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

 


NZ Oil & Gas 'cautiously optimistic' on Pateke expansion

NZ Oil & Gas 'cautiously optimistic' on Pateke expansion

By Suze Metherell

April 30 (BusinessDesk) – New Zealand Oil & Gas is ramping up spending in exploration and evaluation as it looks to find replacements for its Kupe and Tui oil and gas fields.

The Wellington-based company spent $25 million on exploration and evaluation in the three months ended March 31, according to its quarterly cash flow report. Both its Tui oil field and Kupe oil and gas fields are in decline as the company looks for alternative sites.

The Pateke exploration well, which falls in the Tui permit zone, is thought to have 2.5 million barrels of oil, the company said. If Pateke production went ahead it would "bolster output rather than changing the end date" of the Tui field, said Andrew Knight chief executive.

"It has oil in it which appears to have the same characteristics as discoveries nearby elsewhere in the Tui permit and we are cautiously optimistic it will get to the point where we complete drilling (and) we will be able to develop it," Knight said.

NZOG has a 28 percent stake in the Tui field, with Australian-based operator AWE holding about 58 percent.

NZOG's share in Tui's oil production increased to 93,330 barrels in the quarter, from 43,622 barrels in the same period a year earlier, as the company took a greater stake in the field. Kupe's gas and oil production recovered in the quarter after a shutdown in operations in the comparable period.

Both Tui and Kupe recorded a drop in quarterly revenue for the company, reflecting the timing of shipment arrivals which have been reduced as the operations produce less, chief financial officer Andre Gaylard said.

Offshore exploration in the Canterbury Great South Basin continued. NZOG also holds exploration permits in Indonesia and Tunisia.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Balance Of Trade: NZ Posts Trade Deficit In October On Falling Dairy Exports

New Zealand’s posted its largest monthly trade deficit for October in six years, while narrowing the shortfall from September, led by a fall in dairy exports to China while all main imports into the country rose. More>>

ALSO:

Gigatown Winner: Plenty Of Positives For Dunedin

Although the city has taken the Gigatown title, along with new ultrafast 1Gbps broadband and funding for $700,000 worth of UFB-related initiatives across the community, Mr Cull says Dunedin has gained so much more through its involvement. More>>

ALSO:

R18: The Warehouse Group Praised For Removing Games

The decision by New Zealand’s largest retailer The Warehouse Group (TW Group), to withdraw stocks of the latest version of Grand Theft Auto V (GTA V) and other R18 games, has been praised by advocacy group Stop Demand Foundation. More>>

ALSO:

Air NZ Wine Awards: Victory For Villa Maria As Pinot Noir Thrills

It was a night to remember as Villa Maria Estate picked up one of the highest accolades of the evening, the O-I New Zealand Reserve Wine of the Show Trophy, at the 28th Air New Zealand Wine Awards. The Villa Maria Single Vineyard Southern Clays Marlborough ... More>>

ALSO:

Future Brighter Money: RBNZ Releases New Bank Note Designs

New Zealand’s banknotes are getting brighter and better, with the Reserve Bank today unveiling more vibrant and secure banknote designs which will progressively enter circulation later next year. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news