Monumental Energy Corp. (Monumental) is making significant strides in its pursuit of oil and gas opportunities in the Taranaki region of New Zealand. The company announced its intention to conduct site visits and due diligence on multiple conventional oil and gas prospects alongside New Zealand Energy Corp. (NZEC). These potential opportunities span a wide range of activities, including:
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Farm-in on existing oil workover wells:
Monumental is exploring the acquisition of interests in existing wells, with the potential to enhance production and profitability.*
Royalty or streaming arrangements:
The company is evaluating agreements that would provide them with a share of oil and gas production, generating revenue without direct ownership.*
Exploration of new oil and gas targets:
Monumental is looking into exploring new areas within NZEC concessions, potentially uncovering previously undiscovered oil and gas reserves.*
Bidding on new tender blocks:
The company is also considering bidding on new exploration blocks, adding to its portfolio of potential oil and gas assets.Monumental plans to collaborate with NZEC on these opportunities through its recently incorporated subsidiary, Monumental Energy Corp NZ Limited. Notably, NZEC’s ownership of the Waihapa production facility, which is located less than 3 km from the potential oil workover wells, provides a fast and efficient route to market for any new discoveries or production.
Adding to the excitement, NZEC is gearing up to drill the Tariki-5 gas well in the near future. This project has garnered considerable attention due to the significant gas shortages currently faced by New Zealand. NZEC has already secured contracts to sell gas from Tariki-5 to Genesis Energy, a major New Zealand gas and electricity utility. The timing of this well is strategic as New Zealand gas prices are currently elevated due to the lack of new wells coming online in recent years.
As a significant shareholder of NZEC, holding 1.3 million shares (8.63%), Monumental has a vested interest in the success of these ventures. The company’s site visits and meetings in New Zealand, scheduled for the week of September 24th, will involve key stakeholders including drillers, contractors, legal counsel, government officials, and other relevant individuals.
Maximilian Sali, VP of Corporate Development, Director, and Founder of Monumental, expressed his enthusiasm for this new chapter in the company’s development. “As a significant shareholder of NZEC and having built a strong relationship with the team, it seemed only natural for us to take another step farther into oil and gas in this prolific basin in New Zealand and begin assessing opportunities for Monumental to generate its own revenue by partnering on certain assets and potentially bidding on new blocks with NZEC. We are excited about our upcoming site visits in New Zealand. We are also very excited that NZEC is soon to begin drilling its highly anticipated Tariki-5 gas well into a market where the prices range from 15-25 dollars NZ an MCF due to the extreme gas shortages that the country has from the lack of new wells to come online over the last decade. We look forward to seeing the progress and results made by NZEC with the drilling of Tariki-5 gas.”
This strategic move by Monumental signals its commitment to expanding its operations and capturing a share of the growing demand for oil and gas in the region. The company’s collaboration with NZEC and its focus on exploring new opportunities, including the Tariki-5 gas well, highlight its commitment to generating revenue and contributing to the energy landscape of New Zealand.
