Oil search to go south

Press, 3 May 1977, Page 10

Oil search to go south

PA Invercargill The Minister of Energy Resources (Mr Gair) has confirmed that the Government intends to go ahead with its five-well exploration agreement for offshore Southland, and extend it to areas much further south. He said that the five-well agreement negotiated be-, tween the Government and Hunt International Petroleum several years ago would be continued off Southland. As each hole was drilled., said Mr Gair, new knowledge was being gained of this .inexplored region, and explora-, tion was being re-assessed. Inquiries during the weekend confirmed that the Pakaha 1 wildcat well was not abandoned as a “dry” hole. Drilling was stopped after the basement rock at 11,500 ft proved to be granite. “There’s just no way you will find oil in granite — i that’s for sure,” said an American driller. ji The geological evaluation , of Pakaha is expected to in- ■ elude a computer analysis of:

what was described as “interesting” sedimentary structures drilled through in the early stages. The next two wells for the Penrod rig. Kawau and Campbell Island, will be in entirely' separate potential oil-bearing i structures. | Mr Gair said each would; require more extensive work i than the first three wells of Southland — Parara. Toroa. and Pakaha. “A number of; firsts are being achieved in the Great South Basin,” he said. Preparations started on Sunday lifting anchors from the greatest depth the Penrod ’ rig has worked at. There was 'no confirmation whether the blow-out preventer unit had been successfully raised from the seabed 2235 ft below the rigAnchor lifting may take up to three weeks. There have been some, changes with leasing negotiations at Bluff by Hunt International Petroleum, but there are no signs of the company preparing to pull out of : southern waters.