Kupe JV Discovers Gas at Momoho-1 Offshore New Zealand

Origin Energy Resources (Kupe) Limited, on behalf of the Kupe Joint Venture, reported that the Momoho 1 exploration well has discovered a small gas condensate pool within thin, good quality sandstones of the Palaeocene Farewell Formation, the third indication of hydrocarbons along this structural trend.

Previously reported good gas indications recorded from the top of the primary reservoir, the Farewell Formation (2,896 meters RT), have now been confirmed by wireline logging and pressure and fluid sampling. Preliminary Interpretation indicates that the well has intersected a gross gas condensate column over the interval 2,896 to 2,921 meters RT.

The accumulation is located on the crest of the Momoho anticline, on the southwestern side of a central fault. Given the presence of gas condensate at Momoho 1, gas nearby at Kupe South 4 (2.5 kilometers to the northeast) and oil at Kupe South 5 (1.2 kilometers to the south), potential remains for hydrocarbons to be trapped within a large closure on the northeastern, downthrown side of this fault. Evaluation of this portion of the Momoho anticline will be considered at a future date by the Joint Venture once the full implications of Momoho 1 have been considered. Further studies will be undertaken to determine whether it may be possible to contemplate a development combining these existing and potential hydrocarbon accumulations.

Momoho 1 reached a total depth of 3,145 meters RT on July 14 and upon completion of the current evaluation program, will be plugged and abandoned. It is expected the rig will be released early next week, subject to a suitable weather window.

Partners in the Kupe permit PML38146 are: Origin Energy Resources (Kupe) Limited (Operator) 50%;
Wholly owned subsidiaries of Genesis Energy 31%; New Zealand Oil & Gas Limited (through its subsidiaries: National Petroleum Ltd. 12.75%, Petroleum Equities Ltd. and Nephrite Enterprises Ltd. 1.00%) 15%; and
Mitsui E&P Australia Pty Ltd 4%.