Melbana Energy Ltd. reported on 19 September 2018 that it had signed a conditional, non-binding Letter of Intent (LOI) to divest its 30% interest in PEP 51153, located in the Taranaki Basin, to joint venture partner Tag Oil Ltd. for AUD 100,000. A binding agreement was later executed, as reported by Melbana on 19 October 2018, following the grant of an extension of the current permit by New Zealand Petroleum & Minerals. The deal was subsequently completed on 12 April 2019 and marked Melbanaâs exit from New Zealand, allowing the operator to focus on its core assets in Cuba and on the North West Shelf of Australia.  Tag Oil had been offering up to 40% interest in the exploration permit in exchange for assistance in funding the Pukatea 1 oil exploration well. The well was subsequently drilled in early 2018 and flowed oil at a rate of 600 b/d during clean-up operations from the Miocene Mount Messenger Formation secondary target. The well demonstrated a stabilised flow rate of approximately 276 boe/d (74% oil) on a 24/64â choke during a 12-hour test.    PEP 51153 was originally awarded to Kea Petroleum Ltd. and joint venture partners Hardie Energy (NZ) Ltd., and Rawson Taranaki Ltd. on 23 September 2008. Kea Petroleum assumed 100% operatorship in 2009 with MEO Australia Ltd., (later becoming Melbana Energy) farming-in to the permit in 2014. In 2016, Tag Oil became operator following Kea Petroleumâs sale of its 70% operated interest in the permit and subsequent appointment of liquidators.    PEP 51153 covers an area of 85 sq. km.Â  On completion of the deal, Tag Oil Ltd., through subsidiary CX Oil Ltd will hold 100% operated interest in the permit.
New Zealand, PEP 51153