27 Oct 2010

NZ Oil and Gas sells permit stake

1:50 pm on 27 October 2010

New Zealand Oil and Gas has sold off a stake in one of its permits.

The permit is for the Kaupokanui field, which is between the producing Kupe and Maari fields in offshore Taranaki, and may contain up to 200 million barrels of oil.

Australian company Peak Oil and Gas will pay 20% of the costs of drilling an exploration well, in return for a 10% permit in the stake.

New Zealand Oil and Gas chief executive David Salisbury says he's encouraged by the level of interest in the permit, and is confident at least one more joint venture partner will be found before January, when the company has to make a decision about drilling.