Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 


Another Oil Giant Pulls Out of East Coast

15 January 2012

Another Oil Giant Pulls Out of East Coast

East Coast residents concerned about the impacts of mining in the region are celebrating news that a Canadian oil giant has withdrawn its support for exploration in New Zealand.

A statement on the website of Canadian company TAG Oil this week announced the withdrawal of exploration partner Apache Corporation from any work beyond the first phase of onshore prospecting in the East Coast Basin. Apache Corporation (Canada) had committed up to $110m in the project but this was subject to a decision to continue after initial exploration.

“Obviously the 2D seismic data Apache collected suggested the resource is marginal at best and given the high level of concern expressed by farmers, horticulturalists, wine growers, Maori land owners and the general public, they have decided it is not worth pursuing” said Gisborne District Councillor Manu Caddie.

Mr Caddie is not sure what this development means for a Resource Consent from Apache to drill an exploratory well near the township of Te Karaka, or how it will impact on a Ministry of Business, Innovation and Employment study that uses Apache production scenarios to quantify economic benefits of petroleum production in the region.

“The MBIE study was promised before Christmas and still hasn’t been released. I hope now they will go back to the drawing board and spend another $100,000 on a study looking at realistic and sustainable economic development options for the region. Developing energy from forestry and seaweed biomass, solar power stations and offshore wind should all be getting serious research funding to benefit the East Coast and the whole country.”

“Following hard on the heels of the Petrobras withdrawal, I’m sure there will be many people happy to see Government plans for exploration here and indeed the basis of their whole energy strategy and economic plan are coming undone.”

“It is of concern that TAG are saying they still have longterm plans for the East Coast as their original announcement of the Apache joint venture noted unconventional drilling is high risk and that Apache was bringing experience and expertise that we can only assume TAG doesn’t have.”

Both companies have seen their share prices fall in the days since the announcement of the Apache exit.

The news follows the indictment last week of a TAG employee in New Plymouth accused of industrial espionage by stealing information from the company prior to starting with another Canadian company holding East Coast exploration permits.

LINKS:

• TAG announcement: http://www.tagoil.com/20130111-TAG-Oil-Receives-Notice-From-Apache.asp

• Apache Info Pack: http://nodrilling.files.wordpress.com/2011/10/apache-tag-east-coast-exploration-project-info-pack-1-with-maps.pdf

• TAG employee indictment: http://www.stuff.co.nz/taranaki-daily-news/news/8160600/Oil-manager-accused-of-espionage-gets-bail


ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Gordon Campbell: On Bank Scandals (And Air Crashes)

Last month, the Australian Securities and Investment Commission (ASIC) filed proceedings against Westpac over activities that have some distinct echoes of the Libor scandal. More>>

Budget: Health Funding Must Keep Up With Need

NZNO: “The nursing team has been doing more with less for years. It’s getting to the point that we’re really worried about our colleagues, our patients, our jobs and the level of health care available for people in our country." More>>

ALSO:

Emissions Inventory: Time For The Government To Do The Right Thing

It’s time for the National Government to step up and do the right thing to reduce climate pollution as data shows New Zealand’s greenhouse gas emissions are higher than ever, the Green Party said today. More>>

ALSO:

Budget 2016: More Partnership Schools To Open

Seven new schools will join the eight Partnership Schools already open, along with further new schools opening in 2017. “The growth of this policy is a reflection of the high level of interest from educators and community leaders,” Mr Seymour says. More>>

ALSO:

No Correspondence With English: Did Brownlee Make Up Sale Of Navy Ships ‘On The Hoof?’

Having revealed that several Royal New Zealand Navy vessels have not left port in years, New Zealand First is now asking the Minister of Defence to prove he did not come up with the idea of selling HMNZS Taupo and Pukaki until the media asked him. More>>

Housing Plans: Labour- Abolish Auckland Urban Boundary
The Government should rule out any possibility of an urban growth boundary in Auckland Council’s Unitary Plan if it is serious about fixing the housing crisis. More>>
Greens - State House Solution
The Homes Not Cars policy allows Housing New Zealand to retain its dividend and, in addition, would refund its tax, to spend on the emergency building of around 450 new state houses. More>>

ALSO:

Houses And Taxes: Post-Cabinet, Pre-Budget Press Conference

The Prime Minister said that the pre-budget announcements showed that his Government is “investing in a growing economy”. He re-affirmed the National Government’s commitment to lowering personal tax rates but that any such change must fit with the fiscal reality of the time. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Politics
Search Scoop  
 
 
Powered by Vodafone
NZ independent news