New Zealand Oil & Gas has informed that the joint venture in PEP 52181 (Kaheru), offshore South Taranaki, has submitted an application to surrender the permit.
New Zealand Oil & Gas, the operator, announced in February that economic conditions could not support drilling the prospect before the commitment date of May 2016.
Therefore, after exploring options to defer or amend work obligations, the joint venture has submitted to the regulator an application to surrender the permit.
The permit is held by New Zealand Oil & Gas which holds 35% interest, TAG Oil with 40%, and Beach Energy with 25% interest.
The Kaheru prospect lies in 25 metres of water, about 12 kilometres offshore from the Patea River mouth in South Taranaki.