NEW ZEALAND ENERGY 2006

CSM production a step closer in New Zealand

NEW ZEALAND coal producer Solid Energy revealed this week it had moved a step closer to commercia...

Research scientists from Solid Energy and independent US oil and gas company Resource Development Technology presented research to this week's 2006 Petroleum Conference in Auckland that showed promising early results at five sites in the Waikato area.

“This is a particularly timely project with the serious gas supply gap New Zealand faces in the very near future,” said Solid Energy research manager Dr Tim Moore.

“Early indications show flow rates of two to five PJ per annum, potentially sufficient for commercial development. Such rates would allow us to supply gas to between 40,000 and 100,000 households a year, or meet 5 to 10% of Huntly Power Station’s annual needs.”

Moore said gas purity was very positive with results showing methane levels at more than 98%.

He said the next stage was to proceed to drill five appraisal wells in the second quarter of 2006, with full results available at the end of the year.

“If all goes well, gas from these deep Huntly coalfields could be supplying industry or homes as early as 2008,” Moore said.

International Longwall News

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