New Zealand Oil & Gas Ltd is looking to grow while optimising the value of our existing asset base.
2007/2008 has been a transformational period for NZOG. The Tui Area Oil Fields are producing and are providing a significant revenue stream. Pike River Coal was successfully floated with NZOG retaining a 31% shareholding, along with options and convertible notes. The Kupe development is on schedule and fully funded. And at the end of June 2008, 128 million Options were exercised providing a cash injection of more than NZ$190 million.
Targets
The NZOG board has set ambitious reserve and production targets. The precise targets themselves are not so important. Of more importance is the signal that they send, about a company that is well resourced and firmly focused on a growth path.
Our focus is on growth through petroleum exploration and production. The upstream sector is where our knowledge and experience lies.
Opportunities
The potential deals are many and varied. We are looking at exploration opportunities within our existing permit holdings; opportunities to ‘farm-in' to permits held by other companies; new exploration permits; asset purchases; and corporate acquisitions.
NZOG believes there are further opportunities to be exploited in Taranaki. But a logical development for the company is to also look further afield and we have been doing so, both within New Zealand and overseas.
All of the potential opportunities are carefully screened. We are not going to invest for investing sake, it must be a value adding, attractive opportunity.
