Investors in New Zealand Oil & Gas are pressing the company to resume paying dividends now that it is profitable again and generating imputation credits.
In briefings for investment analysts and media on the Wellington-based company's June quarter cash-flow and production reports, NZOG chief executive Andrew Knight said it was a subject the board "debates regularly", although there was no announcement he could make at present.
Knight also confirmed that NZOG would likely be a buyer of a chunk of the 50 per cent of the Kupe oil and gas field owned by the field operator, Origin Energy, should the Australian energy giant decide to quit its only remaining New Zealand investment of significant size.
While Origin had given no signal of an intention to quit New Zealand, its Kupe stake was something of an "orphan asset" and the company was divesting assets in Australia as it meets the balance sheet challenges of a multi-billion investment on liquefied natural gas export facilities. Origin sold its controlling stake in New Zealand electricity and gas retailer, Contact Energy, a year ago.
Today's cash-flow statement shows the company has no debt and $96.8 million in cash at the end of the quarter, some $22 million of that sitting with Cue Energy, in which NZOG recently took a 48 per cent stake.