Officials are warning environmental impact "is likely" after a ship spilt oil near an endangered penguin colony.
A fishing vessel holding 10,000 litres of diesel and 400 litres of hydraulic oil on board has run aground on the southeastern side of Banks Peninsula. All four crew members were rescued by a helicopter on Sunday night.
However, initial observations showed the oil has been released and is on the water heading towards Shell Bay and neighbouring bays.
Shell Bay is home to endangered yellow-eyed penguins, the white-flippered penguin, little blue penguins, the nationally threatened vulnerable spotted shag, and seals and their pups.
Environment Canterbury (ECan) said it was notified about the vessel on Monday. It said an incident management team has been established and is currently assessing the situation and response options to safely minimise the impact of oil and debris on the environment.
The 25m fishing vessel is currently aground at Red Bluff on the south-eastern coast of Banks Peninsula.
"The current conditions are extremely challenging and unsafe due to the coastline and forecasted weather," ECan regional on-scene commander Emma Parr said.
"We are currently monitoring the situation and working with DOC with guidance from Massey University to initiate a wildlife response."
ECan said there was some debris in the surrounding water and urged boaties to avoid the area. It said people should not touch the spill or any affected wildlife.
