximum of NZ$0.10 per share if completion occurs after 31 March 2022).

The proposal from Ampol followed earlier unsolicited, confidential and non-binding indicative proposals in the form of letters or verbal communications to Z for $3.35, $3.50 and $3.60 per share.

The Z Board considered that the earlier proposals did not value Z’s business sufficiently to justify the requested exclusivity or confirmatory due diligence access. However, the Board’s assessment of the last proposal was that it would be in the best interests of the company and shareholders to grant Ampol a four-week period of exclusivity (subject to the usual exceptions) to undertake due diligence, to further develop their proposal, and for the parties to negotiate transaction documentation.

On 27 September 2021 Z announced that the exclusivity period had been extended to 11 October 2021 to allow both parties to agree transaction documentation. Z and Ampol have now concluded those negotiations and have entered into a binding scheme implementation agreement (“SIA”).

Details of the Scheme

Under the Scheme, Z shareholders will be entitled to receive NZ$3.78 in cash consideration per share (subject to the adjustments set out below) (“Cash Consideration”).

Z and Ampol have agreed that Z will be entitled to pay dividends in respect of the full or part FY22 financial year reflecting Z’s financial performance during the period up to implementation of the Scheme.

The Scheme terms provide that the first NZ$0.05 per share of the interim FY22 dividend would not be deducted from the final Cash Consideration, which represents additional value for Z shareholders. Any other dividends paid by Z in respect of any full or part FY22 period would be deducted from the final Cash Consideration payable by Ampol.

If the Scheme has not been implemented by 31 March 2022, the final Cash Consideration (after the adjustments mentioned above) will be increased by a rate of NZ$0.00055 per share per day for each day that implementation extends beyond 31 March 2022, up to a limit of NZ$0.10 per share.

Assuming an interim distribution for FY22 of at least NZ$0.05 per share is made in November 2021, the total value derived by Z shareholders under the Scheme will be NZ$3.83 per share before accounting for any increase in cash consideration post 31 March 2022, which represents:

  • a 37.8% premium to the one month volume weighted average price (“VWAP”) up to 28 July 2021 (being Z’s Investor Day) of NZ$2.78 per share; and
  • an increase of NZ$0.48 per share (approximately 14.3%) to Ampol’s initial offer of $3.35 per share.

The Scheme is subject to customary conditions, a condition relating to the transition of the Marsden Point refinery to an import-only terminal, regulatory approvals from NZCC clearance and OIO approval, shareholder approval and ultimately approval by the High Court of New Zealand.

Completion is expected to occur, after regulatory approvals have been obtained, in the first half of 2022. In respect of its New Zealand Commerce Commission clearance application, Ampol has committed to the full divestment of its New Zealand business “Gull”, subject to acquiring Z Energy.

Ampol is also committed to delivering appropriate benefits to New Zealand to support the approval of the transaction by the OIO. The Z Board and management will support Ampol through the necessary regulatory stages with the NZCC and OIO.

Under the SIA, Z is bound by customary exclusivity provisions, subject to the fiduciary obligations of the Z directors and ‘notification’ obligations as well as ‘matching’ rights in favour of Ampol.

A break fee of $20m will be payable by each party in certain circumstances and a regulatory approval break fee of $20m will be payable by Ampol where key regulatory consents are not met within 12 months and the Scheme is terminated.

Ampol has also indicated that it expects to apply for a secondary listing to the NZX Main Board following implementation of the Scheme.

Z Board unanimous recommendation and voting intentions

Z’s Board of Directors unanimously recommend that shareholders vote in favour of the Scheme and intend to vote shares controlled by them in favour of the proposed transaction.

The Z Board of Directors’ recommendation and voting intention is subject to the scheme consideration being within or above the Independent Adviser’s value range, and no superior proposal being received by the company.

Z Energy Chair Abby Foote said, “The Z Board is unanimous in recommending this offer to Z shareholders. The Board has been focussed on the best interest of Z shareholders and has engaged constructively with Ampol over several months to secure additional value beyond the initial approach in June. The Board took the opportunity to obtain feedback from shareholders on the proposal and that has played an important role in finalising the terms of the deal.

