The Government is to consider removing protection for some areas of conservation land so they can be mined, Prime Minister John Key said today.

Energy Minister Gerry Brownlee last year controversially started a stocktake of valuable minerals in Conservation land protected under Schedule Four of the Crown Minerals Act.

In his opening statement to Parliament today, Mr Key said that a discussion paper on potential changes to land covered under the schedule would recommend that some land be removed and that other areas be added.

"Notwithstanding the public consultation process, it is my expectation that the Government will act on at least some of these recommendations and make significant changes to Schedule 4," Mr Key said.

"This is because new mining on Crown land has the potential to increase economic growth and create jobs."

He said mining on conservation land would have to meet strict environmental tests.

"There is ... extraordinary economic potential in the mineral estate residing in Crown-owned land."

As a sweetener Mr Key also announced a new Conservation Fund which could get some of its revenue from mining operations on Crown land.

The fund will resource conservation projects.