who needs vietnam ?

An interesting article about the potential of oil discoveries in NZ :

New Zealand 'set for an oil bonanza'


By KRIS HALL The Independent | Friday, 13 Nov 2009


Fairfax Media

OIL BONANZA: Investors willing to back the development of NZ oil reserves could be investing in a country at the same stage as Norway in the pre-North Sea era, says a leading US money manager.


Investors willing to back the discovery and development of New Zealand oil reserves could be investing in a country at the same stage as Norway in the pre-North Sea era, says a leading US money manager.

Renowned for his bullish views on New Zealand's petroleum prospects, William Buechler insists New Zealand is set for an oil bonanza that will eclipse Britain's North Sea oil boom.

"New Zealand is at the beginning of a country-changing event; the challenge is going to be to embrace the change and get it right. Activity and momentum are increasing but going under the radar screen."

For more than 25 years, New Zealand has thrived on the hydrocarbons produced by its Maui oil and gas field, prompting little in the way of new exploration. However, as global reserves dwindled and the price of crude soared, new exploration has begun in earnest.

More offshore wells have been drilled in the last two years than the rest of the decade combined: 35 on and offshore wells were drilled between January 2008 and July 2009 alone.

Helping drive this activity some $200 million of exploratory drilling is planned this summer has been a sea change in government attitude to the petroleum industry's potential, says Buechler, lead portfolio manager of the Kiwi Pacific Fund.

"Crown Minerals has been gathering seismic data and offering it for free and that's allowed companies to look at data on a decreased risk basis."

Buechler says the scope for economic success from oil is "unquestionable" but investors must act now to get in ahead of overseas backers.

Only last week, Todd Energy chief executive Richard Tweedie confirmed Maari and its adjacent Manaia field in offshore Taranaki were home to 100 million barrels of recoverable oil, making it New Zealand's largest crude oil field and twice the original 50 million barrels found at the Tui fields.

The world's biggest sovereign wealth funds are backing oil and gas exploration in the Asia Pacific.

At $598b, Norway's global government pension fund is the world's second largest wealth fund. It has snowballed in size after Norway's decision to treat oil proceeds and royalties as investment capital and not revenue like Britain.

"If New Zealand is truly going to benefit in the long run from the discovery of oil, is has to make this decision," says Buechler.

ENDS
.........................................................
So perhaps PPP should be looking closer at what other exploration permits around NZ it can farm into rather than some half baked overseas ventures that it cannot comment on or explain where it is at.

Roll on the AGM !