G.38

GNS SCIENCE ANNUAL REPORT 2014

IN TODAY’S WORLD WE NEED…

GNS Science Annual Report 2014 1 G.38

TO MEET THE DIVERSE AND CHANGING SOCIETAL, ENVIRONMENTAL AND ECONOMIC CHALLENGES PLACED UPON US.

Presented to the House of Representatives pursuant to section 17 of the Crown Research Institutes Act 1992

2 GNS Science Annual Report 2014 GNS Science Annual Report 2014 1 THROUGH THE GREAT WORK OF OUR SCIENTISTS, WE MEET THESE CHALLENGES EVERY DAY TO PROTECT OUR ENVIRONMENT AND MAKE NEW ZEALAND A SAFER, MORE PROSPEROUS PLACE TO LIVE.

CONTENTS

02 DIGGING DEEP 32 Natural Hazards 04 DEALING WITH PRESSURE 38 Engineering Geology 06 KEEPING IT CLEAN 42 Geology and Past Climates 08 Chairman and Chief Executive’s Review 47 Organisational Structure 12 Statement of Core Purpose 48 Board of Directors 13 Staff Awards, Honours and Distinctions 50 Management Team 14 Vision Ma-tauranga 53 Performance Indicators 15 Stakeholder Survey Findings 56 Corporate Governance 16 Being a Good Employer 58 Report of the Directors 18 Energy and Minerals 59 Financial Statements 24 Groundwater 80 Directory 28 Isotopes and Ion-Beam Technology

2 GNS Science Annual Report 2014 GNS Science Annual Report 2014 3

FINANCIAL HIGHLIGHTS

REVENUE BY SECTOR OUTCOME AREAS AFTER TAX PROFIT

Geology and 8.7% Past Climates $4.0m Energy and 28.6% Minerals

Hazards 47.2% $1.8m

$1.5m $1.1m Groundwater 6.0% $1.0m

Engineering 2.6% Environment 6.9% Geology and Materials 2010 2011 2012 2013 2014

REVENUE SOURCES TOTAL ASSETS

Technology 9.3% GeoNet 11.8% transfer –

overseas $53.6m $51.0m $49.7m $47.8m $45.0m Technology 20.1% transfer – New Zealand

Marsden 2.5% Direct Crown 35.6% Funding Contestable 20.7% funding 2010 2011 2012 2013 2014

EXPENSE ANALYSIS REVENUE

Research 14.0%

contracts $76.7m $73.7m

GeoNet 5.7% $72.1m $72.0m

direct costs $65.1m

Employee 48.5% Other 31.8% related costs operating costs 2010 2011 2012 2013 2014 MEETING THE ECONOMIC CHALLENGES PLACED UPON US

ECONOMIC RESILIENCE

Our diverse contributions to building a stronger economy range from providing expert knowledge in the quest for geologically based resources to supporting the sustainable management of our existing resources. Just as nature can give, it can also take away – in seconds. So another major focus for us is helping to protect our wealth from the impacts of natural hazards.

With New Zealand’s current reliance We also maintain a strong capability in the Exports of premium honey generate on fossil fuels comes a reliance on the science of geothermal energy. Geothermal more than $120 million a year, and this is international markets we source them accounts for 16% of our electricity another industry that benefits from our from. Producing our own petroleum production and GNS Science’s work in expertise in understanding the chemistry resources not only delivers financial understanding this resource and helping to of isotopes. The quality premise behind our benefits and jobs, it also decreases our identify and develop new geothermal fields primary products is vital to the continuing reliance on those markets and increases is vitally important for this industry. success of these exports, and our work our security of supply. GNS Science plays a crucial role in food authentication We believe geothermal will be a major supports the petroleum industry by and maintaining consumer confidence. contributor in achieving the Government’s helping to identify potential new goal of renewables making up 90% of The risk modelling we do, as well as subsurface accumulations and advising New Zealand’s energy generation by 2025. quantifying the physical and financial on the environmentally responsible impacts of geological hazards, informs management of existing ones. Perhaps lesser known, but equally important business decisions by a range important, is our innovative work in Since the 1980s we have contributed to of public and private sector organisations. materials science. This is where we the discovery of new oil and gas fields in Understanding the probabilities of natural implant atoms into the surface of materials Taranaki and have drawn industry and disasters – and assessing the likely losses to achieve a range of properties such as government attention to other areas from them – allows for improved building super-toughness, ultra-smoothness, and of high potential. This industry is New designs and earthquake codes and fairer resistance to corrosion. This part of our Zealand’s fourth largest export earner, setting of insurance premiums. business has its roots in the pioneering contributing around $1.7 billion in export work of Lord Ernest Rutherford. It supports revenues in 2013 plus $800 million in taxes a growing number of industries including and royalties. As a small island economy energy, transport, medicine, security, remote from the world’s major energy electronics, agriculture, and high-value markets, New Zealand needs scientific manufacturing. Importantly, it is helping to leadership to benefit from its natural ensure that New Zealand companies can energy endowments. secure access to a global market in nano- structured materials and nano-electronics potentially measured in billions of dollars.

4 GNS Science Annual Report 2014

GNS Science Annual Report 2014 5 MEETING THE SOCIETAL CHALLENGES PLACED ON US

SOCIETAL RESILIENCE

We contribute to societal wellbeing by helping to protect communities from the impacts of natural disasters, and by sharing our knowledge and experience for the benefit of New Zealanders and the international community.

While we can’t prevent natural disasters Through our engineering geology work We also support New Zealand’s role as from happening, we can help ensure that and liquefaction studies, supported by our a responsible global citizen and help communities are well-prepared. Our work mapping expertise, we have a much better develop diplomatic relations by sharing helps mitigate against the effects of a understanding of how the ground beneath our skills and knowledge in numerous wide range of natural disasters, including our feet will respond in earthquakes and countries, particularly in the Asia-Pacific earthquakes, tsunami, volcanic eruptions, landslides. This not only helps to identify region. Our hazards staff work closely with and landslides. how existing buildings and infrastructure communities in Indonesia, Vietnam and the will perform during a geohazard event, South Pacific to reduce exposure to risk. Thanks to the vision of the Earthquake but is also a vital tool in shaping decisions Commission and the expertise of GNS We also have a strong commitment to about building design and land use as we Science, New Zealand has a world-leading education and developing New Zealand’s plan for our future. geohazards monitoring network in GeoNet. understanding of science. Our programmes The information provided by the 600- In the same way, monitoring of our to engage school students with science, odd instruments in its national network volcanoes helps us better understand and our strong support of postgraduate not only improves our understanding of the likely impacts of an eruption, as well students, all help in the development of the geological hazards, it also meets society’s as ensuring we have early warning when role of science in New Zealand’s future. ever-growing need for better and faster volcanic unrest occurs. And not forgetting information. This has been borne out by the the water peril, we operate a network of huge numbers of hits the GeoNet website tide gauges around the New Zealand coast receives every time a moderately large and on offshore islands to track incoming quake or minor eruptive activity occurs tsunami. (632 million last year, including 49 million in one day).

GNS Science Annual Report 2014 7

6 GNS Science Annual Report 2014 MEETING THE ENVIRONMENTAL CHALLENGES PLACED UPON US

ENVIRONMENTAL RESILIENCE

Our contribution to protecting the environment is multi-dimensional. It ranges from the bottom of the ocean to the air in our cities. And it spans climate studies of the deep past to helping test models of future global climate. Our overall aim is to improve the environmental knowledge base and help in mitigating against environmental issues that affect New Zealand.

A key aspect of our climate studies is Our materials and groundwater teams New Zealand’s entire offshore sovereign collecting and analysing ice cores from contribute to a better understanding of how area is 5.7 million square kilometres. Antarctica and New Zealand’s shrinking land use affects waterways. Our scientists This is equivalent to 14 times the size of glaciers. From this we can understand are examining the make-up of the California, or 1% of the Earth’s surface. how the Earth behaved in past periods of sediments in New Zealand waterways to Large parts of this realm are unmapped warming and cooling. This enables more understand where they come from and how and unexplored. As well as precious accurate forecasts of the impacts of rising they impact the waterways. Parallel to this, ecosystems, this area of seafloor almost temperatures and sea levels. our groundwater specialists investigate the certainly contains trillions of dollars complex interactions between groundwater of minerals and biological resources. To augment this, our palaeontologists study and surface water, which helps us The systematic work of GNS Science tiny fossils found in marine environments understand how nutrients travel from in understanding the geology and its going back more than 100 million years. farms to our streams, rivers and lakes. relationship with the biodiversity of A surprising amount of environmental this area will help in prudent marine information can be deduced from these Our monitoring of air quality around New management in the decades ahead as the critters. It includes the temperature and Zealand enables us to identify air pollution world looks increasingly to the oceans for chemistry of the oceans and the relative and its sources so councils can take steps its wealth, food and energy needs. proportions of atmospheric gases during to manage activities that contribute to it. the time they were alive, and even the Recent work, for example, has identified nature and extent of prehistoric vegetation. carcinogenic substances in the air as a result of home owners burning treated Groundwater makes up 30% of the timber in their fireplaces. Councils have water delivered to our taps. GNS Science responded with education programmes to expertise in locating aquifers and discourage the burning of treated timber. understanding the intricate systems that influence their development allows us to support local authorities in making informed decisions on the management of freshwater resources.

8 GNS Science Annual Report 2014

GNS Science Annual Report 2014 9 FROM THE CHAIRMAN AND CHIEF EXECUTIVE

FROM STRENGTH TO STRENGTH

Left to right: Tom Campbell – Chairman, Mike McWilliams – Chief Executive

10 GNS Science Annual Report 2014 FROM THE CHAIRMAN AND CHIEF EXECUTIVE

$76.7m $1.55m Record Company revenue After-tax profit

GNS Science had a profitable and expenditures were for new instrumentation some world-leading. We have effective productive year that was characterised in geochemical, geophysical and materials relationships with key stakeholders and we by a significant improvement in financial science instruments and facilities. Our IT are committed to our purpose throughout performance. The Company attracted capital expenditures were made to upgrade the organisation. core computing infrastructure throughout record revenue of $76.7 million and According to the panel, GNS Science is the Company, to significantly increase consistently delivered relevant science highly relevant to delivering what the our information storage capacity, and to and technology in accord with Government public and our owners require from a CRI build a new 448-core high performance expectations for development of New with a strong and respected brand. The computer facility for earth simulation and Zealand’s geological resources, parallel appointment of the new CEO provides the modelling. Following a significant capital growth of a society and economy that opportunity for a significant refresh of investment in previous years, our Wairakei is resilient to natural hazards, and strategy, style and some management. geochemical laboratories were officially technological innovations that benefit The panel expects that GNS Science will opened in August 2014 and we have begun the nation. respond positively to this review. If it does, a significant capital improvement project at and if it delivers on a robust action plan, the Financial results our National Isotope Centre in Gracefield. Relative to the previous financial year, panel believes the Company will continue after-tax profit increased by 35% to Independent four-year review to flourish. This will allow the Company to $1.55 million, representing a significant GNS Science was reviewed by an leverage new opportunities, such as the improvement in return on equity of 5.4% independent four-person panel as part National Science Challenges, and build of a process recommended by the 2010 compared to 4.2% in the previous year. upon its national and international standing CRI Taskforce. This review provided an Each of the three research divisions made as a research organisation delivering value independent assessment of our current a profit. to New Zealand. effectiveness and future potential in The panel identified five key opportunities Company revenue grew by 6.6% to a delivering on the purpose and outcomes set record $76.7 million and was derived out in our Statement of Core Purpose. The for further organisational development: from research contracts (59%), domestic review assesses governance effectiveness, clarity of strategic direction; business technology transfer (20%), international financial viability and sustainability, and it performance; accountability for medium- technology transfer (9%) and our EQC identifies opportunities, barriers to success term business targets; establishing a high- - contract to operate the GeoNet monitoring and alignment to government priorities. performance culture; and Maori partnering. network (12%). Direct Crown Funding of The panel found many positive features We had already begun working on these $27.1 million accounted for 35% of total including a strong track record built opportunities for development, in most cases well before the review commenced. revenue. EBITDA per FTE increased by upon nearly 150 years of history. GNS 12% over the previous year and now Science is seen as a trusted advisor to the Innovation and research highlights: approaches $20,000. nation. There is a passion for science and Geological Resources for benefiting New Zealand embedded Geological mapping The long-running Dividend throughout the organisation’s highly QMAP quarter-million scale Geological The GNS Science Board is pleased to motivated workforce. Map of New Zealand project is complete. declare a dividend of $250,000 to the All of the 21 onshore map sheets and shareholders as provided for in our The panel noted GNS Science’s excellent a new geological map of South Victoria Statement of Corporate Intent. reputation with its key customers for being responsive, open and honest. Its Land, Antarctica, have been published. A Capital investment financial performance and controls are seamless digital map has been compiled GNS Science made capital investments good and the organisation is generally well by digitally stitching the individual QMAPs of approximately $6.0 million during the equipped with research infrastructure. All that cover all of New Zealand including the financial year in science infrastructure, its activity is underpinned by sound policies, Chatham Islands and harmonising the vast information technology infrastructure and processes, systems and structures. We amount of feature attribute data. These in building and laboratory improvements. are seen as having very strong science, data are available as a published DVD and The bulk of our science infrastructure can be accessed online as a GIS-based

