More and more energy companies are flocking to take advantage of the potential offshore New Zealand, the country's energy minister said Tuesday.
Minister of Energy and Resources Simon Bridges said the government has awarded 15 exploration permits in its annual tender for offshore acreage, marking a steady increase from the 10 permits awarded in the inaugural auction in 2012.
"This is the most successful block offer the government has run to date, and the most competitive," he said in a statement.
U.S. energy company Chevron and Norwegian giant Statoil were among those competing for a slice of the 18,413 square miles that went on the auction block.
For Statoil, which suspended some operations in Norwegian territorial waters because of low prices, offshore New Zealand represents a "high-impact opportunity."
For Chevron, it's part of an emerging "range of potential long-term options in the Asia-Pacific region."
The government said there are around 149 million barrels of oil reserves remaining in fields already in production. Gas production was around 450 million cubic feet per day in 2011, the last full year for which the government has data.
Bridges said the permits awarded translate to about $84 million, with a potential for another $760 million in further activity.
"What we have seen this year is a deepening and strengthening of exploration in New Zealand," he said. "New players continue to enter our market, and existing players cement and expand their work here."
