record month for tui

TUI ENDS YEAR WITH RECORD MONTH
New Zealand Oil and Gas Limited (NZOG) reports that the Tui Area Oil Fields achieved
a record month of production in December.
NZOG holds a 12.5% interest in Tui, which is situated 60 km off the Taranaki coast.
Production from Tui began on 30 July 2007. By 31 December 2007, approximately 6.4
million barrels of oil had been produced, at an average rate of production of more than
41,000 barrels a day.
In November, technical modifications to the production facility were completed, allowing
daily production rates to increase. As a result a monthly production record of
approximately 1.5 million barrels was achieved in December; an average of over 48,000
barrels a day.
Tui oil is a light sweet crude that is generally sold against the regional Tapis benchmark
crude, with differentials for freight and quality. During December the Tapis benchmark
averaged around US$95 a barrel.
The oil is shipped to refineries on the east coast of Australia or in south-east Asia. The
tanker Ocean Pluto is today being loaded with 350,000 barrels.
In November 2007 proved and probable (2P) reserves in the Tui Area Oil Fields were
upgraded by the operator to 41.7 million barrels, almost 50% higher than the estimated
reserves of 27.9 million barrels on which the project was sanctioned.