Led by GeoExchange NZ Ltd and landowners, the project was expected to create 15 to 20 jobs.
The Bay of Plenty Times asked Jones’ office for the specific locations of the wells and the expected timeline
It follows the approval of similar Regional Infrastructure Fund projects in Whakatāne, where three exploratory wells were announced in March.
The Government launched the $1.2 billion Regional Infrastructure Fund in 2024 to improve regional infrastructure.
A report released last month showed $1.1b had been committed, $849m had been approved and $137m had been paid.
More than 135 projects had been approved but only 12 had been completed.
Jones said completion was measured when a project reached its final milestone.
“The majority of projects from the fund are underway.”
Jones said all projects were assessed for risk.
However, he said economies were dynamic; certain projects had not worked out.
Regional Development and Resources Minister Shane Jones at a ceremony celebrating an aquaculture settlement signed between Crown and Te Moana-a-Toi iwi. Photo / Bijou Johnson
Jones said Tauranga stakeholders had told him the region’s geothermal energy had been “neglected and overlooked”.
“This type of geothermal energy has direct application to reducing energy costs.”
The Bay of Plenty Times asked why the project was selected over other infrastructure priorities.
Jones said the Bay of Plenty was an area of geothermal energy.
The Government announced its final strategy to double geothermal energy use by 2040 in March.
Jones said there were bigger geothermal projects near Rotomā and Kawerau. Projects led by specialist renewable energy developer Eastland Generation had been approved for up to $20m.
“But Tauranga already has a lot of momentum of growth.”
Jones said technical advisers had identified “hotspots” near Rangiuru Business Park.
The Government also announced a $12.5m investment into Ōpōtiki Marina through the Regional Infrastructure Fund.
The Government will invest $12.5 million from the Regional Infrastructure Fund into the development of Ōpōtiki Marina. Photo / Kanoa – Regional Economic Development & Investment Unit
The funding would consist of a loan and equity. Project partners would provide $12.5m in co-funding.
The development included construction of a marina basin, wharf and piers, a boat ramp and related marine infrastructure.
Up to 87 jobs would be generated during construction.
Jones said it was the “final major infrastructure component” to grow Ōpōtiki aquaculture.
“The marina will provide year-round safe berthing for aquaculture and commercial vessels, improve the efficiency of mussel harvesting and servicing operations, and support further investment in marine industries.”
The announcement followed an aquaculture agreement signed between the Crown and Te Moana-a-Toi iwi in February.
The settlement unlocked 5000ha of aquaculture space off the Eastern Bay of Plenty coast valued at $35m. It would work towards the Government’s goal of increasing New Zealand’s aquaculture revenue to $3b per year by 2035.
Bijou Johnson is a multimedia journalist based in Bay of Plenty. A passionate writer and reader, she grew up in Tauranga and developed a love for journalism while exploring various disciplines at university. She holds a Bachelor of Arts in Classical Studies from Massey University.