GNS Science Annual Report 2014 11 FROM THE CHAIRMAN AND CHIEF EXECUTIVE

digital map for the whole country that is Innovation and research highlights: Innovation and research highlights: the authoritative version of New Zealand’s Natural Hazards Environment and Materials geology. This product has been eagerly Review of tsunami hazards in New Monitoring atmospheric fossil fuel CO2 in awaited by a wide range of end-users and Zealand This update was undertaken on New Zealand GNS Science is collaborating has been made available to New Zealand behalf of the Ministry of Civil Defence with The University of Auckland on a pilot Petroleum & Minerals to include in their and Emergency Management. The review study of urban fossil fuel CO2 monitoring to 2014 Petroleum Exploration Data Pack. examines all likely sources of tsunami that demonstrate the ability to quantify fossil CO2 The DVD is the first publication in a new could affect New Zealand and evaluates in a New Zealand city. We perform “GNS Science Geological Map” series their potential to generate tsunami, the this type of emissions work in conjunction that will be the series in which all future likely waves produced, and the likely size with the INFLUX programme in the USA geological maps, both digital and printed, of tsunami at the coast. It builds on the which provides funding and several hundred will be published. In coming years, we 2005 Review of Tsunami Hazard and Risk in samples per year for high precision will turn our mapping attention to New New Zealand and summarises the current measurement by accelerator mass Zealand’s considerable offshore marine state of knowledge, highlighting the results spectrometry at our National Isotope Centre. estate, the fourth largest exclusive of new research and changes in scientific RICE (Roosevelt Island Climate Evolution) economic zone in the world. understanding since 2005. An important Project RICE is an international collaboration conclusion is that tsunami generated by Hikurangi subduction zone ocean bottom between New Zealand, United States, nearby offshore ruptures now constitute seismometer experiment Denmark, United Kingdom, Germany, a larger threat, while distant tsunami A research consortium led by GNS Science Australia, Italy, China, and Sweden. The aim generated across the Pacific are less of a and including NIWA and eight Japanese of the project was to recover and isotopically risk. We are now responding to requests and US universities safely and efficiently measure in great detail a deep ice core from from regional councils to update their deployed 37 ocean bottom seismometers Roosevelt Island in Antarctica to determine tsunami hazard assessments. and pressure sensors in the Hikurangi the stability of the Ross Ice Shelf and West subduction zone. Here, the Pacific plate Alpine Fault drilling project At the time of Antarctica in a warming world. Processing is being thrust beneath the Australian publishing, an international science team of the 761m RICE core at our Gracefield ice plate and is capable of generating a was planning to drill a 1.3km deep hole into core laboratory is now complete, generating magnitude 9 event similar to the one that the Alpine Fault near Whataroa, north of gigabytes of data from over 100,000 discrete caused Japan’s devastating earthquake Franz Josef on the West Coast in the South samples. This is the longest high resolution and tsunami in 2011. The seismometers, Island to learn more about the nature of the record available from West Antarctica to date some weighing up to 200kg, will spend a fault and the earthquakes it can produce. and will yield unprecedented knowledge of year under water capturing small events This location is regarded by scientists the stability of West Antarctic ice sheet and that land-based instruments are unable to as one of the best sites in the world to hence future sea level rise. measure. They will also monitor slow-slip study the inner workings of a major plate Collaboration: National Science Challenges earthquakes, fault movements that take boundary fault. The deep borehole will The National Science Challenges are place over weeks or months. The project enable examination of rock extracted designed to take a more strategic approach has attracted global attention and was from the fault zone and the installation to Government investment in science jointly funded by New Zealand through of sensitive monitoring equipment to by targeting a series of goals which, if GNS and the Oceans 2020 programme, record small earthquakes and measure achieved, would have major and enduring and the US and Japanese National Science temperature, pressure and a range of benefits for New Zealand. The Challenges Foundations. chemical conditions. The project involves provide an opportunity to align and focus scientists and funding from more than a Advantage New Zealand 2014 Geotechnical research on large and complex issues by dozen organisations from New Zealand, Petroleum Forum GNS Science and New drawing scientists together from different Canada, France, Germany, Japan, the Zealand Petroleum & Minerals jointly institutions and across disciplines to achieve United Kingdom, and the United States. It is hosted this conference at Te Papa in a common goal through collaboration. being led by scientists from GNS Science, Wellington. The forum was a great success Victoria University of Wellington, and the GNS Science is proud to be collaborating and was attended by approximately 300 University of Otago. with a wide cross-section of the nation’s petroleum industry professionals from research providers through participation in domestic and international companies. This project follows significant advances the National Science Challenges. GNS offered three field trips and two in understanding the Alpine Fault with workshops for participants before and the publication of age estimates for the We are the host and contract holder for the after the meeting. The meeting was a last 24 surface-rupturing earthquakes on Resilience to Nature’s Hazards challenge, clear scientific, reputational and financial the South-Westland section of the fault at whose goal is to ensure that natural hazard success for our staff, who made more than Hokuri Creek. These ages show that large risks in New Zealand are better understood 40% of the oral presentations and won earthquakes occur relatively regularly at and managed, reducing vulnerability awards for Best Overall Presentation, intervals averaging 330 years. and improving response and recovery. Best Poster and Best Student Poster. Our partners in Resilience are 10 Crown Research Institutes, industry research providers and universities. 12 GNS Science Annual Report 2014 FROM THE CHAIRMAN AND CHIEF EXECUTIVE

We are also active participants in the Deep suffered repeatedly. To combat this, the was upgraded to Tertiary (the highest South, Biological Heritage and Sustainable Indonesian government is taking action to category) from Secondary, reflecting the Seas challenges, whose respective goals reduce losses from natural disasters and post-audit observation that the Company are understanding the role of Antarctica to strengthen community resilience. It has is now characterised by continuous and Southern Ocean in determining our made local governments responsible for improvement and best practice framework. climate and our future; protecting and managing hazards and risks. However, Changes to the GNS Science Board managing our biodiversity while improving the ability of provincial and district We welcome Sarah Haydon to the Board biosecurity and enhancing resilience governments to achieve this varies widely. of Directors of GNS Science. Sarah is an to harmful organisms; and enhancing During the next five years, we will experienced company director with strong utilisation of our marine resources within work in four provinces to reach a total commercial, financial and audit committee environmental and biological constraints. population of 3.75 million people. One of experience, who was previously Chief Collaboration: Natural Hazards Research the elements of our project is a series Financial Officer for OfficeMax NZ Ltd. Platform of New Zealand-based and in-country She brings knowledge of several industry GNS Science leads the Natural Hazards workshops that will include case studies sectors relevant to GNS Science, having Research Platform which has been from other districts in Indonesia and New spent 13 years in the oil industry in the UK. operating for five years. The Platform was Zealand. One of our roles is to help local Sarah is a director of NZX-listed Cavalier established to provide secure long-term governments in Indonesia understand and Corporation Ltd, and recently retired as a funding for natural hazards research, manage their own hazards and risks and director of AsureQuality Ltd. improve communications at all levels of and to enhance the ability of research Sarah succeeds Jane Taylor, who has the community. This collaborative project providers and end-users to work together. been appointed as Deputy Chair of our marks the first nationally consistent Our partners are NIWA, The University of sister Crown Research Institute Landcare approach to local capacity building in risk Auckland, Massey University, University Research. We thank Jane for six years reduction. It will draw on New Zealand’s of Canterbury and Opus International of excellent service to GNS Science as a expertise in disaster risk reduction, Consultants. Director and as Chair of the Audit and Risk preparedness and risk management. Committee. Research conducted under the aegis of the The numerous natural hazards that New Platform develops quantitative estimates Zealand and Indonesia have in common of geological and weather-related hazards put us in a strong position to share our such as earthquake, volcano, flood, snow, knowledge to reduce risks and increase wind, rainstorm, landslide, and tsunami preparedness. activity in New Zealand. The research also Tom Campbell evaluates how well New Zealand society is Collaboration: University partnerships Chairman prepared for these perils, and responds to The nation’s research universities continue any national need in hazard mitigation or to be important collaboration partners disaster recovery. for GNS Science. A significant fraction of our research publications have university An independent international panel co-authors, and four of our science staff Mike McWilliams reviewed Platform operations at the five- hold joint faculty appointments. Our staff Chief Executive year milestone and concluded that the supervise about 140 students at seven Platform had fulfilled expectations, that New Zealand universities and several the collaborative model has proved to be overseas universities, a 40% increase effective in achieving its goals, and that end over last year. We provide scholarships to -users were satisfied with its performance. 33 university students, a number similar to previous years. Collaboration: Indonesia disaster risk reduction initiative Staff We have begun a major project to help By year end, our total staff numbers had Indonesia become better prepared for the increased by 7 to 392, representing 371 impacts of earthquakes, tsunami, volcanic full-time equivalent positions. Scientists eruptions, floods and landslides. The seven- and technicians continue to comprise about year project follows a successful two-year 60% of our workforce, with support staff pilot funded by the NZ Aid Programme in making up the remainder. Staff turnover Central Sulawesi and West Sumatra. decreased to 6.1% from 6.5% during the financial year. With a population of 250 million and frequent natural disasters, Indonesia has Health and safety performance had to rely on international aid to help it Four of our 392 staff lost a total of 11 work recover from natural disasters numerous days due to injury last year, which is clearly times. Its economic growth has also 11 too many. Our ACC accreditation status

GNS Science Annual Report 2014 13 GNS SCIENCE STATEMENT OF CORE PURPOSE

GNS SCIENCE STATEMENT OF CORE PURPOSE

Purpose Scope of operation • maintain a balance of research that GNS Science’s purpose is to undertake To achieve these outcomes, GNS Science is provides for the near-term requirements research that drives innovation and the lead CRI in the following areas: of its sectors and demonstrates vision for economic growth in New Zealand’s their longer-term benefit • geothermal energy, oil, gas, gas-hydrates geologically-based energy and minerals • transfer technology and knowledge from (including carbon sequestration) industries, that develops industrial and domestic and international sources to • mineral and geobiological resources environmental applications of nuclear key New Zealand stakeholders, including science, that increases New Zealand’s • geological hazards, risk mitigation and industry, government and Ma-ori societal impacts of natural hazards resilience to natural hazards and that • develop collaborative relationships enhances understanding of geological and • earth-system processes and landscape with other CRIs, universities and other earth-system processes. evolution research institutions (within New • groundwater processes and quality Outcomes Zealand and internationally) to form the • the geological component of global GNS Science will fulfil its purpose through best teams to deliver its core purpose environmental processes and climate the provision of research and transfer of • provide advice on matters of its expertise change technology and knowledge in partnership to the Crown with key stakeholders, including industry, • application of nuclear and isotope • represent New Zealand’s interests on government and Ma-ori, to: science and ion beam technology. behalf of the Crown through contribution to science diplomacy, international • increase resource security and economic GNS Science will work with other research scientific issues and/or bodies as benefit from the development and providers and end-users to contribute to required diversification of New Zealand’s oil, the development of the following areas: • seek advice from scientific and user gas, geothermal energy and minerals • high-value manufacturing advisory panels to help ensure the quality industries • freshwater management and relevance of its research • increase New Zealand’s resilience to • hazards management • establish policies, practices and culture natural hazards and reduce risk from • ocean floor exploration that optimise talent recruitment and earthquakes, volcanoes, landslides and • climate change adaptation and mitigation retention tsunami • Antarctica. • enable the innovation potential of Ma-ori • improve the sustainable management knowledge, resources and people of and increase economic returns from Operating principles groundwater resources GNS Science will: • maintain its databases, collections and infrastructure and manage the • create value for New Zealand industry • operate in accordance with a statement scientific and research data it generates through the use of isotope and ion beam of corporate intent and business plan that in a sustainable manner, providing technologies describes how GNS Science will deliver appropriate access and maximising the • increase understanding of the geology against this statement of core purpose, reusability of data sets and past climates of New Zealand, the and describes what the shareholders will • seek shareholder consent for significant Ross Dependency and Antarctica receive for their investment activity beyond its scope of operation. • enhance the geotechnical engineering • meet its obligations as a Crown Company that underpins New Zealand’s transport and remain financially viable, delivering This statement provides key guidance to and energy infrastructure. an appropriate rate of return on equity the GNS Science board for developing its statement of corporate intent, which sets • develop strong, long-term partnerships out GNS Science’s strategy for delivering with key stakeholders, including industry, against its core purpose. GNS Science’s government and Ma-ori, and work with performance will be monitored against the them to set research priorities that are outcomes and operating principles in this well linked to the needs and potential of statement. its end-users

14 GNS Science Annual Report 2014 STAFF AWARDS, HONOURS AND DISTINCTIONS IN THE 2013-2014 FINANCIAL YEAR

STAFF AWARDS, HONOURS AND DISTINCTIONS

Malcolm Arnott and Mark Lawrence Ed Mroczek and Duncan Graham, and Julian Thomson won the Harold Wellman and others won best overall poster at the three co-authors from Contact Energy, Prize for his contribution to geology Advantage Geotechnical Petroleum Forum won the Best Paper award at the 35th New with the discovery of a large fossil whale in 2014. Zealand Geothermal Workshop for a paper jawbone found at Palliser Bay last year. on silica scaling and cold water injection at Chris Bromley was named as the Rob van der Raaij won the Peoples’ Choice Wairakei. Hochstetter Lecturer for 2014 by the Poster at the New Zealand Hydrological Geoscience Society of New Zealand. A The Port Hills Response Group, which Society conference in November 2013 for major part of this award is a national tour includes 18 GNS Science staff, received his poster ‘Dissolved methane in New in which Chris gives lectures on his recent a commendation from the New Zealand Zealand groundwaters’. research in geothermal science. Society for Earthquake Engineering for Cornel de Ronde was awarded the Society their geotechnical work on the Port Hills. of Economic Geology Honorary Lecturer for The commendation noted the group’s 2014 and presented lectures in Germany achievements in gathering, shaping, and and Switzerland. He was also awarded the applying knowledge to reduce the impact of AusIMM Distinguished Lecturer for 2014. earthquakes on our communities. GNS Science was part of an industry Tim Naish, Director of Victoria University’s collaboration that won an award at the Antarctic Research Centre and GNS 2014 KiwiNet Research Commercialisation Science staff member, won the Martha T Awards. The AJ Park Commercialisation Muse Prize for his outstanding research Collaboration Award went to Titanium into understanding Antarctica’s response Technologies New Zealand. This is a to past and present climate change and collaboration involving GNS Science, the role of the ice sheets in global sea level University of Waikato, Callaghan Innovation, change through time. The University of Auckland, the Titanium Cathal Reilly won best presentation Industry Development Association, and prizes at the Geoscience Society of New various industry partners. The group is Zealand annual conference in 2013 and the developing high-end surface treatments Advantage Geotechnical Petroleum Forum to give titanium properties such as in 2014. ultra-hardness for special applications in agriculture, medicine, energy production, Rupert Sutherland was elected a Fellow of and the marine industry. the Royal Society of New Zealand. Stuart Henrys received the NZ Geophysics Marianna Terezow was awarded the Prize from the Geoscience Society of New Kingma Award by the Geoscience Society Zealand for a paper on the seismic transect of New Zealand for her outstanding 15 of the lower North Island project published contributions in the form of co-authored individual or group awards, in the G-Cubed journal (Geochemistry, publications, fossil collection and curation honours and Geophysics, Geosystems). work, and outreach. distinctions

