The plans, unveiled two years ago, have been set back by legal challenges and disagreement between parties.
A Colmar Brunton poll earlier this year showed that 93 per cent of New Zealanders want the sanctuary established.
Today Fairfax reported the plan was "dead in the water" and that Jacinda Ardern had apparently agreed a Labour-NZ First government would not take the legislation any further this term.
Fishing industry spokesperson Charles Hufflett told Fairfax the industry had lobbied NZ First to halt the plan.
A Labour spokesman told Fairfax there would be no announcement on final policy until next week.
However, Shaw told TVNZ's Q+A programme today that the report was incorrect.
"It's certainly still on the table but there are a lot of other issues to work through," Shaw said.
"It is a complicated issue but we are still committed to doing our best efforts to making sure that it happens."
Asked if the proposal was in jeopardy, Shaw said: "I don't think so - it is a complicated issue and we absolutely need to work alongside Maori in order to make sure that it happens, but I think we are all committed to making sure that it does."