Company chief operating officer John Sturgess told EnergyReview.Net today that Greymouth's own seismic team had started the 50km 2D survey on Monday inland from the small town of Douglas and expected to complete the operation by mid-August.

"We have mobilised our own crew men in this first step of exploring for shallow oil on the up-thrown side of the central thrust fault. We will be targeting young formations like the Matemateaonga, which we believe lie only a kilometre or so below the surface over much of eastern Taranaki."

However, it would take about a year before the first exploration well would be drilled, Sturgess added.

Greymouth was awarded the large (1381 sq km) licence PEP 38739, which runs right down the eastern edge of the central thrust belt, almost two years ago.

Little exploration was done in the rugged eastern Taranaki countryside until recently, and Greymouth will be looking to overcome the almost prohibitive exploration costs and complete lack of infrastructure, by utilising modern technology and targeting shallow formations.