Air New Zealand is seeking around $4 million in damages from Z Energy over the 2017 pipeline rupture.
The airline is being represented by Nathan Gedye, QC, in a trial taking place at the Auckland High Court.
Airlines using Auckland Airport cancelled around 27 domestic and international flights over just one weekend due to a shortage of aviation fuel caused by the damaged pipeline.
The 170km pipeline, owned by Refining NZ, from Marsden Point to Auckland was shut down for 10 days following the discovery of a leak on September 14, 2017. It supplied most of the Auckland region’s fuel, including all of its jet fuel.
Refining NZ is partly owned by major fuel companies Mobil, Z Energy and BP. Z Energy has a 15.4% stake in the company.
Air New Zealand has already reached an out-of-court settlement with BP.
Gedye told the High Court that fuel companies have a contractual obligation to maintain supplies. The companies were aware of infrastructure shortfalls in the pipeline but did nothing to address the problem, Radio NZ reports.
Lawyer Victoria Heine, representing Z Energy, said attempts to form a written agreement with Air New Zealand on contractual responsibilities were ignored, it reports.
