During my visit to The Hague this week, I announced New Zealand and the European Union have agreed to deepen our relationship including through a possible Free Trade Agreement.

This is a significant development, and a great opportunity for New Zealand. The EU is our third largest trading partner with over $16 billion in two-way trade of goods and services.

It is also a long-standing close friend and partner. We share common interests, values and history.

NZ and the EU have agreed to consider our options for refreshing our trade and economic relationship over the next 12 months.

For the first time, the EU has agreed to consider a Free Trade Agreement as one such option.

An EU decision to upgrade its diplomatic mission in Wellington is a positive demonstration of its commitment to the relationship, and I look forward to welcoming the EU’s first resident Ambassador.

In other news this week, the Government has confirmed that up to 490 million shares - or 49 per cent of Genesis Energy - will be available for sale through a share offer.

Four hundred million shares – or 40 per cent of the company – will be available through a bookbuild which opened on Friday. This is the first stage of the offer involving local and international institutions and New Zealand sharebrokers.

Up to 90 million more shares – or 9 per cent - will then be available to New Zealanders through the general offer from Saturday. This includes shares set aside for loyalty bonus share allocations to New Zealand retail investors and share allocations for participating iwi.

We intend again to achieve at least 85 per cent New Zealand ownership of Genesis Energy on listing.

The Genesis Energy share offer will complete the Government’s share offer programme,which is raising more than $4 billion for investing in new public assets such as schools, hospitals and ultra-fast broadband without having to borrow more from overseas lenders.