GNS Science Annual Report 2014 15 - VISION MATAURANGA

VISION- MATAURANGA

GNS Science is committed to developing Agreement with post-Treaty opens the way for expanded collaboration partnerships with Ma-ori to identify settlement iwi in areas such as geothermal energy, iwi aspirations and align our internal In April 2014 we signed an agreement minerals, and geobiological resources. In processes to help realise them. We have with Nga-ti Rangiwewehi representatives, recent years, we have worked with this Iwi undertaken a number of projects with from Bay of Plenty, to further strengthen to evaluate the use of ground-source heat - Maori that have contributed to the social, our joint working relationship where pumps to heat and cool their buildings cultural, environmental and economic we are focused on earth science and in Rotorua. We also continue to develop - wellbeing of Maori communities for the environmental issues. Nga-ti Rangiwewehi strategic partnerships with other iwi benefit of Aotearoa. is an iwi of the Te Arawa confederation groups to help ensure they achieve their aspirations in the areas of environment, Highlights include the following: of tribes, with its main base being to the northwest of Lake Rotorua. The agreement natural resources, and earth sciences. - Te Kura Whenua Wananga (Earth science formalises our existing relationship and forum) This year we partnered with Nga-ti Kahungunu Iwi Incorporated in Hawke’s Bay to deliver a four-day hands-on earth science forum (wa-nanga) at Kohupatiki Marae at Whakatu near Hastings. With our guidance, participants explored Hawke’s Bay landforms to learn about earthquakes and tsunami, the local impact of distant volcanic eruptions, minerals and groundwater, and climate and sea level change. The wa-nanga provided an opportunity to build awareness and understanding of geology and geological processes. Ma-ori Geothermal Symposium Early in 2014, together with industry partners, we ran a two-day Ma-ori Geothermal Symposium in Rotorua. About 160 delegates attended and heard presentations from GNS Science, Contact Energy, Mighty River Power, Scion, and regional councils. An initiative from the event is the setting up of a Ma-ori focus group to explore the development of direct- use geothermal heat in the central North Island. A priority for this group is to identify sites where we can investigate whether low temperature applications are feasible. This resource is capable of providing relatively low-cost, long-term energy and heat supply with low carbon emissions.

16 GNS Science Annual Report 2014 STAKEHOLDER SURVEY FINDINGS

STAKEHOLDER 83% satisfaction rate with our work in SURVEY FINDINGS last 3 years

Eighty-three percent of clients and Key points from the 2014 survey: • 93% were satisfied with access to GNS stakeholders who have interacted Science’s knowledge or technology • Respondents came from a wide variety of with us in the past three years have sectors • Respondents identified better expressed satisfaction with the quality communication, increased knowledge on • Just over 80% were confident that GNS of their experience, a survey of our specific projects and sectors, and more Science understands the research clients has found. The survey of 140 of collaboration as areas that GNS Science priorities in their sector our stakeholders was undertaken by could work on to improve its external • 75% were satisfied or very satisfied Colmar Brunton on behalf of the Ministry relationships with the way that GNS Science sets its of Business, Innovation and Employment • Respondents identified expertise, research priorities between May and June 2014. This is knowledge, skillsets, good client • 83% of all respondents, and 93% in the the third successive year that MBIE has engagement, and a positive attitude business sector, were satisfied or very conducted surveys of Crown Research of staff as the main strengths of GNS satisfied about their overall experience in Institute stakeholders and clients. Science. dealing with GNS Science

OVERALL SATISFACTION WITH GNS SCIENCE

2014 57 26 7 7 4

2013 44 35 6 10 4

2012 51 32 5 6 6

0% 20% 40% 60% 80% 100%

8 to 10 (very satisfied) 6 to 7 5 3 to 4 0 (very dissatisfied) to 2

LIKELIHOOD TO RECOMMEND GNS SCIENCE

2014 67 23 3 4 4

2013 61 20 9 4 7

2012 65 26 3 3 3

0% 20% 40% 60% 80% 100%

8 to 10 (very likely) 6 to 7 5 3 to 4 0 (not at all likely) to 2

GNS Science Annual Report 2014 17 BEING A GOOD EMPLOYER

BEING A GOOD EMPLOYER

We have many initiatives that make GNS Leadership, accountability and culture Remuneration and conditions Science a great place to work. They also Our leadership programme is the main Our terms and conditions of employment underline our commitment to being a good vehicle for developing current and future strongly reflect our good employer employer. During the past year, our key leaders. It is for managers, project leaders, philosophy. In employee surveys, staff focus areas were: staff in senior specialist roles, and staff say they value the range of benefits made who have been identified for leadership available to them. • Health and safety – increased focus on development. In addition, over the past year keeping the workplace safe Our system for remuneration review and we have been working in collaboration with • Capability and capacity – further promotion is robust and transparent with other CRIs to develop and implement a pan developed the workforce and succession our remuneration bands being based on CRI leadership programme. The aim is to planning framework to identify market data supplied by the Hay Group develop leadership capabilities across CRIs capability and capacity gaps across and MHR Global (Cubiks Rewards), which to ensure we are getting the best from our the organisation is updated annually. Our remuneration leaders. • Science career path – reviewed the review process includes regular feedback indicators used to measure performance Recruitment and induction between staff and their line managers and in science to ensure they are fair and In the past year, we appointed 29 new staff performance-related pay increases. There transparent. (13 female and 16 male), with 16 of these is also provision for lump sum payments appointed to scientific and technical roles. for exceptional performance. Workforce profile For those recruits who are from overseas, This year we undertook an independent Our workforce is balanced, diverse, and we work to reduce barriers for applicants review of our remuneration system and stable. moving to New Zealand. This includes: science career path which concluded • 40% of our staff are under the age of 45 • bringing a prospective employee and they are gender-neutral. This underlines • The average age of all staff is 47 – 44 their partner/family to New Zealand to our commitment to Equal Employment for women and 49 for men meet staff and see their future working Opportunities. • 6% of staff have reached the age of environment There is voluntary membership of the PSA, retirement eligibility, and 9.3% of • help with travel and relocation and 53% of staff are members. We have an the remainder will reach retirement arrangements excellent relationship with the PSA and this eligibility in the next five years • induction workshops for new staff where contributes positively to the operation of • Our gender split is 38% female and they are introduced to key staff and made our organisation. 62% male familiar with Company operations and • Our staff turnover for the past 12 months policies. This includes an introduction Our employment conditions include was 6.1%, compared to 6.5% the previous to health and safety expectations and generous sick leave, income protection year responsibilities. insurance, and life insurance cover. Our • As at 30 June 2014, we employed offices feature ample free parking, cycle We survey new staff twice – after 90 days 392 staff (FTE 371) storage, and showers. We also have and at one year to assess the impact of our arrangements with gyms and sports • Many of our staff were born overseas induction programme. facilities so staff can enjoy memberships which contributes to a rich and diverse - at attractive rates. culture within our organisation. The lack of Maori applicants for our science roles continues to be a concern. However, We have developed a Reward and figures obtained from Victoria University Recognition Guide to provide managers of Wellington show that there is a very with ideas on how to recognise employees - low number of Maori graduates in earth who have gone above and beyond what is sciences. This year we have continued with expected of them. Te Reo Ma-ori classes for staff and we also formally celebrated Matariki.

18 GNS Science Annual Report 2014 Female staff Staff turnover Average age 38% 6.1% 47 yrs

Employee development to ensure it is consistent with guidelines regular medicals for all field and laboratory This year we spent $285,000 on produced by WorkSafe New Zealand. All staff. Counselling sessions are available professional development, an average our policies go through a consultation where a need is identified. of $727 per person. process with staff. As part of our induction Personal and family security process, we actively engage new staff in We continue to educate managers and staff We provide financial assistance for workplace behaviour expectations. We in the areas of professional development, do not tolerate any form of bullying or employees and their families in the event especially in how we can provide our staff harassment. of death or injury through life and income with on-the-job opportunities rather than protection insurance schemes. We help simply seeing training courses as the only Safe and healthy working environment staff with retirement planning by holding development option. We are committed to a safe and healthy retirement seminars. We also offer a group working environment for everyone using Science career path scheme for medical insurance to which our premises, including contractors and Our science career path provides a formal 25% of staff subscribe. Fifty-four percent of students. We have made improvements to career structure for science staff with four staff contribute to KiwiSaver schemes. our health and safety practices and culture. career path steps for technicians and five We apply the lessons learnt from health Workforce and succession planning for scientists. This is an entirely merit- and safety incidents to continually improve We set up an annual companywide based system. We have more male staff the safety of our working environments. workshop involving executive and tier at the senior levels and we are seeking three managers to review all aspects of further information about this to see what We were delighted to move up from succession planning. A key output was steps we can take to address it. Secondary to Tertiary status in the ACC Workplace Safety Practices programme workforce development action plans, This year 16 staff were successful in during the year. This year we launched our which we will be working through over their applications for progression on our online hazard register which is used across the coming year. science career path. These applications are the organisation. A revamp of our intranet reviewed by a panel of Principal Scientists Staff exit has provided an opportunity to rearrange who make recommendations to the We invite staff to undertake an exit the health and safety pages so they are Executive Management team for approval. interview when they resign. The information easier for staff to use. gathered helps in fine-tuning our Flexibility and work design Wellbeing initiatives include flu vaccinations, employment policies and procedures. A number of staff continue to opt for flexible and two-yearly eye examinations and This benefits current and future staff. work arrangements which includes working part-time, flexible start and finish times, and a phased retirement programme. This helps WHERE OUR JOB SEEKERS COME FROM (SELF-DECLARED) to attract and retain staff at different stages of their careers. Nine percent of our staff work part-time (less than 30 hours/week). Australia 3.9% We also support staff so they can readily Pacific Islands 0.3% return to work after periods of parental Middle East 1.9% leave or ill health. Asia 10.3% Harassment and bullying prevention New Zealand 67.1% We work diligently to ensure a positive Europe 10% working environment for all staff. Our code North America 4.5% of professional practice, put in place in 2004 and reviewed every two years, sets out Africa 1.2% South America 0.8% behaviour standards expected of all staff. We are reviewing our harassment policy

GNS Science Annual Report 2014 19 ENERGY AND MINERALS

ENERGY AND MINERALS OUTCOME 1 OF OUR STATEMENT OF CORE PURPOSE

INTRODUCTION

Our activities in this area are the discovery of new oil fields, and For New Zealand’s marine territory, designed to bring economic benefits optimises the management of existing we work with national and to New Zealand by contributing fields. international organisations to to the security, development and investigate the nature of the seafloor In geothermal energy, our scientific diversification of New Zealand’s oil and sub-seafloor. The aim is to provide advice to industry on physical and and gas, geothermal, and mineral quality information so government chemical properties of prospective and resources. agencies and other organisations can producing fields increases levels of make informed decisions about the Our petroleum geoscience research confidence in exploration by reducing potential resources and conservation and technology transfer focuses on the risks associated with drilling and needs of the Exclusive Economic Zone mapping, analysing and quantifying production. and its Continental Shelf Extension. the factors that control how petroleum For the minerals industry, we identify forms, migrates, and is trapped in the extent and grade of offshore and sub-surface structures. This aids onshore mineral resources.

REVENUE SOURCES

Technology Direct Crown transfer 46% Funding 43% $21.9 million

Total revenue Contestable 29% of our total Company revenue funding 11%

20 GNS Science Annual Report 2014 GNS Science Annual Report 2014 21 ENERGY AND MINERALS

GNS Science provides technical assistance to exploration companies operating in New Zealand as well as to other companies evaluating block offers and considering bidding for petroleum exploration permits. The almost 50 specialists in our petroleum geoscience team have a broad range of expertise and many decades of cumulative experience. They play a vital role in an industry that is New Zealand’s fourth largest export earner.

Industry feedback on the Advantage Forum ”As a representative of a company that is new to New Zealand, I found that the Advantage New Zealand 2014 Geotechnical Forum was not FUELLING THE UPSTREAM OIL AND GAS SECTOR just well organised, it had a range of cutting-edge technical presentations on the geology of New Zealand that The biggest event of the year in terms With a focus on subsurface geology, helped kick-start our prospectivity of our interaction with the petroleum geophysics and associated disciplines, assessment of your sedimentary exploration industry was the inaugural the Advantage forum was the first purely basins and expose us to the latest Advantage New Zealand 2014 Geotechnical technical petroleum conference in New research and ideas on the petroleum Petroleum Forum, in April. Working in Zealand for over a decade, making it a systems. The application of these new partnership with New Zealand Petroleum draw-card for explorers and producers concepts has been critical to our new & Minerals, GNS Science conceived alike. It had extra pulling power as it ventures assessment work.” and helped to plan and host the two- featured the release by Energy Minister DR DARREN FERDINANDO day conference, held at Te Papa, which Simon Bridges of the 2014 petroleum Senior Staff Geologist attracted more than 300 people from exploration blocks offer in which 405,000 Murphy Australia Oil Corporation New Zealand and overseas. square kilometres of onshore and offshore Perth, Australia acreage was made available for industry We also conducted two pre-conference evaluation. Forum presenters covered a ”The informal discussions at the fieldtrips, to the Wairarapa and broad range of geoscientific material in workshop were extremely useful in Marlborough regions, and held a full day support of the 2014 blocks offer. understanding the extent of geoscience post-conference geoscience workshop for resources that GNS Science could 70 delegates at our Lower Hutt campus. The forum was a most effective venue for provide to the oil and gas industry These conference add-ons proved to be showcasing government-funded applied in New Zealand. Their geological highlights for attendees, who especially research on New Zealand’s petroleum and geophysical data and technical welcomed the opportunity to contribute basins. Our expectation is that technical expertise are particularly valuable to a series of nine interactive specialist events like the forum, in conjunction to energy companies exploring for sessions at the workshop. Importantly, with promotional activities undertaken hydrocarbon resources in these sessions allowed us to directly test by NZ P&M, will contribute to a growing New Zealand.” the relevance of our research with the international awareness of the petroleum industry. For our 35 staff who participated, potential across New Zealand. Ultimately DR FREYD RAD the forum and workshop also represented this should lead to greater success in the Senior Geoscience Advisor Anadarko Petroleum Corporation search for new oil or gas finds. an unrivalled networking opportunity. Houston, Texas The forum contained a special learning We look forward to a repeat event planned programme for students, designed to for 2016, which will present similar inspire them to become the industry’s next opportunities for interaction and sharing generation of expertise. of information between oil and gas professionals in government and industry.