The Z Board believes that the scheme represents fair value for Z shareholders. The Board is also satisfied that Ampol will continue to invest in New Zealand’s energy transition towards a low carbon future and its scale will deliver advantages for the fuel industry in New Zealand.”

Mike Bennetts, CEO for Z added, “Z and Ampol share a focus on safe and reliable operations and delivering for our customers. Z will be able to tap into Ampol’s significant supply chain, including trading and shipping operations, that will deliver scale benefits to Z. Ampol’s focus on a low carbon energy future will add expertise to Z’s already well-developed work in this area. In the meantime, Z will stay focused on running the business and delivering on the relevant strategic objectives that we discussed at Z’s Investor Day in July."

Proposed timetable and next steps

A scheme booklet, which will contain important information relating to the Scheme and the shareholder meeting to vote on the Scheme, including the reasons for the Z Director recommendation, and the Independent Adviser’s Report from Calibre Partners (previously KordaMentha NZ), is being prepared to be sent to Z shareholders.

The shareholder meeting to vote on the Scheme is expected to be held early in 2022. Given the need for key regulatory consents to be obtained Ampol is targeting implementation of the Scheme in the first half of 2022.

Z is being advised by Goldman Sachs and Chapman Tripp. Z will continue to keep the market informed in relation to the scheme in line with its continuous disclosure obligations.

At this time Z shareholders do not need to take any action.

Z Energy hosted an investor briefing at 11.00am on Monday 11 October. A replay of the briefing will be made available on Z’s investor centre.

Enquiries: Matt Hardwick — matt.hardwick@z.co.nz027 787 4688

01/10/2021 - General News

Z signals intent to participate in the RFP process for Sustainable Aviation Fuel production in NZ

Air New Zealand and MBIE have announced it will look to find an operator for a commercial Sustainable Aviation Fuel (SAF) plant in New Zealand. Their signed Memorandum of Understanding to run a closed RFP process will invite leaders in innovation to demonstrate the feasibility of operating a SAF plant at a commercial scale. Z Energy commends the step and intends to participate in this process.

For Z this is another opportunity to move forward on their journey to a low carbon future, says Z Energy GM Strategy and Risk, Nicolas Williams. “Z is committed to be part of the solution to climate change. We know that the way we're using the planet's resources simply isn't sustainable and we must look for alternative solutions.”

The aviation sector is a big contributor to New Zealand’s overall emissions with five million tonnes of carbon dioxide equivalent produced in 2018 from domestic and international aviation. While electric, hybrid and hydrogen aircrafts are coming and could work in New Zealand domestically, SAF is the only current option for decarbonising medium and long-haul flights.

“We support and recognise the need for SAF to become the norm in New Zealand. It is part of Z’s roadmap for providing low-emission fuels that can help our customers decarbonize their operation,” says Nicolas.

In 2018 Z began working with industry partners, including Air New Zealand, to identify the near-term pathways (5-10 years) for the viable and sustainable commercialisation of aviation biofuels in New Zealand. Last year, as part of a SAF Consortium, Z worked to develop a Roadmap for SAF to 2050 – which shows that there is a viable pathway for standing up a SAF industry locally.

“Z has consistently advocated for policy that would enable and incentivise the local production of SAF, both as a company as well as part of a consortium. We believe public and private sector collaboration will be vital to driving tangible outcomes in this space, as has been the case for successful SAF production in other countries,” continues Nicolas.

“The use of SAF could reduce aircraft emissions by over 80% for every litre used, and it’s production in New Zealand would create jobs in our regions, benefit our regional and national economies, improve our security of supply and position New Zealand as a science and innovation hub.

“We are excited at the momentum we are now seeing on SAF, particularly with this feasibility study and look forward to responding to the RFP,” says Nicolas.

Media enquiries: Kiri Shannon — kiri.shannon@z.co.nz021 0234 4157

Investor enquiries: Matt Hardwick — matt.hardwick@z.co.nz027 787 4688

22/07/2021 - General News

Z launches Rainbow Employee Network

Creating an open inclusive work environment where people can bring their true selves to work each and everyday is an aspiration that many kiwi, and international businesses hope to achieve.

The journey is continuous, there is always another step to take, another opportunity to learn, another chance to embrace what makes each person unique, and in doing so create an environment that is more inclusive than the day before.

