Origin Energy: Kupe Field Reserves Up (New Zealand)

Origin Energy Limited (Origin), as Operator of the Kupe Joint Venture, has announced that the initial proved and probable (2P) reserves in the Kupe field, located offshore New Zealand, have increased.

Kupe’s initial 2P sales gas reserves have increased by 18.3%, LPG reserves by 22.8%, while light oil (condensate) reserves have decreased by 1.8%.

Initial 2P reserves have been revised to 83.8 million BOE, or 489 petajoules equivalent, consisting of 323 PJ of sales gas, 1,368 kilotonnes of LPG and 18.3 million barrels of light oil.

The reserves revision follows an evaluation of the continuing strong performance of the three production wells in the field, combined with the past two and a half years of well and field production and pressure data, in full field dynamic reservoir models.

The Kupe field, located in PML38146 in the offshore Taranaki Basin, New Zealand, is a gas-condensate filled reservoir in the Farewell Formation.

Kupe production from commissioning to 1 July 2012 has totalled 13.8 million BOE (81 PJe) 46.3 PJ sales gas, 190 kilotonnes of LPG and around 4.7 million barrels of light oil. The remaining 2P reserves at 1 July 2012 are therefore 70.0 million BOE (408PJe), 276.4 PJ sales gas, 1178 kilotonnes LPG and 13.6 million barrels of light oil.

Origin Energy New Zealand General Manager, Mr Chris Bush said, “Kupe is an important energy asset, producing 10-15 per cent of New Zealand’s current annual gas demand and more than 50 per cent of LPG demand.”

“This is the second reserves update for Kupe and confirms the asset will continue to play an important role in meeting New Zealand’s energy needs for the next 15-20 years, which is critical to support economic growth and prosperity,” Mr Bush said.

Kupe, which consists of an offshore and onshore production system, was officially opened on 18 March 2010.

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Press Release, July 10, 2012