document: OMV AG, via wholly owned subsidiary OMV New Zealand Ltd., is offering 30% equity in offshore exploration permit PEP 51906, located in the Taranaki Basin. The opportunity is one of several that OMV is currently offering offshore New Zealand.  OMV previously completed a farm-in deal on 26 March 2018 with Sapura Exploration and Production Sdn Bhd, in which Sapura acquired 30% interest. The deal also included interest in three OMV/Mitsui joint venture permits in the offshore Taranaki Basin. OMV continues to hold 70% interest and operatorship in the permit and is seeking a second partner. OMV initially reported that it would prefer a deal with a partner that included PEP 51906 and PEP 57075, in which it is also offering 30% equity, but would consider individual bids.  Given its proximity to the Maui, Maari and Tui fields, the petroleum system within the permit are well understood. The Cretaceous Rakopi and Wainui formations are the principal source units and reservoir potential exists across the Late Cretaceous to Miocene stratigraphy where seal risk is low.Â  Trapping structures are typically structural, nearby successes including differential compaction and drape over a basement high (e.g. Tui), faulted anticlinal features (e.g. Maari and Maui) and fault bounded closures (e.g. Ruru 3).  Previous work has included acquisition of the 2013 Kaka 3D seismic survey in the southeast of the permit, from which new exploration insights have been identified. The Matuku 1 well was drilled in the permit by OMV in 2013. The well failed to encounter commercial hydrocarbons, though oil shows were observed in the targeted Eocene, Paleocene and Late Cretaceous targets. The well was drilled down to the oil-prone Late Cretaceous Rakopi Formation. OMV reported a lack of charge at the deep Cretaceous levels is likely the primary reason for the failure. However, encouragingly, high quality sandstone and seals were encountered at Matuku 1, adding a component of de-risking to the two main plays of the Cascade Prospect, located in the south of the permit. Â Cascade is the principal prospect within the permit and comprises a three-way fault bounded structure with closure over 21 sq km. The primary targets include Late Cretaceous and Paleocene sandstones, charged from the proximal Maui Kitchen and with local potential from the underlying âCascade kitchenâ.  Under the current permit obligations, a drill or drop decision is required before 19 November 2018 with an exploration well due before 19 November 2019.    PEP 51906 was awarded on 19 November 2009 and covers an area of 1,613 sq km. Interests in the permit are OMV New Zealand Ltd (70% + operatorship) and Sapura Exploration & Production (NZ) Sdn Bhd (30%).  Interested parties should contact:  Alan Clare, Exploration & Appraisal Manager    Address: Level 20, The Majestic Centre, 100 Willis Street, Wellington 6011, New Zealand    Email: alan.clare@omv.com
summary: OMV AG, via wholly owned subsidiary OMV New Zealand Ltd., is offering 30% equity in offshore exploration permit PEP 51906, located in the Taranaki Basin.