22 GNS Science Annual Report 2014 ENERGY AND MINERALS

RECENT INNOVATIONS

(2012) Developed Petroleum Basin Explorer web portal which has over 1600 registered users from 63 countries who have downloaded 8000 documents (2012) Developed micro-earthquake monitoring techniques for reservoir management (2012) Completed interpretation of the airborne geophysical survey data of Northland (2013) Provided geoscience input into feasibility studies to harvest rock phosphate from the Chatham Rise (2013-2014) Sold nine major petroleum geoscience database products to industry to help in the quest for new petroleum discoveries (2013-2014) Developed basin-wide petroleum fluid-pressure plots to help unravel the complex story of oil and gas distribution in the Taranaki Basin (2013-2014) Successfully trialled a new method for community engagement and consultation in Taranaki (2013-2014) Introduced new scanning technique as part of reservoir provenance studies

EXPERTISE IN GEOTHERMAL ENERGY SCIENCE IN DEMAND

Our expertise in geothermal energy Our technical advice, training, and This consultancy work broadens our skills science is in demand in a number of Pacific expert reviews help EDC to increase the and experience which we are then able to Rim countries where we provide a broad performance and value of its geothermal apply at home to enhance New Zealand’s range of services from field assessments developments. We have also provided geothermal energy production. EDC is to effectiveness auditing. This year we have scientific and technical review opinion broadening its energy portfolio to include been particularly active in the Philippines, for EDC’s geothermal energy interests in wind and hydro. At the same time, the where we work with four energy South America. This gives confidence to company is working to improve efficiencies companies, the largest of which is Energy EDC shareholders that the company is of existing geothermal fields while also Development Corporation. EDC is one of making the best choices to increase the developing new greenfield prospects. the larger geothermal energy companies in performance and value of its geothermal EDC has also asked us to help them the world with nearly 1200MW of installed resources. Our services include technical assess the possibility of using direct heat capacity. advice, training, expert reviews, and at some fields as an adjunct to generating powerful numerical modelling of electricity. EDC has been doing this on geothermal reservoirs. a small scale for drying produce. Our objective is to see if it can be scaled up.

GNS Science Annual Report 2014 23 ENERGY AND MINERALS

REVAMPED GEOTHERMAL LABORATORIES KEEP WORLD-CLASS EDGE FOR NEW ZEALAND

Our newly upgraded geothermal and The facility’s mix of research and strong industry and scientific links both groundwater laboratories at Wairakei, commercial work supports geothermal in New Zealand and internationally and is north of Taupo, reinforce our position as a energy operators in New Zealand, iwi, well placed to ensure that New Zealand provider of world-class analytical services and regional councils in their geothermal can benefit when commercial spinoffs arise to the geothermal and groundwater exploration and development initiatives, from this work. industries. In the past year, the 1100 environmental monitoring, and power square metre facility underwent a multi- station efficiency and consenting needs. “Mighty River Power has been one of million dollar revamp that included an the largest geothermal developers in In addition, it assists geothermal energy upgrade to its lab equipment. The facility is recent years, completing three power development in the Philippines, Indonesia, now capable of a wider range of analytical stations since 2008. Fluid chemistry is Peru, and Chile. services to a higher precision than before. an important component in monitoring By almost any measure, it is without peer In another part of the facility is the GNS the performance of the geothermal in the Southern Hemisphere. Science Extremophile Laboratory, which fields and power plants that we operate. Having a state-of-the-art Included within the facility are the New contains about 1500 strains of micro- GNS Science Laboratory here in New Zealand Geothermal Analytical Laboratory, organisms that live in the geothermal Zealand offers Mighty River Power and the GNS Science Extremophile Laboratory, and volcanic areas of the central North the geothermal industry easy access and other specialist analytical facilities. Island. These microbes thrive at high to a range of fluid analysis techniques A unique feature is the combination temperatures, in highly acidic or strongly that enhances our confidence in of sophisticated analyses and expert alkaline environments, and in high the quality of geochemical data interpretation of the results. This added concentrations of heavy metals – conditions which is essential to our geothermal value capability is vital to the health of that would kill other life forms. operations.” New Zealand’s geothermal industry. Research on extremophiles, and their FARRELL SIEGA There have been laboratories on the site bioactive compounds, has led to exciting Geochemistry Manager of our Wairakei office since the 1940s and developments in applied science. Pilot Mighty River Power these early facilities were integral to the projects have shown that they can benefit Rotorua development of the Wairakei Geothermal a wide range of industrial processes, help Power Station in the 1950s. More recently, remediate contaminated land, and help they have played a crucial role in the renai- make a new generation of pharmaceuticals. ssance of geothermal energy since 2004. Our extremophile research group has

24 GNS Science Annual Report 2014 IMPACTS ENVISIONED IN OUR STATEMENT OF CORPORATE INTENT

Theme Near-term goals Progress/achievement

Geothermal energy Resource Enhanced understanding of the physical and Conducted laboratory and field-based studies to better characterisation chemical nature of fluids and flow pathways characterise deep geothermal reservoirs and identify possible below existing drilling depths constraints that might inhibit their development and/or use. Includes powerful numerical and 3D geophysical modelling of deep reservoirs. Experimental determination of simulated Continued research on mitigating detrimental impacts of chemical changes at deep crustal temperatures corrosive properties of fluids at high temperatures and pressures, and pressures and identifying the source of fluids that could be expected beyond depths of 2 kilometres. Better knowledge of how subsidence affects Continued to provide expert technical advice, research and analysis surface features and ecosystems, and at geothermal fields where this might be an issue. The public reinjection mitigation delivery of our work and the potential effects of subsidence are an important consideration for the awarding of resource consents. Sustainable Assessment of productivity and sustainable Our focus, and the focus of the industry, has been on improving development development of geothermal resources in NZ sustainability and efficiencies of existing geothermal developments. A measure of this work is well performance in its widest sense. A GIS-based geothermal database of geological, Built a website detailing the microbial diversity, location, and physical, chemical, and microbiological geochemical information for 1000 geothermal hotsprings in NZ’s descriptors central North Island. Physical and biological Promotion of the understanding and application As a result of our research and development activities, workshops, surface effects of low temperature geothermal resources seminars and extensive public engagement, we have recorded nationwide growth in the uptake of low temperature geothermal applications.

Oil and gas Petroleum systems Quantified critical parameters that control Presented our Taranaki research findings to industry at the petroleum formation, migration, and Advantage 2014 conference. Includes distribution of gas to oil ratios confinement with calibration to industry data with reservoir depth and pressure, petroleum charge modelling and known resources in Taranaki around the Maui Field, and database compilations for several Taranaki reservoir formations. These studies provide important ground-truthing for understanding and modelling the distribution of petroleum phases within a basin – a key industry goal. Advanced understanding of the geological Released important information on East Coast source rock properties framework and prospectivity in the Northland, to exploration companies as a web-based database. Unveiled East Coast, Reinga, Pegasus, Canterbury and results of seismic mapping of Pegasus and Canterbury Basins Northland basins at the Advantage 2014 conference. Published new results from paleogeographic maps and seismic mapping from Great South Basin in the APPEA conference journal. Developed multi-client reports on prospectivity screening for Reinga/greater Taranaki (NW quadrant) and Great South/Canterbury (SE quadrant) offshore basins. Frontier provinces Establish environmental and production Participated in joint NZ-German research voyage that identified parameters for east coast (North Island) gas a 50-square-kilometre sub-seafloor area east of Gisborne that hydrate reservoirs is rich in gas hydrates. This extensive deposit is venting methane gas through the water column.

Emerging energy Provision of expert advice to government on CO2 Represented New Zealand interests in carbon capture and technologies storage in sedimentary basins storage (CCS) at CO2CRC symposium and planning meetings, and presented expert advice to CCS forum, as well as discussions with MBIE. Continued to liaise with industry representatives on the topic of storing liquid CO2 in NZ sedimentary basins. A GNS-led publication on the interaction of CO2 with subsurface resources has been viewed internationally about 100 times.

Minerals Onshore prospectivity Provision of newly interpreted geochemical, Produced publications and conference presentations on aeromagnetic and radiometric information to a biogeochemical survey in the Reefton Goldfield and government and industry interpretations of aeromagnetic surveys of Otago and the Longwood Range of Southland. Submarine exploration Provision of new offshore geophysical and Collected new geophysical and geological data on the Colville geochemical information to government and Ridge and the Reinga Basin, funded by Oceans 2020 and in industry collaboration with NZ Petroleum & Minerals. Exploration pathfinders Determination of the georesource potential of Measured the amount of geothermal heat entering through the one lake in the Taupo Volcanic Zone lakefloor at Lake Rotomahana near Rotorua. Improved access to mineral resources data by Promotion of minerals data availability through minerals industry explorers, government agencies and the public magazine articles and conference presentations, and ongoing upgrade of data in the minerals databases.

GNS Science Annual Report 2014 25 GROUNDWATER

GROUNDWATER OUTCOME 2 OF OUR STATEMENT OF CORE PURPOSE

INTRODUCTION

Groundwater accounts for roughly 30% of New Zealand’s consumptive water use. There is wide agreement that improved management of groundwater stems directly from a better understanding of the resource itself. Our research and analytical capabilities are designed to significantly improve the understanding of aquifer systems and help in the effective management of groundwater resources. We use innovative methods to monitor, characterise and map New Zealand’s aquifers. End-users rely on our aquifer maps and 3D models to ensure sound management of fresh water.

REVENUE SOURCES

Technology Contestable transfer 38% funding 42% $4.6 million

Total revenue Direct Crown 6.0% of our total Company revenue Funding 20%

26 GNS Science Annual Report 2014 GNS Science Annual Report 2014 27 GROUNDWATER

FASTER AQUIFER INFORMATION

Our hydrogeology group is trialling allocation. Our focus is on correcting The project is part of the six-year Smart advanced techniques for obtaining this knowledge deficit to facilitate Aquifer Characterisation research information for management and environmentally sustainable management programme, which is funded by the exploration of aquifers by using publicly of these water resources. Ministry of Business, Innovation and available geophysical data captured Employment. Its aim is to develop For the trial, conducted in collaboration by aerial surveys. This involves using innovative techniques to characterise with Deltares in the Netherlands, we used advanced computing techniques to obtain New Zealand aquifers more efficiently than publicly available data that were collected information over large areas of land at traditional methods. One way of doing this by mining company Glass Earth in 2007. a resolution and speed that would be is to use pre-existing data, or data that can The trial covers nearly 13,000 square inconceivable using traditional aquifer be collected over large areas with minimal kilometres of Otago with the data acquired mapping techniques. time and cost. by helicopter. Ground penetration for the Initial results show that aerial data ranges from 60m to 150m. We further ”The team at GNS Science are electromagnetic data can confirm the processed the data to obtain more accurate often our first port of call for key locations of known aquifers and can and higher resolution depth information. technical guidance for our regional be used to quickly identify previously Although it was acquired mainly for mining monitoring and science development unmapped aquifers in a region. However, purposes, it is fortuitous for Otago that the programmes. The expertise and a lack of ‘hard’ data such as ground-based data contain information useful for other analytical services they offer are hydrological, geological, and geophysical purposes. critical to the development of a information results in some uncertainty So far, we have focused on three case study regional scale understanding of our with this method. Consequently, we are areas where there are known aquifers that natural resources. We find the staff in the process of increasing the amount have not yet been accurately delineated accessible, highly professional and of ‘hard’ data to enable more robust both horizontally and at depth. They are the committed to working collaboratively assessments. Ida Valley, Ettrick Basin, and Lake Dunstan with our science team. In short, great There are 200-plus known aquifers in New (pictured above). Rather than identifying people and great expertise.“ Zealand and about 30% of New Zealand’s water directly, the data identify hydraulically DR CLINT RISSMANN population relies on the groundwater in conductive materials such as gravels, sand, Principal Scientist these aquifers for freshwater supplies. and sandstone where water is likely to occur. Environment Southland In many cases there is insufficient We found that the technique gives an instant knowledge of aquifers to properly address overview of likely aquifer zones that may the management of water quality and deserve further investigation.

28 GNS Science Annual Report 2014 GROUNDWATER

RECENT INNOVATIONS

(2012) Facilitated regional council access to the Geothermal-Groundwater national database (2013) Developed smartphone access to aquifer and geology databases in Bay of Plenty (2013) Developed a modelling tool to better understand surface water-groundwater interactions in the Lake Taupo catchment (2013) Improved sensitivity and doubled throughput in our Water Dating Laboratory, already the most accurate such laboratory in the world (2013) Developed guidelines for councils to help protect streams, wetlands, and wells that receive inflow from groundwater (2013-2014) Developed new computer techniques to process airborne electromagnetic data to derive information on the lateral extent and depth of aquifers to help groundwater managers estimate the storage capacity of aquifers (2013-2014) Trialled temperature-sensing techniques – satellite, airborne, and fibre optic – to show how they can complement each other for more cost effective characterisation of groundwater-surface water interactions over relatively large scales.

