Mercury kicks off Ngā Tamariki expansion with partners

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Mercury kicks off Ngā Tamariki expansion with partners .

27 March 2024 – A ground-breaking event was held last week to bless and celebrate construction starting on a fifth generating unit at the Ngā Tamariki geothermal station.

Mercury announced the expansion project six months ago with support from their partners Tauhara North #2 Trust and the wider mana whenua Ngāti Tahu Ngāti Whaoa.

“We’ve worked with our partners to ensure this expansion considers the long-term sustainability of the whenua while also preserving the cultural significance of this important taonga,” said Vince Hawksworth, Mercury’s Chief Executive.

“This construction represents not only a significant milestone for Mercury, but also another crucial step toward a sustainable and resilient energy future.” The new unit will boost renewable energy generated at the station by 46MW (~390GWh per annum – equivalent to an additional 55,000 households).

This investment is a critical part of Mercury’s pipeline of new renewable energy development, and first generation of electricity from the new unit is expected in late 2025. The expansion closely follows the commissioning of stage one of the Kaiwera Downs wind farm near Gore in November and the full commissioning of Turitea South wind farm in July 2023.

The ceremony brought together people and partners involved in the project to celebrate the start of construction. It was attended by representatives from Tauhara North #2 Trust, Ngāti Tahu Ngāti Whaoa and delivery partner Ormat as well as the Mercury team.

Mercury has developed the project whilst working with commercial partner Tauhara North No. 2 Trust to ensure the sustainability of the reservoir and management of the surrounding environment. “This project symbolises how we are working together to get sustainable outcomes for all. This is about the intergenerational benefit, for mana whenua and all New Zealanders who will increasingly rely on electricity into the future,” said Mr Hawksworth.

Ngā Tamariki geothermal station – key facts:

• Commissioned in 2013 and currently comprising four existing units providing a total net station output of 86 MW

• Ngā Tamariki station normally runs 24/7, producing about 730GWh p.a. of electricity (enough to power ~103,000 households) – this will increase to 1,120 GWh p.a. or ~158,000 households once expansion is complete.

• Station was built with allowance for an expansion once the reservoir was better understood.

• Mercury and Tauhara North No. 2 Trust hold resource consents to operate Ngā Tamariki via The Rotokawa Joint Venture.

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• Geothermal fluid from the site is used to generate electricity with temperatures at the bottom of production wells reaching up to 290 degrees Celsius.

• Ngā Tamariki comprises 7 operating geothermal wells extending depths of more than 3,000 metres underground.

• Emissions intensity at Ngā Tamariki is the lowest in the Mercury-owned geothermal fleet. A separate station-wide non-condensable gas reinjection project (including the fifth generating unit) is forecasted to be delivered in FY26.

• Geothermal energy is an important part of New Zealand’s energy mix because it generates 24/7. As a baseload energy source, it helps meet winter peaks and its reliability is an important complement to intermittent renewables like wind and solar.

ENDS

For media queries, please contact:

Andrew Young Communications Advisor mercurycommunications@mercury.co.nz 027 210 5337

ABOUT MERCURY NZ LIMITED

Mercury generates electricity from 100% renewable sources: hydro, geothermal and wind. We are also a retailer of electricity, gas, broadband and mobile services. We’re listed on the New Zealand Stock Exchange and the Australian Stock Exchange with the ticker symbol ‘MCY’, with foreign exempt listed status. The New Zealand Government holds a legislated minimum 51% shareholding in the Company.

Visit us at: www.mercury.co.nz

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