TAG Discovers Light Oil, Gas in New Zealand Permits

TAG Oil has discovered light oil and gas in the Sidewinder-3 exploration well at the Petroleum Exploration Permit 38748 at the onshore Taranaki Basin, North Island, New Zealand.

The Sidewinder-3 well encountered 15.4m of net oil and gas-bearing sandstones in the primary Sidewinder zone, and is the fourth oil and gas discovery in five months.

The well was drilled to a total depth of 2,160m, targeting a large anomaly identified by 3D seismic data, about 1.1km to the south of the recent Sidewinder-1 and Sidewinder-2 discoveries.

TAG Oil COO Drew Cadenhead said the firm will expand the throughput capabilities of the Sidewinder Production Station to accommodate more production than originally anticipated.

The firm will soon begin drilling the Sidewinder-4 exploration well, which will also target the Mt Messenger Formation sandstones, 1km to the east of the Sidewinder-1 well.