IMPACTS ENVISIONED IN OUR STATEMENT OF CORPORATE INTENT

Theme Near-term goals Progress/achievement

Groundwater quantity Delivery of national groundwater data to end- Set up new national protocols for data transfer to improve and quality users stakeholder access to national and regional datasets. Also deployed new interactive capability for access to the Groundwater and Geothermal database. New techniques to quantify reach-scale ground The use of radon gas and distributed temperature sensing has and surface water exchange fluxes in space and provided exciting new possibilities to characterise reach-scale time ground and surface water interactions.

VALUABLE TOOL IN GROUNDWATER MANAGEMENT

We are continually looking for more radon-222 degasses from the water and effective ways to measure groundwater enters the atmosphere. So surface waters and surface water interactions. These two have lower concentrations of radon-222 resources are strongly interconnected than aquifer waters. It is the difference in and the quality and quantity of one directly concentrations that enables us to identify affects the other. Streams, rivers and aquifer inflows. lakes are continually losing and gaining In our pilot, we used glass vials to sample water from aquifers. Knowing where these river water at 500m intervals. The vial is interchanges occur, and how much water sealed underwater to prevent loss of radon is being exchanged, can help significantly to the air. We then measure the alpha in managing the quality of our fresh particle radiation in the sample, which “GNS Science provides information and water bodies. relates directly to radon concentration. expertise of fundamental importance In a pilot project this year, we have been Areas where aquifer inflow is occurring are for groundwater management by the measuring the concentration of radon gas easily identified as a spike on a graph. The Waikato Regional Council. Detailed in river water at various points along rivers method enabled us to identify an aquifer geological mapping, modelling and to identify areas where groundwater is inflow zone in the Hutt River that had not associated geophysics inform our entering the river. Our focus is radon-222, previously been recognised. This means understanding of hydrogeologic which is a radioactive isotope of radon. It is that water that has been underground for a systems in three dimensions. widely used as a naturally occurring tracer period, possibly a year or longer, is entering Environmental tracer work is also very in environmental studies. Its parent product the river system. important for water quality protection is uranium, which occurs naturally in small through consideration of lag times In summary, radon measurement improves concentrations in rocks and soil. and groundwater-surface water our ability to identify stretches of river that interactions.” While water is underground, it picks up are gaining groundwater. In addition, it small amounts of water-soluble radon provides another tool to study the transport of JOHN HADFIELD gas. When water comes to the surface, the nutrients from farms to streams and rivers. Senior Groundwater Scientist Waikato Regional Council

GNS Science Annual Report 2014 29 ISOTOPES AND ION-BEAM TECHNOLOGY ISOTOPES AND ION-BEAM TECHNOLOGY OUTCOME 3 OF OUR STATEMENT OF CORE PURPOSE

INTRODUCTION

Our isotope and ion-beam technologies support the earth sciences in the broadest sense, as well as industries and environmental sciences. We use our ion-beam technology to analyse fine-particle air pollution in urban areas so councils can make informed policy and mitigate poor air quality. We also use this technology to develop materials with superior physical, electrical, magnetic, and optical properties by depositing other elements, atom-by-atom, onto the surface of the base material, usually a metal. This supports high-value manufacturing industries and the development of specialised nano-materials for industry. Our isotope technology is used in age dating, environmental tracing, and food authentication.

REVENUE SOURCES

Technology Contestable transfer 52% funding 31% $5.3 million

Total revenue Direct Crown 6.9% of our total Company revenue Funding 17%

30 GNS Science Annual Report 2014 GNS Science Annual Report 2014 31 ISOTOPES AND ION-BEAM TECHNOLOGY

We operate a range of ion-beam technology techniques that enable manufacturers to change the properties of metal and metal surfaces to give improved lifetime performance and greater utility. Until recently, some of these high-value techniques were prohibitive for New Zealand industries. We have scaled them and made them affordable for the local market. As well as medicine, applications include agriculture, food processing, security, manufacturing, transport, and construction.

Project started: 2013 Project duration: Ongoing Number of scientists involved: Five Collaborations: With Ossis on this occasion. Other projects involve various industry and university partners in New Zealand and internationally. MEDICAL APPLICATIONS FOR Funding: Most research occurs within our Core and MBIE-funded NANOTECHNOLOGY TEAM programmes. We undertake a range of commercial projects as clients require. Progress communicated by: Research Our nanotechnology team has expanded its Inside the chamber, silver atoms are papers; presentations to government repertoire of nano-engineered structures sprayed with enough energy to penetrate agencies and industry groups, to include medical applications. This year, the top half dozen atoms on the surface of conferences; workshops; client working with a New Zealand company the titanium. This helps to ensure a lasting reports; mainstream and specialist that makes custom medical implants, we bond. The finished layer of silver is about media coated a titanium hip joint with a wafer-thin 300 atoms, or 30 nanometres, thick. Our layer of pure silver to reduce chances of chamber is equipped to measure precisely Direct beneficiaries: Patients having post-operative infection in the patient. the thickness of deposition layers. joints replaced The antimicrobial properties of silver We offer a two-day turnaround time, which Long-term beneficiaries: All are well known. in this case was compatible with treatment New Zealanders. Increasingly, Christchurch company, Ossis, was asked schedules. Custom implants are used nanotechnology applications will affect by one of its customers if it could provide a where normal implants are unsuitable, every aspect of daily life. silver coating to a custom titanium implant or if there are other complications with Clients: Our new materials technology they were designing for that customer. individual patients. They help to speed team, which consists of five scientists Ossis asked us to coat the implant with recovery and rehabilitation times. and five technical and support staff, ‘nano-silver’ that would last the lifetime of Our purpose-built ‘sputter chamber’ delivers benefits to clients and partner the patient. To do this we used a technique can coat substrates with a wide range organisations in many sectors. This known as sputtering. In our ‘sputter of permanent metallic nano-coats includes medicine, agriculture, food chamber’ the target is showered with including gold, platinum, zinc, germanium, processing, security, geothermal silver atoms that chemically bond with the aluminium, and alloys such as iron-nickel. energy production, transport, and titanium. The silver ion is bioactive and Each coating delivers a particular set of construction. Together these sector helps ward off infection. properties to a substrate making it, for groups represent a significant part of instance, extra hard, corrosion-resistant, the New Zealand economy. ultra-smooth, or improving its electrical conductivity.

32 GNS Science Annual Report 2014 ISOTOPES AND ION-BEAM TECHNOLOGY

IMPACTS ENVISIONED IN OUR STATEMENT OF CORPORATE INTENT

Theme Near-term goals Progress/achievement

Air particulate pollution Identification of the sources of air particulate Air particulate monitoring programmes in Auckland, Wellington, matter pollution in Auckland, Wellington, Nelson and Christchurch have successfully identified the sources Nelson, and Christchurch of urban air pollution. In Auckland we were able to identify trends in particulate matter pollution emitted from a range of sources; this is important information for developing and implementing air quality management policy. New materials Development, with industry, of a magnetic field Developed prototypes of MFS for non-GPS navigation systems, sensor (MFS) using ion-beam implantation and proximity sensing for security applications. Working with technology industry partner to assess commercial applications.

RECENT INNOVATIONS

(2012) Developed ion-beam method for anti-corrosion preparation and coating of industrial pipes (2012) Developed an air-sampling technology for hourly identification of sources of air-particulate pollution (2013-2014) Worked with export honey industry to find out why manuka honey is failing authentication lab tests (2013-2014) Designed and built an ion implanter for the Australian Nuclear Science and Technology Organisation

LEARNING THE SOURCE OF RIVER SEDIMENTS

Our environment and materials scientists are trialling a new method to identify the origin of sediments and nutrients that build up in rivers and estuaries and put ecosystems at risk. The aim is to help councils and others responsible for waterways to manage sediment and nutrient inflows into rivers. The trial focused on the Oreti and Aparima rivers and was undertaken at the invitation of 25 elements in the samples and Environment Southland, and funded by determined their respective concentrations. Project started: July 2013 DairyNZ. A key finding was that the elemental Project duration: Ongoing Environment Southland wanted to learn composition of the sediment changed as it Number of scientists involved: 4 more about the processes involved in the travelled down the river. As the sediment high rates of accumulation of sediment flowed toward the estuary, the organic Collaborations: Environment and nutrients in two of its rivers and their fraction – hydrogen, carbon, nitrogen, and Southland and DairyNZ estuaries. Over time, they had observed oxygen – reduced. At this stage, it is unclear Funding: DairyNZ significant physical changes including a if these elements simply dropped out of Progress communicated by: A major build-up of silt and reduced oxygen levels suspension, or reacted with the riverbed, report for Environment Southland, in parts of the two rivers. Environment or were lost by some other process. research papers, presentations to Southland wanted to find the respective Further work is needed to see if firm links government agencies, and conferences contributions made by the various land can be made between land use and the and workshops uses in the river catchments. amount of sediment and nutrient found at different stages in the river. Direct beneficiaries: Environment Using our ion-beam facility, we analysed Southland, land owners in the river soil from 54 farms and analysed 19 To our knowledge, this is the first time catchments, flora and fauna in the samples of suspended river sediment. The such detailed elemental analysis has been rivers and estuaries facility fires a beam of protons at a sample applied to the entire composition of river of sediment and analyses the X-rays and sediment. Long-term beneficiaries: particles that are emitted. We measured All New Zealanders

GNS Science Annual Report 2014 33 NATURAL HAZARDS

NATURAL HAZARDS OUTCOME 4 OF OUR STATEMENT OF CORE PURPOSE

INTRODUCTION

Our research and applied work in this area helps to reduce New Zealand’s risks from earthquakes, volcanoes, landslides, and tsunami. The outcomes are increased resilience of society, buildings and infrastructure. This reduces loss of life as well as moderating insurance costs through better engineering and planning.

In partnership with the Earthquake Commission and supported by Land Information New Zealand, we operate GeoNet – the national network for monitoring geological hazards. Data from this network provide underpinning information for downstream geohazards research. We also host the Natural Hazards Research Platform – the multi-agency group that delivers most of New Zealand government-funded applied hazards research. Finally, we undertake social science research to support Civil Defence and other agencies to prepare for, and respond to, natural hazards.

REVENUE SOURCES

GeoNet 24% Direct Crown Funding 31% $36.2 million

Technology Contestable transfer 20% funding 25% Total revenue 47.2% of our total Company revenue

34 GNS Science Annual Report 2014 GNS Science Annual Report 2014 35 NATURAL HAZARDS

SQUASHED EXTINCT VOLCANOES LINKED TO TSUNAMI ON THE EAST COAST

A group of our scientists, working with a Using seismic and magnetic data largely rupture violently in seconds, and slow-slip colleague from Imperial College in London, from the oil exploration industry, the earthquakes where movements occur slowly have shown that extinct undersea volcanoes scientists located two extinct volcanoes and gradually over weeks or months. The can trigger tsunami as they are subducted under the seafloor east of Gisborne and civil defence message for all earthquakes under the North Island. The finding is the coinciding with the 1947 earthquake remains the same. Where shaking is either result of a multi-year investigation focused epicentres. Millennia ago the extinct unusually strong or lasts for a minute on two unusual tsunami that hit the Poverty volcanoes became partly squashed as they or more, people should head to higher Bay coast in 1947. sunk beneath the Australian plate east of ground. It is likely there are other subducted Gisborne. However, their height inhibited seamounts along the North Island’s east Although the tsunami were quite large the subducting plate from sliding smoothly coast, generating further tsunami-genic earth- and caused damage, they were not and the area around the volcanoes became quakes of this type over long time periods. preceded by a large offshore earthquake stuck, which caused a build-up of tectonic and violent ground-shaking, which is the strain. When they became ‘unstuck’ Project started: 2008 normal pattern of events. Instead they in 1947, the Pacific plate moved to the were preceded by quakes of magnitude Project duration: Work occurred west quickly, but not as fast as a normal 5.6 and 5.9 respectively, which produced progressively over six years in parallel earthquake rupture. slow rolling motions that lasted for some with other research projects minutes. Poverty Bay residents of 67 years Modelling by our tsunami scientists found Collaborations: Imperial College of ago reported feeling seasick. that a slow rupture under the seafloor, at London least half as slow as a normal earthquake Our scientists (pictured above) suspected rupture, can significantly amplify the size of Funding: Core funding under MBIE that the events were triggered by extinct the tsunami waves. This counter-intuitive contract volcanoes getting ‘stuck’ and then suddenly phenomenon resulted in waves that were sliding on the subducting plate interface, Immediate beneficiaries: International up to 10m high during the 1947 tsunami. 60km east of Gisborne. They found that science community, civil defence This would normally be out of proportion geophysical data and eye witness accounts organisations, Poverty Bay residents for earthquakes of such modest magnitude. from the time perfectly matched their Long-term beneficiaries: International theory. This type of tsunami-producing Called ‘tsunami earthquakes’, they are one science community, civil defence earthquake is rare and was first recognised of three distinct types of earthquake. The community, all New Zealanders, all by scientists 35 years ago. other types are normal earthquakes that coastal populations worldwide where tsunami can be a threat. 36 GNS Science Annual Report 2014 NATURAL HAZARDS

DECISION SUPPORT TOOL FOR LAND-USE PLANNING

We have developed a decision support tool being overly restrictive, and others too The toolbox was released in September 2013 to provide guidance to local authorities permissive. Funded by Envirolink, the and a number of councils are exploring its on how to implement a risk-based online ‘toolbox’ is free and is designed to benefits. Among these, the Bay of Plenty approach to natural hazards in land support risk-based land use policy and Regional Council and Thames-Coromandel use plans. Consisting of an interactive plan development in local government. District Council are leading the way in website, it provides a framework for It consists of five well-defined steps making it part of their planning approaches. a rational decision-making process to including knowing your hazard, working The toolbox is available at: determine what is acceptable, tolerable, out the severity of consequences, and the http://tinyurl.com/mdszu65 or unacceptable risk. Councils can then likelihood. set policies accordingly with the aim Each step takes the user through a set of “GNS Science’s toolbox is of increasing community resilience by actions outlined in a table format. It guides underpinning the Bay of Plenty lowering or negating the consequences of councils in evaluating multiple natural Regional Council’s policy approach to natural hazards. hazards and engaging internal audiences natural hazards. It has demonstrated At present, planning policy for developing as well as the wider community in decision- that risk management can be applied land gives only limited attention to the making. Importantly, it is not about to controlling the use of land to avoid consequences of natural hazards such stopping development – it is about smarter or mitigate natural hazards. With as earthquakes, floods and tsunami. It is development. the ongoing support of its authors, common for land use planning to be based BOPRC has engaged the community The toolbox enables land use planners on likelihood of a natural hazard, such as in the setting of risk thresholds and and decision-makers to quantify potential a one in 100-year event. Likelihood alone established a risk-based natural consequences and determine a level of does not specify consequences of a natural hazards policy framework to be risk, with associated controls. It can apply hazard event. And sometimes decisions are included in the region’s Regional Policy equally well to existing developments for based on an ‘acceptable level of risk’, which Statement.” decisions on infill housing, or changes to is not defined. As a result, many existing land use. It can also help with decisions on MARTIN BUTLER developments may have significant risks the siting of critical infrastructure such as Regional Planner that communities may not be aware of. electricity substations. Bay of Plenty Regional Council Currently there is no consistent approach on risk reduction in land use planning, resulting in some council decisions

