The New Zealand government has awarded the first offshore oil and gas exploration license after last year lifting a ban on drilling, which was imposed by the previous government that wanted to focus on a transition from hydrocarbons to electricity from low-carbon sources.
The new government, however, is focusing on energy security and has removed the ban, inviting companies to bid for its oil and gas resources. Now, Australian oil and gas firm EnZed Energy has become the first to tap New Zealand’s offshore oil and gas resources after the reversal of policy. “This permit marks a major milestone for New Zealand's energy sector and shows that without doubt, we are open for business,” said the country’s resource minister, Shane Jones.
EnZed’s permit is for 12 years in the Taranaki Basin, which, according to official data from the New Zealand government, already has 400 wells drilled across 20 oil and gas fields.
