Australian-listed Origin Energy says it will soon begin drilling in the Northland Basin.
The major oil and gas producer and energy provider said it would, as joint-venture operator, drill the exploration wells Korimako-1 and Tarapunga-1 in permit PEP 38619.
The company has successfully drilled the Rockhopper-1 and Trefoil-2 wells in
Australia's Bass Basin, between Victoria and Tasmania.
Origin's executive director for strategy, Karen Moses, told the Credit Suisse Asian Investment Conference in Hong Kong drilling in the Northland Basin should start late in June and the Kan Tan IV rig is expected to drill the Korimako-1 and Tarapunga-1 wells.
In Northland only two significant exploration wells have been drilled: one onshore in 1969 (Waimamaku-2, to 3356m), and a deepwater offshore well in 1999 (Wakanui-1, to 3681m).
A well drilled in 2003 in the far north of the Taranaki Basin (Karewa-1, about 2000m deep) was virtually at the southeastern limit of the Northland Basin, according to Crown Minerals. Karewa-1 is believed to have discovered some hydrocarbons.
Origin owns 51 per cent of Contact, where analysts have said its wallowing share price may only reach full potential if Origin tries for a full takeover.
Origin is also working with North American petroleum major Andarko Petroleum Corporation in the highly prospective Canterbury Basin.
Moses said the Kupe project which Origin operated - in which it has a 40 per cent stake - is expected to provide 254 petajoules of natural gas, 1.1 million tones of LPG, and 14.7 million barrels of light crude.
- NZPA