GNS Science Annual Report 2014 37 NATURAL HAZARDS

The New Zealand volcano science community responded to the unrest by working closely across disciplines and institutions to answer multiple questions and offer reliable science information to the public and end-users. A specific example was an end-user workshop, called ‘Te Maari Day’, held in March 2013. This event allowed scientists to share their research and get input from the wider end-user community. The eruption and subsequent workshop reminded us that during an eruption, there is seldom a single definitive source of scientific knowledge. It remains a challenge to integrate the variety of scientific views and results from a range of disciplines and from different agencies. The Te Maari eruptions illustrate that even with excellent monitoring and science capability and well engaged end-users, LEARNING FROM THE TONGARIRO ERUPTION it is still very challenging to meet public expectations for rapid and definitive information when dealing with a restive and uncertain volcano. The Tongariro Mount Tongariro’s eruptions in August Scientists believe the avalanche was special issue documents some of these and November 2012 have yielded a probably caused by upward seepage of challenges and the associated science and large amount of new knowledge and hydrothermal or magmatic fluids and management response. As always, this understanding in volcanology and in vapour which made the vent system work endeavours to set a new standard managing a volcanic crisis. This is clearly unstable. The initial slope failure shifted for international best practice in volcano evident in a special collection of research about 700,000 cubic metres of material, monitoring, science delivery and natural papers which were published recently moving at a rate of up to 20m per second hazard management. to mark the second anniversary of the to a distance of about 2km downslope. The eruption. The volume highlights the sudden unburdening of this load acted like “GNS Science provides essential extensive capability New Zealand has the popping of a champagne cork causing data, information, advice and expert in volcanology and the role that this can the main eruptions. monitoring for volcanic unrest which play to improve resilience during future The eruption sequence could easily be is of fundamental importance to episodes of volcanic unrest. overlooked in terms of its modest size the management of volcanic risk The 17 papers, seven of which are led by and minor consequences. However, it by the Department of Conservation GNS Science staff, feature in a special focused scientific and societal thoughts and associated end-users such as issue of the Journal of Volcanological and on questions that are common to all the police and local councils. GNS’s Geothermal Research. The publication reawakening volcanoes, such as: ‘Will operation of the EQC-funded GeoNet underlines the high level of collegiality there be more eruptions?’ and ‘Is this a system is of huge mutual benefit among the volcano research and precursor to a bigger event?’ Based on and the cooperation between the emergency management communities these questions, our scientists developed, three agencies is vitally important in and the benefits this represents for New for the first time, probabilities for a range of and around Tongariro National Park Zealand. Lead authors represent seven eruption scenarios, and regularly updated and on Raoul Island. Similarly the different New Zealand organisations and these for the public. geochemical, geophysical and social co-authors are from several domestic and research undertaken by GNS is very We could therefore express both the international research institutions. valuable for current management and hazardous nature of the volcanic unrest, likely to provide dividends in the future. and also the inherent uncertainties. A The pre-dawn eruption on 6 August 2012 Nowhere was this better demonstrated subsequent eruption on 21 November 2012 consisted of three successive dense ash than during and following the 2012 reminded us that these key questions are plumes and ballistic ejections. Lava blocks eruption of Tongariro.” about 1m in diameter were thrown up to indeed relevant and that the uncertainties 1.5km from the crater. The eruption was were real and need to be reviewed DR HARRY KEYS preceded by a debris avalanche, similar regularly. Technical Advisor – Volcanology in pattern to eruptions at Te Maari crater Department of Conservation going back over 150 years.

38 GNS Science Annual Report 2014 NATURAL HAZARDS

RECENT INNOVATIONS

(2012) Developed tsunami inundation models and evacuation plans and routes for vulnerable localities in New Zealand (2012) Developed tsunami mitigation techniques relevant for Samoa and other South Pacific nations (2012) Developed and installed GeoNet Rapid for fully automated sub two-minute advice of earthquake locations and magnitudes (2012-2014) Worked with Indonesian authorities to build disaster risk management capability (2013-2014) Developed rapid alert system to enable KiwiRail to focus quickly on areas where its rail network might have suffered damage in an earthquake (2013-2014) Installed new monitoring equipment at White Island and Tongariro to improve the early detection of volcanic unrest (2014) Publicised a range of future quake scenarios, and their likelihoods, within a few days of the Eketahuna earthquake on 20 January 2014 (2014) Developed an online risk-based planning toolbox to help local government incorporate the consequences of natural hazards into land-use policy development

IMPACTS ENVISIONED IN OUR STATEMENT OF CORPORATE INTENT

Theme Near-term goals Progress/achievement

Hazard monitoring Improved speed and quality of earthquake Installed six new permanent seismic stations in the location and provision of more detailed past year: five in the South Island and one in Wellington. derivative information with a particular focus Temporary deployments provided improved aftershock data on the mid-upper South Island for Eketahuna and Cook Strait quakes. Also upgraded 20 strong motion stations and three GPS stations.

Better understanding of volcanoes, Continued making incremental advances in understanding earthquakes, landslides and tsunami, with a these geological hazards through analysis of high quality focus on Canterbury seismicity and Tongariro data. Major work on 2012 Tongariro eruption (see opposite) and White Island eruptions represents an important milestone in volcanology and public engagement.

Geological hazards Availability of more comprehensive asset Released RiskScape V3.0. It includes web portal updates, data leading to wider uptake of the RiskScape greater functionality and building population assets for all multi-hazard tool by local authorities of NZ. Developed online asset repository and mobile real- time asset capture application (RiACT) and successfully used it to create RiskScape asset modules in NZ and overseas.

Risk and society Continued support of Christchurch recovery Continued to work with CERA and other agencies providing through social science on psychosocial advice and research to help formulate policy and as part of recovery, community resilience, public policy long-term community recovery in Canterbury. It includes and land-use planning resilience modelling and wellbeing surveys.

Domestic constituency and trusted Continued to work closely with NZ companies in developing partnerships to support international international opportunities. Successful multi-year projects opportunities for NZ companies in natural underway in Indonesia and Vietnam. hazards risk management

GNS Science Annual Report 2014 39 ENGINEERING GEOLOGY ENGINEERING GEOLOGY OUTCOME 5 OF OUR STATEMENT OF CORE PURPOSE

INTRODUCTION

One of the silver linings of the Canterbury earthquake sequence is the large amount of new knowledge we have gained from investigating slope stability, liquefaction, and the impact of ground conditions on building performance. All of this is applicable to other parts of New Zealand. We also continue with our traditional work that underpins the development and sound management of New Zealand’s engineered infrastructure, particularly in the energy and transport sectors. This includes power generation and transmission facilities, water and gas networks, housing, mines, and road and rail networks.

REVENUE SOURCES

Direct Crown Contestable Funding 29% funding 6% $2.0 million

Total revenue Technology 2.6% of our total Company revenue transfer 65%

40 GNS Science Annual Report 2014 GNS Science Annual Report 2014 41 ENGINEERING GEOLOGY

PROTECTING OUR HIGHWAYS FROM GEOLOGICAL THREATS

We are working with the NZ Transport define rockfall and landslide-prone areas Agency to develop a method of assessing and estimate impacts on road users if Collaborations: TTAC Ltd – a UK- the relative risks of geological hazards these areas failed. The study assesses 27 based risk consultancy company to its highway network. In a pilot project, sections of the road where risk is based on Funding: NZ Transport Agency we investigated the risks along the likelihood of events and consequences in Progress communicated by: A major 120km-long road between Te Anau and terms of risk to life. report to NZ Transport Agency Milford, one of the most scenic roads in The risk assessment framework is based New Zealand. The road is used by 200,000 Direct beneficiaries: NZ Transport on an ‘event tree model’ which can be vehicles each year, or about 550-a-day. Agency and the 200,000 vehicles that applied to any section of highway and We developed a methodology that can be use the highway each year enables NZTA to identify the main hazards applied at multiple places on the national and scenarios which can lead to fatalities Long-term beneficiaries: Motorists road network to reduce risks to road at a given location. Based on the results, that use the Milford Highway and users by proactively managing potential NZTA can make decisions about intolerable businesses that rely on it staying open. geological threats. risks and then apportion remediation Clients: Our Engineering Geology spending accordingly. The framework NZTA wanted to better understand the team has clients in many sectors. As can be updated so risk estimates can be exposure of the Milford Road (pictured well as NZTA, this includes KiwiRail, above) to geological hazards. They already refined as more data become available. It energy infrastructure companies, had a well-developed snow and ice can also encompass other hazards such as hydro-electricity companies, avalanche control programme, and they volcanic eruptions and tsunami inundation, local and regional councils, other were keen to investigate the risk to road thus making it adaptable to any part of the engineering consultants, developers, users from other mass movement hazards country. the Canterbury Earthquake Recovery such as landslides and rockfall. Authority, the Department of We supplemented our existing data, Conservation, the Ministry for the including maps, aerial photos and LiDAR, Project started: 2013 Environment. In addition, members of the public and overseas organisations with additional aerial photos to increase Project duration: Ongoing our understanding of the region’s geology use this team’s expertise and and hazards. This enabled us to better Number of scientists involved: 4 databases.

42 GNS Science Annual Report 2014 ENGINEERING GEOLOGY

RECENT INNOVATIONS

(2011-2014) Completed a series of major reports on slope stability and rockfall risk to help with zoning for Port Hills area of Christchurch (2011-2014) Provide ongoing monitoring and assessment of geological hazards for the 307km-long Maui Gas Pipeline (2012-2013) Developed new subsurface ‘site period’ maps of Wellington and Lower Hutt to help in the building of structures that are more resistant to earthquake shaking (2014) Developed a risk assessment tool for the NZ Transport Agency to help rank the geological hazards along the Milford Highway.

IMPACTS ENVISIONED IN OUR STATEMENT OF CORPORATE INTENT

Theme Near-term goals Progress/achievement

Resilient buildings and Assessment of responses of engineered Analysed Christchurch seismic and geotechnical data to infrastructure structures to different ground conditions, assess how ground-shaking and ground conditions affected based on Canterbury earthquake data building performance

PORT HILLS RECOVERY

Our Engineering Geology team has used its unique set of capabilities to provide risk assessments for quake-damaged parts of the Port Hills in Christchurch to underpin challenging zoning decisions. The team recently produced the final set of reports for the Christchurch City Council as part of a series of expert analysis on the risk of landslides, cliff collapse, and rockfall. The most recent reports covered 126 dwellings where the risk from landslides was considered intolerable with regard to the threshold defined by Christchurch City Council. This means that at these dwellings the risk to life from a landslide in any one year is equal to, or greater than, one in In just one part of the Port Hills – Redcliffs 10,000. – up to 24,000 cubic metres of debris fell Reports produced by GNS Science from the slope during the 22 February for the Christchurch City Council, The reports involved months of mapping, 2011 earthquake. And in subsequent and shared with the Canterbury monitoring and modelling supported earthquakes, the cliff recessed by up to 7m. Earthquake Recovery Authority, by drilling investigations and surface have provided valuable and thorough inspections. Of the 126 properties, the A central issue was the extensive ground geotechnical information that has been Canterbury Earthquake Recovery Authority cracking that occurred in some parts of the critical in the Government’s Port Hills had already ‘red-zoned’ 89 due to the risk Port Hills following the extended earthquake zoning decisions. All of the decisions of rockfall or cliff collapse, leaving 37 that sequence. As well as indicating significant made impact on people’s homes and needed either demolition or remedial ground deformation, it also gave rainwater livelihoods, so the work GNS Science protection work. an easy entry point to make many areas has undertaken has been crucial in potentially more prone to landslides. Based on our reports, the Council and giving confidence and reassurance to CERA decided to buy 16 of the remaining Our reports made a number of CERA and property owners. properties where there was no cost- recommendations for short, medium, and ROGER SUTTON effective engineering solution to reduce the long-term reduction of risk. This enabled Chief Executive risk from slope failure or rockfall hazards. the Council to focus on high priority areas Canterbury Earthquake Recovery This left 21 properties that could be ‘saved’ to increase the resilience of this desirable Authority, Christchurch through various engineering interventions. part of Christchurch.

GNS Science Annual Report 2014 43 GEOLOGY AND PAST CLIMATES GEOLOGY AND PAST CLIMATES OUTCOME 6 OF OUR STATEMENT OF CORE PURPOSE

INTRODUCTION

Our research increases the understanding of the geology and past climates of New Zealand, the Ross Dependency and Antarctica. We provide region-wide geological, geochemical, and geophysical information to improve knowledge of the dynamic processes occurring at and adjacent to the tectonic plate boundary. As well as on-land mapping, we work to understand the geological makeup of our EEZ and the Extended Continental Shelf. This region represents 96% of our territory, but remains poorly mapped and explored. Finally, our activities in Antarctica help to guide government policy development in climate change and environmental issues.

