Chris Luxon says the Government's proposed LNG important terminal in Taranaki will only proceed if it makes commercial sense.

A procurement process was announced last month, with the Government due to make a decision on whether to proceed around the middle of the year.

Newstalk ZB understands multiple ministers privately admit high gas prices might lead Cabinet to walk away from the project.

The Prime Minister told Mike Hosking that the Government will seriously consider the options put on the table.

He says he genuinely wants to make sure the business case is right - and if there's a good business case they'll do it, and if there isn't, they won't.

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