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New Zealand Energy Corp. Provides Update on the Tariki Development & Other Projects
Vancouver, British Columbia--(Newsfile Corp. - February 11, 2025) - New Zealand Energy Corp. (TS...
About this update from New Zealand Energy Corp.
[{"type":"text","content":"New Zealand Energy Corp. Provides Update on the Tariki Development & Other ProjectsVancouver, British Columbia--(Newsfile Corp. - February 11, 2025) - New Zealand Energy Corp. (TSXV: NZ) (\"NZEC\" or the \"Company\") is pleased to provide the following update.Further to our December 30th announcement, we are pleased to confirm that the recently completed Tariki-5A well intersected the target Tariki sands 11m higher than prior wells and has confirmed the presence of significant remaining free gas and condensate in place up-dip in the field. These results and the high quality of the 55m net sand intersected has also confirmed the viability of Tariki as a gas storage field. Work is in progress to update the associated reserves and associated forecasts.The flow rates from the well have been less than anticipated prior to drilling, due to liquid loading in the 3 ½\" tubing and difficulties in managing liquids slugging at Waihapa after ~30km of pipeline. While rates more than 4mmscf/d have been seen, stable rates have been approximately 1 mmscf/d with 25 to 30 bbls/d of condensate (100%).With a view to accelerating the high value storage phase of the Tariki field, the Company is proceeding with design of the first stage injection & extraction gas storage project based on wells Tariki-5A and Tariki-1A. When implemented this will form the first stage of the planned storage project and will provide to gas storage customers ahead of building the second and third stage of development. The scope of Stage 1 has yet to be finalized, however the target is injection at 10 to 15 mmscf/d and extraction at ~30 mmscf/d. Most of the required infrastructure for Stage 1 is already in place, with the exception of the final stage compression required at the well site. With respect to the latter it is likely that an existing mobile unit currently at the Waihapa Production Station can be modified to provide the required wellsite compression.The conversion of the previously depleted Tariki Gas Field to Gas Storage mirrors the similar conversion of the immediately adjacent Ahuroa Gas Field to storage service more than a decade ago. The fields are both over-thrust structure of the Tariki Sandstone and at very similar depths. The Tariki Gas field produced approximately 50 Bscf gas and studies indicate that the field is likely to be able to safely sto...