At Z, we recognize the journey that we are on, the opportunity we have, and the focus this aspiration deserves as we look to bring our Diversity & Inclusion Stand to life. We are creating a space where our team of nearly 500 can be who they are, through education, conversation and leadership that is driven across the business. 

The Z Rainbow Network — a focus on education and allyship

As the only retail fuel Rainbow Tick accredited organisation, we are proud of our latest step, the launch of our first official internal employee network: the Z Rainbow Network. With a focus on increasing understanding, engagement and awareness of rainbow diversity, it aims to help create more visible leaders who identify as a member of the rainbow community or ally across Z.  

Increasing understanding is crucial as this is not a tick the box exercise. In launching the Z Rainbow Network, we request that all employees who wish to be recognized as visible members (while still making available to all), complete a series of modules and workshops provided by the Rainbow Tick, along with understanding our own internal polices (including Transitioning at work) so that they are empowered to support rainbow colleagues.  

It also gives us the chance to bring the conversation to life throughout the year rather than just at key traditional moments. We know that inclusiveness and diversity is not timebound to a day, a week, a month, it is a part of who we are each and everyday and that is what we at Z want to recognise and celebrate.  

Expanding beyond rainbow 

This launch also represents the beginning of future internal employee networks as it has given us the chance to understand what an ally is within Z. We’ve created a base level of behaviour and leadership expectations that will set Z up to launch future networks with the greatest chance of success –  this is merely the beginning of a journey where we will actively learn side by side with our employees everyday. 

Through continued focus, governance and support, the Z Rainbow Network is a significant opportunity to further demonstrate inclusion in action. It confirms to current and future employees that we are actively committed to making a difference and welcoming you for who you are.

Media enquiries: jeremy.clarke@z.co.nz

03/05/2021 - General News

Z Energy and NZ Police team up to keep Kiwis safe on roads over Queen’s Birthday Weekend

Z has partnered with Police to encourage drivers to stay safe over the long weekend with road safety messages to be displayed on Z Espress coffee cups at select locations for the duration of the holiday period.

Police officers may also pop into Z service stations to give drivers a friendly reminder about making good driving decisions.

Z’s Head of Safety and Wellbeing Andrew Shand says that Z is committed to supporting the Road to Zero initiative, which aims to stop people getting killed or injured on New Zealand roads.

“We’re proud to partner with Police on encouraging all motorists to stay safe on the road as they travel around Aotearoa, particularly over busy holiday periods. We have a number of our team on the road on any given day, including fuel delivery drivers, and we want to ensure that they, along with any other motorist can return home safely at the end of each day.”

Superintendent Steve Greally, Director: National Road Policing Centre says that partnerships are an important way to spread the word.

“These partnerships allow Police to reach drivers in a new way, allowing our road safety messages to get right to the ones we are targeting.

“Getting out in the community sharing prevention messages is a great way of minimising harm on the roads. We want everyone to have a good weekend and enjoy their Queen’s Birthday plans, and of course to be safe,” says Steve.

The messages to be displayed on Z Espress coffee cups are:

  • Slow down and drive to the conditions
  • Always wear your seatbelt
  • Don’t drive distracted.

Media enquiries: Victoria.crockford@z.co.nz


01/04/2021 - General News

Z Energy wishes Kiwi charities a Happy Easter with the launch of Z Business for Charities fuel programme

Z Energy is wishing a Happy Easter to its charity customers, with the launch of Z Business for Charities.

The programme offers 10 cents off every litre in over 550 locations, a $100 fuel credit and a free St John First Aid Kit on sign up, no minimum spend and no monthly fees.

Z’s GM Commercial, Nicola Law says that Z Business for Charities was evolved from conversations with community groups.

“When we spoke with community groups, they shared their passion for their people and what they do, as well as some of the challenges they face when it comes to their more functional needs, like managing fuel spend.

“We also learned that a big part of their success is partnering with their volunteers and companies to create as much positive impact as possible.

“We heard all of this and decided that Z could help. The Z Business for Charities offer not only helps to streamline how community groups manage their fuel, it also puts more money back in their pockets and back into communities.”

New Zealand registered charities that wish to join or find out more can do so by visiting business.z.co.nz/business-charity.

Media enquiries: Victoria.crockford@z.co.nz

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