MBIE has received eleven expressions of interest (EOIs) for the Government’s $200-million fund to co-invest in gas exploration projects since January, according to figures released to Newstalk ZB under the Official Information Act.

The Gas Security Fund was originally announced in Budget 2025 for co-investment in new gas field developments, but it was rescoped in November to include a more diverse range of gas related projects.

Businesses weren’t formally invited to register their interest until January 12th 2026.

There has been ongoing concern from the Government that the energy sector wouldn’t apply for oil and gas exploration permits in case a future Labour-led Government returned the exploration ban.

Prime Minister Christopher Luxon wrote to Labour leader Chris Hipkins in September urging him to commit his party to supporting offshore exploration for natural gas for at least the next 10 years.

Luxon urged that the possibility of the ban on offshore gas exploration returning could “pose an insurmountable barrier for some investors”.

Labour Leader Chris Hipkins refused Luxon’s request, “It’s clear this is a political stunt rather than a genuine attempt at building bipartisan consensus,” he said.

Minister for Resources – “we have been able to attract not only domestic but international interest” 

Resources Minister Shane Jones is “pleasantly surprised” by the strong level of interest the fund has received.

“I have been to Singapore, I have travelled to other places, and we have been able to attract not only domestic but international interest,” he said.

Jones said there is a particular interest in both Taranaki and the South Island.

“I imagine that the applications, when they’re approved, will disproportionately pertain to Taranaki,” he said.

Jones also provided some detail about the types of projects the private sector is proposing.

“Interest is coming from people who are keen to expand the capacity of us to store gas because it’s not only about us accessing additional sources of gas for industry and power consumption, but in the event that we have more gas than we require, we’ve got to work our way out in New Zealand how we can store it,” he said.

The Possible Return of the Oil and Gas Exploration Ban

If a Labour led Government takes power after the election the offshore exploration ban would return, meaning the energy sector would no longer be able to obtain new permits.

Labour’s Energy Spokesperson Megan Woods says “It’s nearly a quarter of a century since we had a significant commercial offshore Oil and gas find in New Zealand.”

“We need to wake up. We need to face facts. It’s not there, and we need to be planning for a future that gives us energy security and allows New Zealand households and businesses to afford their power bills,” she said.

Jones disagreed.

“It’s ludicrous for my foe in the Greens and Labour to breathlessly assert that there’s no gas left in New Zealand. Gas is about geology, not ideology.

“There’s always been potential in New Zealand, and the geologists confirm there is more gas,” he said.

However, Jones wants to make sure any investment the Government makes from this fund won’t be easily rolled back if Labour was to return to power.

“The private sector is fearful that should there, God forbid, be a change in government, that once again their rights will be indiscriminately eroded if not cancelled,” he said.

“I have every intention of making announcements before the next election to cover the entirety of the $200 million,” Jones said.

“Within the contracts between the Crown and the successful parties it is my intention to ensure that those contracts cannot be disfigured or summarily cancelled without significant damages clauses. That will be my advice to my Cabinet colleagues once decisions have been made,” he said. 

Troy Matich is a political reporter with Newstalk ZB, working from Parliament’s press gallery. She joined NZME in 2025, previously working for RNZ as a producer for Morning Report.