Black gold in Gisborn
Gisborne council has granted TAG Oil consent to drill the Waitangi Valley-1 well, located in Petroleum Exploration Permit 38348 in the East Coast Basin.
Earthwork activities are underway to build an access road and drilling pad, with construction expected to be complete and drilling rig mobilized to the site by the end of June.
Waitangi Valley-1 will be drilled to a depth of 3600m, with the well targeting the naturally fractured Waipawa Black Shale and Whangai source rock formations.
The Waipawa and Whangai formations are regarded as highquality source rocks that compare technically to successful commercial tight-oil plays in North America, such as the Bakken Shale and Eagle Ford discoveries.
The potential oil resource in the source rocks on TAG’s land is approximately 14bn barrels of oil initially-in-place.