Details have now been finalised following the High Court rejection last December of Todd Energy's appeal against Shell NZ taking over from STOS as Pohokura operator.
Although there has been no official word from either Shell NZ or STOS, industry sources have told EnergyReview.net that Shell will assume control on April 1.
The changeover is expected to be seamless, since Shell has essentially run STOS for years, and Shell will retain all STOS Pohokura staff.
“Shell does not expect there to be any major changes. It will be business as usual, with Shell planning to bring Pohokura onstream in late 2006, as scheduled,” said one source.
The next “change” date is scheduled to be June, when Todd Energy is due to officially take over running the onshore Taranaki McKee-Mangahewa fields from STOS.
Shell is also expected to officially take over operatorship of the offshore Taranaki Maui field. But this depends on the completion of the high court process that is due to resume in April. Todd Energy is also believed to be appealing against Shell becoming Maui operator, as it did with Pohokura.
Last August Shell NZ and fellow Pohokura partner Austrian firm OMV voted to remove STOS – an unincorporated organisation jointly owned by Shell and Todd – but Todd challenged the validity of that resolution.
The latest moves mean the effective end of the 50-year relationship Shell and Todd have had through STOS – which operates the Maui, Pohokura, Kapuni fields for the respective partners, as well as McKee and Mangahewa for Todd alone, without holding any equity in any licence.
Shell NZ EP commercial manager Ajit Bansal has previously said Shell believes it can add substantial value to the oil and gas assets in which it had major stakes – Maui, Kapuni and Pohokura – by moving away from the STOS service company structure.
Shell NZ holds 82.75% of Maui, 48% of Pohukura and 50% of Kapuni. Todd holds 6.25% of Maui, 26% of Pohokura, 50% of Kapuni and 100% of McKee-Mangahewa. OMV holds 10% of Maui and 26% of Pohokura.
Pohokura is New Zealand’s largest petroleum resource, containing 900 bcf of recoverable gas and 50 million barrels of condensate, according to the STOS website.
