Great South Basin JV to Drill Exploration Well Off New Zealand

Petroleum Exploration and Production Association New Zealand provided an update Tuesday on plans for exploration drilling by the Great South Basin joint venture in Petroleum Exploration Permit 50119 off New Zealand.

“After several years of planning, careful consideration and talking with communities, the Great South Basin joint venture parties Shell New Zealand, OMV New Zealand Ltd and Mitsui E&P Australia Pty Ltd have made a decision to take up the option to drill an exploration well off the southern, east coast of the South Island.,” David Robinson, CEO of the Petroleum Exploration and Production Association NZ.

“Unlocking the petroleum potential in the Great South Basin could provide real benefits to not only local communities, but to our country as a whole. We just need to look towards the impact the oil and gas industry has had on Taranaki to know that the economic benefits of growing the industry are significant.

“The expansion of the oil and gas industry in Taranaki has seen the local economy grow by 46.9 percent over 4 years, making the region the largest growing economy in New Zealand.

“Strong regional economies mean more jobs, better wages, career opportunities and local investment. It is important that we create the success we see in Taranaki across other regions in New Zealand, and we hope the decision to drill an exploration well in the Great South Basin will be the start of sharing the oil and gas industry’s success with other regions around the country.

“It is not just local communities that benefit. Nationwide we already employ 7,500 kiwis nationwide and have contributed over $3.3 billion (NZD 4 billion) to date. This helps to pay for schools, hospitals and social services across the country”.

“Taranaki is a picturesque region, and a standing example of a region that has both a thriving oil and gas industry and a pristine environment.

“As a country we have a lot of economic potential to unlock – and some of that potential is in growing the oil and gas industry. Even though it takes approximately 10 years to fully develop a producing well, a decision to drill is the first step in ensuring benefits will flow locally and nationally and that is good news for Kiwis everywhere,” David Robinson said.