HOUSTON – Royal Dutch Shell is leading an exploration project to look for natural gas off the southeast coast of New Zealand, reports Reuters. Shell will be working with oil and gas firms including Austria’s OMV and Japan’s Mitsui in the search for natural gas in the Great South basin.
This latest offshore drilling project will join US-based firm Anadarko Petroleum in New Zealand waters, which is cooperating with Australia's Origin Energy. Anadarko has so far drilled one well off the North Island's west coast.
Rob Jager, chairman of Shell New Zealand, told Reuters that, due to New Zealand’s relatively small domestic gas market, the development will most likely lead to gas exports. He also said that any Shell finds might result in a floating liquefied natural gas development.