Prime Minister John Key ordered the transport aircraft to leave last night for Malaysia's capital Kuala Lumpur, where it would be within easy reach of a military airbase 150km from Bangkok.
A spokesman for Mr Key told NZPA this morning it would continue to Kuala Lumpur and stay there until a decision was made on whether any further action was necessary.
Mr Key said yesterday he would decide within 48 hours whether the rescue mission was needed, but dramatic developments in Thailand overnight led anti-government protesters to call off their blockade of Bangkok's international airport.
Up to 300 New Zealanders were affected by the airport's closure and officials had not been able to secure seats for them on the few commercial flights that were moving in Thailand.
The protesters occupied the airport last Tuesday and closed it to international flights.
Mr Key said yesterday it was not known exactly how many New Zealanders were stranded, or how many wanted to leave Bangkok, but there could be up to 300.
"If there's a large number who want to leave, and the stand-off continues between the warring factions, then our view is we would like to deploy and get New Zealanders out," he said.
A spokesman for Mr Key was not able to confirm this morning whether the Hercules would continue with its mission but it appeared it would not be needed if the airport opens and international flights are able to leave.
Mr Key said the level of unrest in Bangkok was one of the factors he would consider when deciding whether to go ahead with the mission.
The protesters were aiming to topple the government of Prime Minister Somchai Wongsawat, and a court decision overnight has banned him from politics for five years because of vote fraud.