REVENUE SOURCES

Technology Direct Crown transfer 2% Funding 65% $6.7 million

Contestable funding 33% Total revenue 8.7% of our total Company revenue

44 GNS Science Annual Report 2014 GNS Science Annual Report 2014 45 GEOLOGY AND PAST CLIMATES

COURSE A DIRECT BOOST TO SCIENCE QUALITY

Each year we host the only course in New By being subjected to the techniques Zealand that covers specialist techniques covered at the course, environments such Project started: 2003 for reconstructing past environments as lakes, peats, marine sediments, cave Project duration: Ongoing dating back to 2.5 million years ago. Such is deposits, ice cores and tree rings can give its popularity and usefulness, that it is now up secrets they have been holding for Number of scientists involved: a required part of postgraduate earth and millennia. 27 presenters, including 11 from environmental science courses at some GNS Science Our course gives participants a universities. comprehensive overview of analytical Collaborations: All the New Zealand This year 55 participants from throughout techniques such as radiometric dating, universities, plus NIWA New Zealand attended the eleventh annual magnetism, tephrochronology, and optically Funding: Comes from a mix of Quaternary Techniques Course – a two- stimulated luminescence. There is an registration fees and our ‘Global day event hosted at our National Isotope emphasis on hands-on learning and there Change through Time’ research Centre in Lower Hutt. It caters for those are practical demonstrations by leading programme engaged in earth and environmental scientists on both days. Direct beneficiaries: The 55 sciences and where age-dating is a central Sessions include interpreting isotope postgraduate students and their analytical technique. Participants are mostly data, choosing a technique that best lecturers who participate postgraduate students and their lecturers. fits the environment and the research The 27 expert presenters, from Crown objective, and using appropriate proxies Long-term beneficiaries: Those Research Institutes and universities, cover for climate change work. The course engaged in earth sciences and an extremely wide range of topics. empowers participants to try new analytical environmental sciences in New Zealand. This translates to more The course started over a decade ago as a techniques and become more proficient rigorous and more useful science. way of showcasing the range of capabilities with the methods they may be using at the National Isotope Centre. It has grown already. This enables them to plan and considerably in size and scope and now execute their research projects with more more fully encompasses the environmental certainty that they will achieve valid and science community in New Zealand. meaningful results. Everyone benefits when science is more powerful, more precise, and more productive.

46 GNS Science Annual Report 2014 GEOLOGY AND PAST CLIMATES

RECENT INNOVATIONS

(2011-2014) Collected and analysed 763m of ice core from Roosevelt Island in Antarctica to determine annual climate conditions going back many thousands of years (2012-2013) Completed 3D model of Canterbury subsurface to help with geotechnical engineering and groundwater management (2012-2014) Completed quarter-million scale digital geological map of NZ and made it available on the web (2013) Determined how the ocean circulation around NZ worked in prehistoric times when the world’s climate was slightly warmer than today (2013-2014) Created new depositional model of interest to the petroleum industry for a potential East Coast source rock as a spin-off from investigating the link between climatic cooling and deposition in the Paleocene (66-56 million years ago) (2014) Developed touring exhibition featuring 70 million year-old dinosaur footprints found near Nelson. It will tour NZ centres in 2014 and 2015

IMPACTS ENVISIONED IN OUR STATEMENT OF CORPORATE INTENT

Theme Near-term goals Progress/achievement

Isotope biogeoscience Enhanced the understanding of soil carbon Published an article on atmospheric verification of point

dynamics and fossil fuel CO2 emission source fossil fuel CO2 emissions as tested at Kapuni and inventories also presented the work at four conferences. A Masters student has expanded this work by examining historic point source emissions using tree rings.

Capability for in-situ 10Be and 26Al dating The collaboration with VUW has been used for a of exposures and erosion, with Victoria challenging reproducibility of our joint methods, with University of Wellington rock samples from Lake Ohau. We are gaining experience in efficient processing of different rock/sediment sample types with different methods to maximise 10Be concentrations and facilitating the building of a community of New Zealand users and providers of terrestrial cosmogenic nuclide techniques.

Paleoclimate Enhanced interpretation of sedimentary Completed water isotope analysis of Antarctic ice core for records and ice cores for climate the top 500m and correlated with other high-resolution reconstruction and testing of climate models ice core records to reconstruct temperature history of the Ross Sea region over the past 15,000 years. Initiated collaboration with ice sheet, ocean, and atmospheric modelling groups to further improve data interpretations.

Contribution to the Intergovernmental Panel Contributed to IPCC-5th Assessment Reports for Working on Climate Change (IPCC) fifth Assessment Group 1 (Paleoclimate Archives) and Working Group 2 Reports (Australasia).

Biostratigraphy Refined age control of geological intervals Produced more detailed biostratigraphic zonation schemes relevant to petroleum exploration for Late Cretaceous and Paleocene marine strata in the East Coast Basin, also applicable to other New Zealand sedimentary basins.

Regional geology Digital delivery of QMap seamless geological Seamless QMAP completed and available as GNS Science map as a GIS dataset Geological Map 1 on DVD as well as an upgraded web service.

Geological datasets and 3D models Completed basement, regional and city centre maps and completed for the Christchurch urban area 3D geological and geotechnical models of Christchurch.

Tectonics, structure and Enhanced PETLAB National Rock and Improvements include connecting the PETLAB database landscape evolution Geoanalytical Database to the NZ stratigraphic lexicon (STRATLEX) database, enabling users to search by formal hierarchical stratigraphic name, and the addition of thousands of tephra geochemistry analyses.

Improved understanding of crustal motion, Determined crustal deformation in Canterbury and and its application to hazard and resource more broadly across NZ, and won international funds to assessment investigate the Alpine Fault and Hikurangi subduction thrust at depth.

GNS Science Annual Report 2014 47 GEOLOGY AND PAST CLIMATES

NEW NATIONAL GEOLOGICAL MAPS

Our geological mapping team continues Another highlight is the rich information maps to create a more generalised view of to produce useful derivative products that can be extracted from the geological New Zealand geology, including offshore from its national mapping programme. A features such as age of rocks, movement islands. Both map products are powerful significant product developed this year is of faults, relationships among various and versatile information tools. the 1:250,000-scale Geological Map of New rock units, and geological units and their Zealand, available as a DVD. It seamlessly boundaries. “The quarter-million scale maps and links together 21 individual geological associated geological data from GNS The map comes with free viewing software maps of the country and puts New Zealand Science have always been, and continue to help users make the most of the data. in an elite club of countries that have a to be, an integral part of Kenex’s The information is intended for use at national digital map of their entire land business development and operations. a regional scale only, and is already area to a high and uniform standard. We started Kenex in New Zealand, and in demand by a wide range of users our head office remains in Wellington, The new map provides regional-scale including the insurance sector, mineral because New Zealand was the first information and is a better quality, more and petroleum exploration companies, country to provide nationwide seamless up-to-date representation of New Zealand’s for geological hazard assessment, and for geological coverage of digital data geology than its predecessor geological planning. Its utility also extends to schools that allowed us to develop and provide maps. It is made up of many layers of and universities. a proof of business concept to the information and each one can be queried Our geologists will update the data annually wider mineral and energy exploration extensively. For example, a user can query as new information and interpretations community. We now operate worldwide the geological units layer to show all areas come to hand. They will also restructure and the data GNS provides is still some within New Zealand where sandstone the data and terminology to conform to of the best quality and value for money, is present, or all sandstone deposits of the developing world-wide geological data and remains critical to our business a particular age. Alternatively, multiple standards. operations.” layers can be analysed to find all potential ore-bearing rocks close to faults which Another product launched this year is DR GREG PARTINGTON moved at a particular geological time. The the 1-to-1,000,000 scale Geological Map Kenex new map shows the uppermost rock unit of New Zealand, also available as a DVD Perth, Western Australia and leaves aside veneers of soils, tephra, product. It has involved a synthesis and and scree. simplification of the 21 individual geological

48 GNS Science Annual Report 2014 ORGANISATIONAL STRUCTURE

ORGANISATIONAL STRUCTURE

Chief Executive Mike McWilliams Chief Financial Officer Graham Clarke

Director Director Director General Manager Geological Resources Natural Hazards Environment & Materials Human Resources Kevin Faure Gill Jolly Chris Daughney Tony Stone

Head of Department Head of Department Head of Department Director Petroleum Geosciences Geohazards Monitoring Materials and Air Research Rob Funnell Ken Gledhill Joe Manning Ian Graham

Head of Department Head of Department Head of Department General Manager Geothermal Science Tectonophysics (acting) Isotope Biogeosciences Business Development Greg Bignall Stephen Bannister Mike Sim Rob Johnston

Head of Department Head of Department Head of Department General Manager Paleontology Risk and Society Hydrogeology Strategy Lucia Roncaglia Michele Daly Stewart Cameron Desmond Darby

Head of Department Head of Department General Manager Marine Geoscience Regional Geology Ma-ori Strategy Vaughan Stagpoole Phil Glassey Rawiri Faulkner

Head of Department General Manager Active Landscapes Information Services (acting) Nicola Litchfield Lynley Smith

Head of Department Manager, Natural Volcanology (acting) Hazards Research Platform Steve Sherburn Kelvin Berryman Art Jolly Nico Fournier

General Counsel Peter Barker

GNS Science Annual Report 2014 49 BOARD OF DIRECTORS

BOARD OF DIRECTORS

Tom Campbell1 Professor Steve Weaver4 James Johnston6 Chairman BSc Hons, PhD, DSc, FGS, FNZIC, FRSNZ LLB BSc, AFinstD (Appointed 1 July 2010) Christchurch (Appointed 1 July 2013) Wellington (Appointed 1 July 2009) Invercargill Steve is Deputy Vice-Chancellor (Research) James is a commercial lawyer and Tom is Chair of the Energy Efficiency and and former Head of the Department of Chairman of Partners at Rainey Collins Conservation Authority, and a Director of Geological Sciences at the University Lawyers, where he heads the Business Todd Corporation, Electricity Invercargill of Canterbury. He has held academic & Personal Legal Services Team. He Limited, and PowerNet Limited. He was appointments at Birmingham, London is a former Chair of the New Zealand formerly Managing Director of Comalco and Nairobi universities. He is a Fellow Law Foundation and was the Lead Legal in New Zealand. He was also formerly of the Royal Society of New Zealand and Counsel for the Nga-ti Porou Treaty Chairman of New Zealand Aluminium is a board member of the Canterbury Settlement negotiations with the Crown. Smelters and of Anglesey Aluminium in Medical Research Foundation, the He is also the Chairman of Toi Whakaari, the UK. New Zealand Brain Research Institute, the New Zealand Drama School, and REANNZ. Steve has published Chairman of the Samuel Marsden School Hon Ken Shirley2 extensively on the geology of New Zealand, Management Board, and is an External Deputy Chairman Antarctica and East Africa, specialising in Specialist Advisor to the Ministry of Justice BSc igneous petrology, volcanology, isotope Legal Aid Services Group. James is a (Appointed 1 July 2010) Wellington geochemistry, tectonics and environmental New Zealander of Nga-ti Porou descent. science. Ken is a former Minister of Fisheries, and Sarah Haydon7 Associate Minister of Agriculture, and Dr Claire McGowan5 BSc, ACA, MInstD Forestry and Health. He is Chief Executive PhD, MBA (Appointed 1 July 2014) Auckland of the NZ Road Transport Forum, a Director (Appointed 1 July 2010) Hamilton of the Motor Industry Training Organisation, Sarah is a Director of Cavalier Corporation and a member of the Human Rights Claire is Chief Executive of Waikato Limited, a Council member of Unitec, Review Tribunal. He is a former Chief business incubator Soda Inc. She is also Chair of New Zealand Riding for the Executive of the Researched Medicines the founder and Managing Director of Disabled Association Inc, an Executive Industry Association, the NZ Forest Owners Commercialisation Advisors Limited Committee Member of Waste Disposal Association, and Organics Aotearoa NZ. (COMMA). Claire is a Director of four Services, and a trustee of a charitable other companies including Te Arawa trust. She is a chartered accountant and Belinda Vernon3 Management Limited, Grosvenor Financial has worked for BP in the UK and also on BCom Services Group, and AUT Enterprises. international project work, and was CFO (Appointed 1 July 2011) Auckland Her research training was in molecular at OfficeMax New Zealand. Sarah has an microbiology and her MBA project was extensive background in strategic planning, Belinda is currently a consultant with a in risk management of pharmaceutical finance, general management and background in accounting and shipping, projects with Pfizer Pharmaceuticals in the organisational development. She has led and is a Member of the Maritime NZ UK. She has experience in the New Zealand very large teams of people and has strong Authority. She has previously worked in venture capital and investment banking HR and people skills. senior accounting roles in the shipping industries. industry. She is a former Member of Parliament (1996-2002), and Chair of the Auckland Philharmonia Foundation.

