New Zealand gas reserves decline

New Zealand’s proven and probable gas reserves have taken a fall according to data released by country’s Ministry of Business, Innovation & Employment.

The data, compiled from assessments of permit holders’ annual summary reports, shows a five percent decline in proved plus probable gas reserves estimates over the past year.

Gas reserves, defined as quantities that are commercially recoverable, stood at 1,985 Petajoules at 1 January 2018. It represents around 10.5 years of demand at 2017 demand levels, the ministry said.

According to the ministry, The main driver of the decline is a 27.2 percent decrease in gas reserves at the Pohokura field, while gas reserves at Mangahewa increased by 44.5 percent.

Josh Adams, national petroleum manager, says: “The data is typically made available as part of MBIE’s yearly Energy in New Zealand publication released each September but a decision was made to bring forward its release to help inform debate around the status of the country’s petroleum reserves.

“Companies review their reserves on an annual basis. Variations from year to year are expected for a range of reasons, including technical and economic factors.”

“No!” to new exploration blocks

The ministry said a high level of interest in the status of the reserves was prompted following the government’s decision in April to halt the granting of any new offshore oil and gas exploration permits.

The announcement on new permits ban was made in April by Labour Party leader and New Zealand Prime Minister, Jacinda Ardern, speaking at Victoria University on the government’s environment plans.

“We owe it to future generations, and our planet,” the government said. However, the government emphasised that the change will not be abrupt and that there will be a measured and planned transition, and that all existing permits will be protected.

Source: Offshore Energy Today