Rumours of oil strike dispelled

Press, Volume CXVI, Issue 34048, 12 January 1976, Page 14

Rumours of oil strike dispelled

f.\eu' Zealand Press Association

INVERCARGILL, January 11. Rumours of an oil strike on the Penrod ’74 off-shore rig in Foveaux Strait were completely dispelled today by the Hunt International Petroleum Company with confirmation that preliminary gas pressures had not yet been encountered at the Parara I well site, near Solander Island.

Geologists did not attach i any special significance to a ’ lack of pressures except to i establish that a suggested oil i strike off Southland reported in . the Christchurch “Star I Sports” was without any foundation. The report said that Hunt] International employees in Southland had suddenly become tight-lipped in the last few days, and the scene on the rig had been one of feverish activity and excitement. According to the report Mr Jack Lichtenwalter. the company’s senior geologist had : rushed to the rig on Thursday night amid persistent spe-

culation that a major oil strike was imminent.

Hunt employees were available today to answer questions about the present drilling. The scene of recent "feverish activity" had died (down after the change-over (of shifts. Mr Lichtenwalter | had returned to the rig on (Thursday night after collecting his laundry.

Drilling is continuing with the 12| inch diameter drill probing deep into the Foveaux Strait seabed at a good drilling rate. Depths in excess of 10.000 feet, due in the next few days (are expected to yield significant indications of gas presence rather than an oil find. However, higher pressures than normal at the Parara wildcat well are not necessarily likely to be regarded as anything unusual for the type of operation being undertaken near Solander Island.

There is even more speculation on the rig about future operations by the company. The next planned concession is the Kotuku I well, 15 miles from Solander Island, five miles closer than at present. Before the Hunt International Petroleum Company’s resident manager in New Zealand. Mr John Tatum, left for the United States he completed talks with Shell/ B.P. and Todd, Ltd. for a second charter drilling off Taranaki. This will be finally decided after a geological analysis of samples from Parara, and possibly Kotuku.

Any signs of higher pressures during the coming week could result in a closing of blow-out preventers on the seabed. 486 ft down in Foveaux Strait, to enable the specific gravity of the mud lubricant compound to be increased for drilling to continue.