50 GNS Science Annual Report 2014 4 5 6

1 3

7 2

GNS Science Annual Report 2014 51 MANAGEMENT TEAM

MANAGEMENT TEAM

Mike McWilliams1 Kevin Faure3 Company’s operations, including financial Chief Executive Director, Geological Resources Division reporting and advice to management and PhD, Australian National University PhD, The University of Cape Town to the Board to allow them to effectively undertake their respective roles. His Mike leads the Executive Management Kevin leads the Petroleum, Geothermal, team also takes responsibility for various Team, directs the management of Paleontology and Marine Geoscience operational aspects including procurement, the Company and is responsible for Departments. He specialises in stable property, insurance, and internal audit. strategy, policy, investment and science isotope geochemistry and has researched Graham is a Director of Meatvision Limited, programmes. Before joining GNS Science and published on ore deposits, submarine one of our joint venture operations. in September 2013, he served as Chief of volcanoes, gas hydrates, and geothermal the Division of Earth Science and Resource springs. He joined GNS Science in 1997 and Rob Johnston6 Engineering at CSIRO between 2008 and has previously worked as an exploration General Manager, Business Development 2013. There he led the development and and mining geologist in South Africa, and BSc, Dip ORS, Dip Tchng transfer of new technologies to solve as a research scientist at the Geological national challenges in the Australian Survey of Japan. Rob’s portfolio includes managing the energy and minerals sectors. He was Company’s commercial operations and Professor of Applied Physics and Director Chris Daughney4 intellectual property issues. Rob joined of the John de Laeter Centre for Isotope Director, Environment and Materials GNS Science in 2004. He has extensive Research from 2006 to 2008. Mike was a Division experience in managing information scientist and teacher at Stanford University PhD, McGill University, Montreal systems, corporate functions and for 29 years, beginning as a postdoctoral processing operations in New Zealand Chris leads the Environment and Materials scientist and culminating as Professor of companies. This includes senior positions Group, which is New Zealand’s premier Geological and Environmental Science. with Tasman Forestry and Public Trust. source of applied isotope science capability. It comprises research infrastructure as Desmond Darby2 Lynley Smith7 well as research teams and commercial General Manager, Strategy Acting Manager, Information Services service units in materials and air, isotope PhD, State University of New York BCom, University of Otago biogeosciences, and hydrogeology. Chris at Stony Brook specialises in aqueous environmental Lynley leads the Information Services team Desmond leads our strategy formation geochemistry. His areas of interest include which provides essential support for GNS across the government and the private the chemical evolution of groundwater at Science with IT infrastructure and operations, sectors, and advises the Chief Executive the catchment scale and the use of tracer applications development, records in these areas. He also manages the methods for evaluating in-situ rates of management and library services. Lynley public relations and outreach staff, and water-rock interaction. joined GNS in 2008 and has over 20 years’ co-ordinates student scholarships and experience in the IT industry, in both the supervisions. He previously managed Graham Clarke5 private and public sectors. She has held both our crustal dynamics team, and led Chief Financial Officer line management and project management the major research programme on The Chartered Accountant roles, and been responsible for developing Effects of Plate Tectonics on New Zealand. BCA, CA applications for a wide range of organisations. Desmond is a Director of New Zealand Graham leads the Company’s finance Synchrotron Group Ltd and was chair of operations ensuring appropriate policies, FRST’s Postdoctoral Fellowship Advisory procedures and practices are developed Committee. and maintained. His team provides the full range of financial services to support the

52 GNS Science Annual Report 2014 MANAGEMENT TEAM

2 10 7

1 4 11

3 5 9

06 07

12 6 8 13

GNS Science Annual Report 2014 53 MANAGEMENT TEAM

Peter Barker8 Ian Graham11 Gill Jolly13 General Counsel Director, Research Director, Natural Hazards Division Barrister and Solicitor PhD, Victoria University of Wellington PhD, Lancaster University; MA, University of Cambridge As General Counsel, Peter provides legal Ian is responsible for maintaining an and commercial advice to GNS Science. overview of Government-funded research Gill was appointed to lead the Natural He is a commercial lawyer with experience across the organisation. He monitors the Hazards Division in August 2014. It consists in intellectual property. Peter has been quality and delivery of contracted and core- of 124 staff who undertake research and a partner in a national law firm, and has funded research, seeks ways to maintain consultancy in earthquakes, volcanoes, worked in the finance and film industries. viable research revenue streams, and landslides, tsunami, geological mapping, ensures that lines of communication with engineering geology, earthquake Rawiri Faulkner9 Government funding bodies, other Crown engineering, risk modelling, and social General Manager, Ma-ori Strategy Research Institutes and universities are sciences. Gill is a volcanologist and joined BA, Victoria University of Wellington open and constructive. Ian is an isotope GNS Science in 2006. Her background is geochemist with applied expertise in in magma physics and lava flow dynamics, Rawiri has the role of building strong volcanology, mineralisation, climate but she has had a diverse career including relationships between GNS Science and change, and basement geohistory. mineral exploration, environmental iwi to find ways of unlocking the innovation geochemistry, and 3D geological modelling potential of iwi/Ma-ori communities. Kelvin Berryman12 of ore deposits. She was formerly a director He also provides support for our staff Manager, Natural Hazards at the Montserrat Volcano Observatory in and management to develop Ma-ori Research Platform the West Indies. research and innovation as an integral PhD, Victoria University of Wellington part of what we do. Rawiri’s extensive experience includes previous positions at Kelvin manages the research platform that the Foundation for Research Science and integrates New Zealand’s government- Technology and the Ministry of Research funded research in natural hazards. The Science and Technology, as well as a variety portfolio encompasses geological and of roles in local government. He also holds weather-related hazards, integrated a number of governance roles. He has iwi natural hazard risk, resilient engineering affiliations to Nga-ti Whakaue, Nga-ti Huia, and infrastructure research, and societal Nga-ti Toa Rangatira and Ngai Te Rangi. and land-use planning aspects of natural hazard mitigation. Kelvin has a research Tony Stone10 background in geology with specialisations General Manager, Human Resources in mapping, active fault studies, coastal Diploma in Industrial Relations, Victoria terraces and tsunami deposits, and hazard University of Wellington and risk assessment. Tony joined GNS Science in 2003 and was appointed General Manager, Human Resources in 2007. He is a trained mediator. Tony’s responsibilities include payroll, training, recruitment, health and safety, and employee relations. Prior to joining GNS Science, Tony held HR positions in a number of private, public and health sector organisations.

54 GNS Science Annual Report 2014 PERFORMANCE INDICATORS

PERFORMANCE INDICATORS

These indicators include those specified in our Statement of Corporate Intent. Group Group Group Actual Budget Actual 2014 2014 2013 Financial Performance Measures Return on equity 5.4% 8.1% 4.2% Non-government revenue¹ 44.1% 46.6% 45.0% Return on assets² 3.9% 6.7% 3.1% Operating margin³ 9.6% 10.8% 8.9% NPAT margin 2.0% 3.0% 1.6% Profit³ per FTE ($000s) 19.9 22.7 17.8 Chargeable time of science staff 71.5% 75.0% 74.3% Quick ratio 1.44 1.21 1.43 Equity ratio 54.2% 62.8% 55.8% Technology transfer and contestable revenue4 64.5% 65.3% 62.6% Revenue growth 6.6% 5.6% (2.3%) Technology transfer revenue growth 5.3% 14.6% (5.4%) Capital renewal 1.12 1.14 1.21 Return reinvested 4.6% 7.3% 3.3%

Other Performance Measures Human Resources: Full-time equivalents (FTEs) 371 360 Scientists and specialists 260 252 Science support 54 51 General support and management 57 57 Distribution of science effort (FTEs): Science 161 147 Technology transfer 153 156 Staff turnover 6.1% 6.5% Training and development ($000s) 906 1,021 Work days missed due to injury 11 0 – number of staff involved 4 N/A ACC workplace safety accreditation Tertiary Secondary Staff engagement (% proud to work at GNS Science) * 84.0%

User input descriptors Number of user advisory groups 7 8 Number of user advisory group meetings 13 10

Research collaboration descriptors Number and percentage of peer-reviewed publications with other New Zealand or international institutions: Number 189 214 Percentage 91% 87% Number of visiting researchers hosted 90 101 Value of research contracts to other research organisations ($000s) 9,269 8,195 Percentage to New Zealand universities 70% 72% Value of research contracts from other research organisations ($000s) 2,708 2,514 Percentage from New Zealand universities 53% 40% Number of graduate scholarships funded 33 36 Number of graduate students supervised 141 100

GNS Science Annual Report 2014 55 PERFORMANCE INDICATORS

Group Group Actual Actual 2014 2013 Technology transfer descriptors: Technology transfer effort (FTEs) 153 156 Number of commissioned reports to users 261 278 Total revenue received from clients ($000s) 22,508 21,384 Number of new patents registered 4 2 IP licensing (incl technologies, products, services) in New Zealand and overseas: Number 29 29 Value ($000s) 1,587 1,197 Client feedback average score (out of 10) 7.0 7.5 Number of projects achieving outcomes or creating opportunities for iwi/Ma-ori 26 27 Number of international fora with staff representing New Zealand 4 17 Database use: Number of databases accessible to the public via the web 26 30 Registered external users of GNS Science data 5,909 3,187 Number of unique users accessing the GNS Science website: per annum 488,565 341,610 daily peak 18,149 11,647 Number of hits to the GeoNet website: per annum 632,000,000 438,000,000 daily peak 49,000,000 20,116,000

Science descriptors: Research science effort (FTEs) by scientist 133 122 by science support staff 28 25 Number of peer-reviewed science papers and book chapters (in preceding calendar year) 275 310 Number of research monographs and maps (in preceding calendar year) 4 2 Number of other journal papers and publicly available science reports (in preceding calendar year) 74 55 Publication rate (peer-reviewed science papers/monographs/chapters per science FTE) 2.1 2.6 Total number of citations of science publications for each of the five preceding calendar years: 2013 5,796 – 2012 6,361 6,361 2011 5,298 5,298 2010 5,704 5,704 2009 4,525 4,525 2008 – 3,571

Use of science – h1-score (number of science publications cited at least this number of times) 84 75

Scientist visibility – h2-score (number of staff with an h-score at least this number of times) 20 19 Total number of international and significant New Zealand awards, and invitations to participate on 18 12 international committees and editorial boards Number of new Marsden-funded projects 4 4

¹ proportion of revenue that is not from Crown research funding ² profit is before interest and tax ³ profit is before interest, tax, depreciation and amortisation 4 proportion of revenue that is from commercial operations and contestable funding * no staff climate survey carried out for the 2013/14 year

56 GNS Science Annual Report 2014 DIRECTORY

Principal location and registered office Directors Business Development and Marketing Managers 1 Fairway Drive Tel: +64 4 570 1444 Tom Campbell Lower Hutt 5010 Fax: +64 4 570 4600 (Chairman) Geohazards PO Box 30368 Email: [email protected] Kirsten Brown Lower Hutt 5040 Hon Ken Shirley Email: [email protected] (Deputy Chairman) New Zealand Margie Lowe Sarah Haydon Email: [email protected] Other locations James Johnston Noel Trustrum Email: [email protected] National Isotope Centre Tel: +64 4 570 1444 Dr Claire McGowan Marijke Willemse 30 Gracefield Road Fax: +64 4 570 4600 Email: [email protected] Lower Hutt 5010 Email: [email protected] Belinda Vernon PO Box 31312 Prof Steve Weaver Non-invasive scanning Lower Hutt 5040 technologies and groundwater New Zealand Jin Cowan Executive Email: [email protected] Tel: +64 7 374 8211 Wairakei Research Centre Chief Executive Geothermal energy Fax: +64 7 374 8199 114 Karetoto Road Dr Mike McWilliams Andrea Blair Email: [email protected] RD4, Taupo 3384 Email: [email protected] Private Bag 2000 Director Taupo 3352 Natural Hazards Trudy Stuart New Zealand Dr Gill Jolly Email: [email protected] Petroleum geoscience Dunedin Research Centre Tel: +64 3 477 4050 Director Geological Resources Dave Jennings 764 Cumberland Street Fax: +64 3 477 5232 Email: [email protected] Private Bag 1930 Email: [email protected] Dr Kevin Faure Dunedin 9054 Director Radiocarbon dating and New Zealand Environment and Materials environmental isotopes Dr Chris Daughney Mike Sim Email: [email protected] Chief Financial Officer Graham Clarke Globe Claritas™ Guy Maslen General Manager Email: [email protected] Business Development Our office locations Rob Johnston Communications Manager General Manager Human Resources John Callan Tony Stone Tel: +64 4 570 4732 Mob: +64 27 440 2571 Director Email: [email protected] Research Dr Ian Graham Bankers General Manager ANZ Strategy Dr Desmond Darby Auditor Wairakei Research Centre General Manager - Jacqueline Robertson Maori Strategy Deloitte Rawiri Faulkner On behalf of the General Counsel Auditor-General Peter Barker Principal location and Solicitors National Isotope Centre Manager, Natural Hazards Research Platform Minter Ellison Rudd Watts Dr Kelvin Berryman Websites Acting Manager Information Services www.gns.cri.nz Lynley Smith www.geonet.org.nz www.globeclaritas.com

Dunedin Research Centre

Designed and produced by Scenario.co.nz Illustrations by Chris Davidson

GNS Science Annual Report 2014 80

PHOTOGRAPH ACKNOWLEDGEMENTS

P8 Steven Boniface P14 Fiona Coyle P19 Margaret Low P20 Some of the 300 delegates at P21 Southern Negros geothermal the Advantage 2014 conference at field, the Philippines – Brian Carey Te Papa – Jeff McEwan

P22 Nga Awa Purua 138MW P24 Water Dating Laboratory, P25 Water Dating Laboratory, P26 Clyde Dam and Lake Dunstan, P27 Water dating technician geothermal power station – image Lower Hutt – Margaret Low Lower Hutt – Margaret Low Otago – Lloyd Homer Heather Martindale sampling courtesy of Mighty River Power in the Hutt River – Margaret Low

P28 Laboratory supervisor P29 Margaret Low P30 Physicist and electronics P31 Isotope scientists Bill P32 Marine geophysicist Kelly Lyons in the radiocarbon engineer John Futter in the Trompetter and Travis Ancelet in Stuart Henrys preparing to deploy preparation lab – Kate Whitley ion-beam lab – Margaret Low the ion-beam lab – Margaret Low ocean-bottom seismometers east of Gisborne – John Callan

P33 Volcanologist Lauriane Chardot P34 Xiaoming Wang, William Power, P35 Tauranga Harbour, P36 Goechemist Bruce Christenson P38 Margaret Low measuring volcanic gas emissions and Caroline Holden – Margaret Low Mt Maunganui and Papamoa sampling gas at the Te Maari vent on on Mt Tongariro – Karen Britten – Dougal Townsend Mt Tongariro – Karen Britten

P39 Geodetic surveyor Neville P40 Milford Sound and the Milford P41 Whitewash Head, Sumner, P42 The Pinnacles near Omarama, P43 Crater Lake, Mt Ruapehu Palmer collecting GPS data in Road – Graham Hancox Christchurch – Camilla Gibbons Mackenzie Basin, north Otago – Karen Britten Fiordland – Sigrun Hreinsdottir – Lloyd Homer

P44 Participants at the 11th P46 Geologist Delia Strong P49 Board of Directors portraits P51 Management team portraits Quaternary Techniques Workshop – Margaret Low – Steven Boniface – Steven Boniface – Margaret Low

58 GNS Science Annual Report 2014