22 Nov 2010

Greenstone Energy growth plans to be guided by review

8:17 pm on 22 November 2010

The new owner of Shell's service stations says it is well positioned to buy other fuel assets that come on the market but will hold off any such decisions until a review of its business is completed.

The Shell business, since-renamed Greenstone Energy, was bought by Infratil and the New Zealand Superannuation Fund for about $700 million in March.

Greenstone chief executive Mike Bennetts says its owners are open to natural growth or acquisition and its bankers have also expressed interest in providing credit to fund the right opportunities.

However, the company is awaiting the outcome of a review before deciding how it will grow, he says. The review will also determine whether it keeps using the Shell Brand, finds a new name, or even uses Greenstone Energy.

Mr Bennetts says use of the Shell brand is costing Greenstone $15 million for the first three years and if it chooses to keep the name, it will have to pay a lot more.