Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


NZ Oil & Gas buys into three Taranaki permits from Octanex

NZ Oil & Gas buys interests in three Taranaki permits from ASX-listed Octanex

Nov. 28 (BusinessDesk) - New Zealand Oil & Gas has agreed to acquire interests in three offshore Taranaki permits from ASX-listed Octanex for US$12.5 million plus a share of seismic costs.

The company will pay US$12.5 million for a 12.5 percent interest in PE51906 which holds the Makatu prospect and is expected to be drilled in the second half of next year. Octanex will retain 22.5 percent and operator OMV holds 65 percent, NZ Oil & Gas said in a statement.

PEP 51906 covers 1,613 square kilometres adjacent and west of the Maui field. OMV has estimated mean recoverable resource for the Matuku prospect at around 65 million barrels.

OMV is currently seeking a semi-submersible rig to drill an exploration well in the Matuku prospect before the end of 2013.

If the exploration is successful and an appraisal well is drilled at Matuku, NZ Oil & Gas or Octanex can exercise an option to increase NZ Oil and Gas’s interest by a further 5 percent to 17.5 percent. In return it would pay Octanex’s share of the appraisal well.

NZOG is also acquiring a 50 percent interest in PEP 53473 that covers 853 square kilometres north of Tui, paying for the interest by funding 75 percent of the seismic programme costs. The seismic evaluation has to be completed by March 2014.

It will also take 50 percent of PEP 52593, which covers 3,509 square kilometres in offshore Taranaki by meeting 60 percent of the seismic costs. The agreement is subject to regulatory approvals.

“These new acquisitions sit well within NZOG’s New Zealand exploration portfolio, as they build on the knowledge base developed from NZOG’s Taranaki history and provide exposure to the developing western fairway,” chief executive Andrew Knight said in the statement.

Shares of NZ Oil & Gas rose 0.6 percent to 87.5 cents on the NZX and have gained 23 percent this year. The shares are rated ‘outperform’ based on the consensus of six recommendations compiled by Reuters.

Octanex last traded at 18.5 Australian cents on the ASX and has fallen 12 percent in the past 12 months.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Interest Rates: Wheeler Hikes OCR To 3% On Inflationary Pressures, Eyes Kiwi

Reserve Bank governor Graeme Wheeler lifted the official cash rate for the second time in as many months, saying non-tradable inflationary pressures were "becoming apparent" in an economy that’s picking up pace and he's watching the impact of a strong kiwi dollar on import prices. More>>

ALSO:

Scoop Business: Equity Crowd Funding Carries Risks, High Failure Rate

Equity crowd funding, which became legal in New Zealand this month, comes with a high risk of failure based on figures showing existing forays into social capital have a success rate of less than 50 percent, one new entrant says. More>>

ALSO:

Scoop Business: NZ Migration Rises To 11-Year High In March

The country gained a seasonally adjusted 3,800 net new migrants in March, the most since February 2003, said Statistics New Zealand. A net 400 people left for Australia in March, down from 600 in February, according to seasonally adjusted figures. More>>

ALSO:

Hugh Pavletich: New Zealand’s Bubble Economy Is Vulnerable

The recent Forbes e-edition article by Jesse Colombo assesses the New Zealand economy “ 12 Reasons Why New Zealand's Economic Bubble Will End In Disaster ”, seems to have created quite a stir, creating extensive media coverage in New Zealand. More>>

ALSO:

Thursday Market Close: Genesis Debut Sparks Energy Rally

New Zealand stock rose after shares in the partially privatised Genesis Energy soared as much as 18 percent in its debut listing on the NZX, buoying other listed energy companies in the process. Meridian Energy, MightyRiverPower, Contact Energy and TrustPower paced gains. More>>

ALSO:

Power Outages, Roads Close: Easter Storm Moving Down Country

The NZ Transport Agency says storm conditions at the start of the Easter break are making driving hazardous in Auckland and Northland and it advises people extreme care is needed on the regions’ state highways and roads... More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news