Located in Petroleum Exploration Permit 38348 which is 250km north of TAG’s Ngapaeruru-1 unconventional well, the well is scheduled to be drilled to a total depth of approximately 3,600m.
The Waitangi Valley-1 is TAG Oil’s second high impact exploration well targeting the Waipawa Black Shale and Whangai Formation source rocks.
The Waipawa Black Shale and Whangai Formations are the source of the high quality (50-degree API) light oil which arefound in nearby oil seeps, core sampling, and shallow drilling in the Waitangi area.
TAG Oil chief operating officer Drew Cadenhead said, "Waitangi Valley-1 will provide TAG with the opportunity to acquire additional sub-surface data on this major exploration prospect, as well as potentially establish the first unconventional production in the East Coast Basin.
"The Company has previously confirmed that these source rocks are responsible for the oil seeping to the surface just 5 km from the Waitangi Valley-1 location, so this well may give us the chance to produce oil directly from the source.
"We intend to continue that track record throughout the drilling process and we’re confident we will execute the Waitangi Valley operations as safely and diligently as we have all our New Zealand operations."
