The end of the "pop-up" hospital meant Otago penguins needing serious treatment would be treated in Wellington. Argilla said not having a hospital for the birds in Dunedin could lower rates of survival.
"Here, in Dunedin, we can start intravenous antibiotics within 24 hours.
"Because of that, our success rate of saving birds is much higher."
Penguins with minor injuries would be treated at the St Kilda Vet Centre, Murray said.
Argilla would focus on a proposal to establish a permanent Dunedin Wildlife Hospital where threatened species, including penguins, could be treated.
Preliminary annual operating costs were estimated to be about $300,000, Argilla said.
Initial funding discussions with Enterprise Dunedin had taken place.
Although she had other short-term work, she "believed passionately" about the need for a South Island wildlife hospital and would put her efforts into establishing one ahead of other commitments, she said.
At present, there are 250 yellow-eyed penguin breeding pairs in the wild.
People interested in helping establish a wildlife hospital in Dunedin can contact Argilla via the Dunedin Wildlife Hospital Facebook page, which would remain open.