Petrol company Gull will officially open in the South Island.
The announcement was made on The AM Show. The station will be in the town Maheno, south of Oamaru. It will open around mid-July.
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"[Maheno is] an operating service station that we can grab now, we've got a lease... we'll be making some changes today, putting in new tanks and opening in July we hope," general manager Dave Bodger told The AM Show.
Five more South Island sites are in the consenting process and Bodger said there are even more planned after that.
Mr Bodger said he couldn't quite say where the other stations would be, but there will definitely be some in greater Canterbury.
He said the company is working hard on expanding.
"It's taken us 20 years to get pretty much through the North Island. We're not in Kaitaia and we're not yet in Wellington, but we will spread over time."
Gull's petrol price is regularly lower than other petrol stations, which it says is due to focusing on selling petrol rather than food.
Almost half its stations are unmanned.
Petrol stations around Gull often drop their prices due to the competition too, and Mr Bodger expects this to be the case in the South Island.
Stations in Taranaki dropped their prices by 20 cents a litre the day before a Gull station opened there, Mr Bodger said.
The national fuel price as of March 29 is $2.20 per litre, according to the AA. Petrol prices app Gaspy reports the lowest price near Maheno is at NPD Oamaru at around $2.11per litre.