Engineering Study Planned for Kupe Field Development

Kupe Field partners Genesis Power Ltd and New Zealand Oil & Gas Ltd are commissioning an initial engineering study to refine the preferred development concept of an offshore unmanned facility, with processing of liquids to be carried out onshore. NZOG said this would be followed by a detailed engineering study and the obtaining of the necessary resource consents, which was expected to take 18 months or so.

The Kupe oil and gas condensate field in offshore south Taranaki has remained undeveloped since its discovery in 1986.

NZOG also said the confirmation of the early depletion of the Maui gas field by 2007, coupled with the more recent downgrading of Pohokura gas reserves, had meant market dynamics changing from a buyers' to a sellers' market. The resultant higher gas prices would underpin the development of Kupe.