Shell: Production from Pohokura Flowing

Shell Exploration & Production welcomed the delivery of first gas from its Pohokura Project in Taranaki, New Zealand. Gas began flowing from the three completed onshore wells through the production station at Motonui, near New Plymouth earlier this month. The field, which is the second largest in New Zealand, is expected to produce around 40,000 barrels of oil equivalent a day at its peak.

"This is a significant step in the journey to deliver gas to meet New Zealand's energy needs and we are particularly proud of the role that Shell's technology played in helping us deliver this milestone," Dominique Gardy, Executive Vice President, Exploration and Production, Asia Pacific, said.

"Pohokura is one of the key projects Shell has coming on-stream before the end of 2008, adding to its integrated gas production," he added.

Commissioning of the production station will continue over the coming weeks in preparation for commercial gas sales, whilst offshore the platform installation is underway, with the six offshore wells expected to come on stream over the coming year.

Natural gas from Pohokura will be fed into the North Island gas network and the condensate will be piped to storage tanks at Omata near New Plymouth for shipping to refineries.

The Pohokura Project is being developed on behalf of the Joint Venture partners by Shell, as Operator, with 48% interest. OMV New Zealand has 26% and Todd Pohokura Ltd 26% of the venture.