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Property developer Hugh Green is hoping to strike oil in the Great South Basin.
Subject to Government approval, his private oil and gas exploration company Green Gate plans to undertake seismic data gathering in the Great South Basin alongside two international consortiums which have already been granted five-year exploration permits in the area.
Green Gate has applied for an exploration permit from Government agency Crown Minerals to explore the western margin of the Great South Basin and deep water extension to the Solander Basin, west of Stewart Island and already holds a total 500km of seismic data in offshore north Canterbury.
Consultant to Green Gate, Mac Beggs of Geosphere, said a work programme had been submitted to Crown Minerals and it was waiting to find out if its application was successful.
Beggs said with the major consortiums well ahead on programme planning there were opportunities for Green Gate to "tie in with their programmes", when a seismic ship next visits the basin - likely a multimillion-dollar contract with potential to be shared by a number of explorers.
In mid-July five-year permits for six of a total of 40 Great South Basin exploration blocks were awarded to two consortiums: one comprising Exxon-Mobil, of the US, and Todd Exploration NZ; and the other headed by OMV NZ, of Austria, and including PTTEP Offshore, of Thailand, and Mitsui Exploration, from Japan.
Hugh Green is a cornerstone shareholder in NZX-listed finance company Dorchester Pacific.
NZAX-listed venture capital company Widespread Energy has also taken a 10 per cent stake in Green Gate, which has raised $1.2 million in private equity in Australia recently.
The two major consortiums may spend up to $1.2 billion in the next five years. Otago Daily Times
