It expects to take up to three months to drill and evaluate Kauri-E1, which is the latest in a series of already drilled or planned wells, targeting various Miocene, Eocene or even Cretaceous sands found over much of onshore and offshore Taranaki. The Kauri sands are found at depths of around 2880-3150m.

SENZ has been frustrated in recent months by encountering fractured formations, tight gas which has needed stimulation to flow, and some wet intervals.

However, company president and chief executive Terry Swift believes both the Kauri and even shallower Manutahi sands represent good opportunities for future development.

The company also said the routine annual maintenance at its Rimu-Kauri production station and the more northern TAWN processing facilities had been completed, and that both facilities were now producing normally.