Basin review, Company news, Contract awards, Drilling and exploration, Gas, International, Location, Markets, People and policy, Pipelines, Projects

AWE farms out NZ permit

The permit is located southeast of New Plymouth in a prolific gas producing region, and includes the planned Kohatukai-1 well.

The well is scheduled to be drilled in Q4 2018 to test the dual objectives in the Eocene Matapo and Mangahewa sands targeting a prospect that is analogous to the nearby Pohokura gas field.

The current joint venture partners in the permit are AWE (51 per cent and operator) and Mitsui E&P Australia (49 per cent).

The new farmout agreement will see the joint venture farm down a combined 50 per cent working interest to NZOG and its majority shareholder O.G. Oil & Gas Singapore, with each to acquire a 25 per cent stake.

At completion of the farmout, AWE will remain as operator with a 12.5 per cent interest, with Mitsui now controlling a 37.5 per cent interest.

The effective date is 1 March 2018 and completion is expected by the end of May 2018, subject to regulatory approvals.

Leave a Reply

©2021 All Rights Reserved. Oil & Gas is a registered trademark of Prime Creative Media.