The two Wellington-headquartered companies last month did a deal which saw Todd take over 100% ownership of PEP 39749 from Geosphere.

Geosphere director Mac Beggs told EnergyReview.Net from the capital that the exit of former partner Denver firm Aspect Resources from New Zealand in early 2003 had led Geosphere to offer all its three onshore Taranaki licences - PEP 38742, 749 and 750 - for farmout.

Geosphere took over Aspect’s 90% stakes in the licences to take complete control and, although completing the first phase of the work program, the small independent found that rather financially draining.

“We either relinquished this permit or farmed it out, which we believed was the preferable option, and we are very pleased with the final outcome, selling to major domestic explorer Todd Petroleum,” said Beggs.

Only the 1980s Te Kiri-1 well had been drilled in the area, he added.

Todd Energy chief executive Richard Tweedie declined to tell ERN of his company’s plans for the coastal block, although Crown Minerals says the acquisition or processing of seismic is a priority. While Todd has interests in several other onshore Taranaki blocks, they are further inland or northward near the central thrust belt system.