OMV announces positive results in Toutouwai exploration well

OMV NZ, on behalf of the Toutouwai Joint Venture (with partners Mitsui E&P Australia and SapuraOMV), is pleased to announce a positive result with the Toutouwai-1 exploration well in the Taranaki Basin.

Drilling commenced in the Petroleum Exploration Permit (PEP) 60093 in early March 2020 and the target reservoir was successfully reached in April 2020. Preliminary results are encouraging with several hydrocarbon charged layers encountered in the Cretaceous sandstones. Given the operational risks posed to the offshore exploration drilling programme from the Covid-19 virus at this time, the testing phase had to be curtailed.

The Toutouwai-1 exploration well is the third and final well in OMV NZ’s 2019/2020 exploration drilling campaign. The well was drilled to 4,317 m depth by the COSL Prospector semi-submersible drilling rig. The prospect is located 50 kilometres off the Taranaki coast in 130 metres of water.

OMV’s Senior Vice President, Australasia, Gabriel Selischi, said although it was still very early in the exploration process the discovery had the potential to be a significant result for the company in New Zealand.

“If future appraisal activities confirm the initial drilling results, this could prove to be an exciting outcome for our country’s future energy supply.”

“There has not been a major energy find in New Zealand for over a decade and we know that new domestic energy supply is critical to ongoing security of supply, affordability, and ensuring a smooth transition to a renewable future.”

“Given that New Zealand is now in a state of emergency and at a Level Four COVID-19 pandemic alert this will be the end of our 2019/2020 exploration drilling campaign and no further wells will be drilled.”

OMV is now working with the Toutouwai Joint Venture partners, Mitsui E&P Australia and SapuraOMV, on what additional work is required to determine commercial viability.

The Toutouwai-1 well is now being safely plugged and abandoned in accordance with New Zealand’s stringent regulatory requirements. The COSL Prospector drilling rig will then depart Taranaki waters in mid-late April 2020.

All statements can be attributed to OMV’s Senior Vice President, Australasia, Gabriel Selischi.

Background information:

OMV New Zealand

OMV New Zealand is an oil and gas explorer and producer that has operated in New Zealand for 20 years. It currently employs over 400 staff. Most are New Zealanders, and are largely based in Taranaki, where OMV runs the Māui and Pohokura gas fields and the Maari oilfield. The two gas fields contain about a third of the country’s gas reserves. OMV has made a major commitment to New Zealand, having invested over $3 billion dollars to date. It has also committed another $500 million to extend the life of the Māui and Pohokura gas fields, with projects already completed or underway.

OMV Aktiengesellschaft

OMV produces and markets oil and gas, innovative energy and high-end petrochemical solutions – in a responsible way. With Group sales of EUR 23 bn and a workforce of around 20,000 employees in 2019, OMV Aktiengesellschaft is one of Austria’s largest listed industrial companies. In Upstream, OMV has a strong base in Central and Eastern Europe as well as a balanced international portfolio, with Middle East & Africa, the North Sea, Russia and Asia-Pacific as further core regions. Daily average production was 487,000 boe/d in 2019. In Downstream, OMV operates three refineries in Europe and owns a 15% share in ADNOC Refining and Trading JV, with a total annual processing capacity of 24.9 mn tons. Furthermore, OMV has a 36% participation in Borealis, one of the world’s leading producers of polyolefins. The Company operates about 2,100 filling stations in ten European countries. OMV runs gas storage facilities in Austria and Germany; its subsidiary Gas Connect Austria GmbH operates a gas pipeline network in Austria. In 2019, gas sales volumes amounted to around 137 TWh. Sustainability is an integral part of OMV’s corporate strategy. OMV supports the transition to a lower-carbon economy and has set measurable targets for reducing carbon intensity and introducing new energy and petrochemical solutions.