Ann: MINE: NZO: Pateke-4H reserves

• Release Date: 06/01/15 12:02
• Summary: MINE: NZO: Pateke-4H reserves
• Price Sensitive: No
• Download Document  2.94KB

					NZO
06/01/2015 12:02
MINE
PRICE SENSITIVE
REL: 1202 HRS New Zealand Oil and Gas Limited

MINE: NZO: Pateke-4H reserves

New Zealand Oil & Gas and Pan Pacific Petroleum have completed a review of
the increase in Tui reserves attributable to the Pateke-4H well, and estimate
a total increase in 2P recoverable reserves of 2.4 million barrels gross,
660,000 barrels net to New Zealand Oil & Gas as at 1 January 2015.

This comprises 1.9 million barrels from the Pateke-4H accumulation and an
additional 0.5 million barrels from the other Tui area fields as a result of
the extension of economic field life. This estimate excludes any additional
oil which will be used as fuel.

The Pateke-4H estimate will be reviewed and updated when the well is on
production and actual performance can be compared with the forecast from the
current model. The well is scheduled to be tied into the FPSO Umuroa in the
first quarter of 2015, with production in the second quarter. The effect of
Pateke-4H on the extension of the economic field life of the Tui area fields
is dependent on oil price, and includes an assumption of a return to higher
oil prices during the field life.

New Zealand Oil & Gas has a 27.5 per cent interest in Tui. The other Tui
joint venture partners are:
AWE Limited (via subsidiaries) (Operator) 57.5%
Pan Pacific Petroleum (via subsidiaries) 15.0%

Information on the Reserves and Resources in this release relating to the
Pakete-4H well is based on an independent process review conducted by RISC
Operations Pty Ltd (RISC), a leading independent oil and gas industry
advisory firm, and fairly represents the information and supporting
documentation reviewed. The review was carried out in accordance with the SPE
Reserves Auditing Standards and the SPE-PRMS guidelines under the supervision
of Mr. Geoffrey J Barker, a Partner of RISC. Mr. Barker is a member of the
SPE and his qualifications include a Master of Engineering Science (Petroleum
Engineering) from Sydney University and more than 30 years of relevant
experience. Mr. Barker meets the requirements of qualified petroleum reserve
and resource evaluator as defined in Chapter 19 of the ASX Listing Rules and
consents to the inclusion of this information in this report.

This statement has been compiled by New Zealand Oil & Gas Vice-President
Operations and Engineering Andrew Jefferies BEng (Mech Hons), Msc Pet Eng,
MBA, an SPE (Society of Petroleum Engineers) Certified Petroleum Engineer
with over 23 years of industry experience. The estimate is the result of
probabilistic analysis.

Reserves are the quantities of petroleum anticipated to be commercially
recoverable from known accumulations from a given date forward; that are
judged to be discovered, recoverable, commercial and remaining. Probable (2P)
reserves are those which have a 50% chance or better of being technically and
economically producible.

John Pagani
External Relations Manager
+64 21 570872
End CA:00259568 For:NZO    Type:MINE       Time:2015-01-06 12:02:17