New Zealand

New Zealand - PEP 38264

The Petroleum Exploration Permit 38264 (PEP 38264) covers an area of 17,493 sq km (4.3 million acres) of the deep-water Canterbury Basin, offshore New Zealand. PEP 38264 is, for comparison purposes, the size of the State of Kuwait.

PEP 38264 is operated by Beach Energy Limited (ASX:BPT) and has water depths of 200-2,000 m. The Canterbury basin has an active petroleum system and exploration of PEP 38264 offers significant upside potential.

Prospectivity

Based on the latest 3D seismic survey and the Caravel-1 well results, the partnership has mapped multiple large (up to 600 km2 closures) 4-way structural traps (AVO/EEI supported) with P-mean prospective resources of multi-billion barrels of oil equivalent. Regional studies & 3D basin modelling suggests potential for oil in addition to gas and liquids.

The Gondola and Wherry prospects are located in c. 1,350 m of water. They consist of transgressive shoreface/paralic sandstones draped over large 4-way closure complexes. Both are adjacent to thick mature pre/synrift source kitchens, providing excellent access to hydrocarbon charge. The prospects have 100-200 m shale prone seal intervals. In addition, at least 6 other leads have been mapped.

New Zealand offers highly attractive fiscal terms (among the best in the world), in a stable regulatory environment and with a transparent government.

Permit area shown in yellow and prospect outlines representing 4-way structural closures shown by the orange polygons

Work Programme

The joint venture is planning to drill one exploration well in 2020. Overall, the Canterbury Basin should see greater exploration activity: Mitsui & Co. and OMV Group are envisaging drilling the adjacent PEP 54863 and PEP 50119 in 2018-2020. New Zealand Oil & Gas and Beach Energy Ltd are envisaging drilling the adjacent PEP 52717 in 2018-2020, as well.

Partnership