Aussie tech company in Taranaki oil search

By Phil Boeyen, ShareChat Business News Editor

Wednesday 26th September 2001

The oil and gas subsidiary of Australian tech investment company, Impress Technologies, plans to participate in drilling two onshore wells in the eastern Taranaki Basin.

Impress says its Springfield Oil and Gas subsidiary has entered into an agreement with Marabella Enterprises to drill the wells. Australian listed exploration company, Bligh Oil and Minerals, owns Marabella.

Under the terms of the agreement Springfield will provide 10% of the estimated A$7 million cost of the forthcoming Makino 1 well, with drilling due to start in November.

In return it will earn a 5% working interest in petroleum exploration permit 38728 and will also acquire an option to contribute 9.6% of the cost of the Huinga 1 re-entry to earn interest in another permit.

Springfield says the prospect has mean estimated potential reserves of over 48 million barrels of oil and associated gas reserves.

"In the event of success at Makino, Springfield would have the option to participate in the Huinga 1 re-entry. Huinga is located immediately north of Makino and has very similar structural characteristics and potential reserve numbers," the company says.

"The Makino and Huinga prospects represent significant potential upside for Springfield with oil production in New Zealand characterised by low operating costs and world parity pricing."

The other participants in the Makino permit are Origin Energy Resources and Shell.

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