Commercial use of gas well

Press, Volume CXV, Issue 34021, 9 December 1975, Page 10

Commercial use of gas well

<N.Z. Press Association) NEW PLYMOUTH. The commercial significance in the Republic Petroleum Corporation’s discovery of gas in its New Plymouth No. 2 well is still in doubt.

Production testing on the well had established a gasflow rate of more than 590,000 cu.ft a day, the company’s chairman (Mr E ; G, Wallace) told the stock exchange. He said that this should be enough to supply most of New Plymouth’s gas needs and negotiations would begin immediately to organise its sale to the New Plymouth City Council. The council, however, has a long-term contract with the Natural Gas Corporation with the back-up gas supplies of Kapuni and Maui a't its disposal.

The city would Certainly welcome discussions with the company, said its gas department manager, Mr A. Blackman. But it would have to have more information as to proven reserves in the area Republic had drilled. “Besides, the quantity they have found would not supply a third of our maximum load,” he said. The gas finds have come from the two bottom zones in the No. 2 well, located at between 1674 and 1678 ft. Only a trace of oil was found in the two zones, but Republic is still confident of getting in to significant oil deposits, high up in the well. “We have 389 ft of possible pay zones in 11 zones in this well, which makes it very promising,” Mr Wallace said.

The nine remaining zones would be fully tested some time after Christmas, he said.