Crude oil production up as drilling season starts

New
Zealand's production of crude oil
jumped nearly 20 percent in the quarter ending September, largely due to the
Maari field reaching full production, Energy and Resources Minister Gerry
Brownlee announced today.

The finding is one of a
number of highlights from the New Zealand
Energy Quarterly, published by the Ministry of Economic
Development.

"Increased production of
crude oil is a step in the right direction, given the massive economic benefits
of a buoyant petroleum industry," says Mr Brownlee.

"On the back of this,
production exports of crude and condensate were up 17 percent on the previous
quarter.

"With the country's most
intensive summer drilling season beginning, it's heartening to see our
production levels lifting. New Zealand's petroleum resources are
largely untapped - increasing exploration activities here is the first step in
realising the government's goal of a thriving industry."

Other key findings
include:

• Wind
  generation set a new record high, accounting for over three percent of the
  quarter's total generation. This is largely attributable to Meridian Energy's
  143 MW West Wind project and spring wind conditions;

• Electricity emissions were down six percent on the same quarter in
  2008, due to better hydro inflows and less fossil fuel generation;
  and

• Gas
  flaring was up on recent quarters, due to the large quantity being flared at the
  Maari field.

The New Zealand Energy Quarterly presents
statistics on the supply of major fuels, electricity generation and greenhouse
gas emissions, and prices to the end of the September
2009.

To read or subscribe to the
New Zealand Energy Quarterly, go to www.med.govt.nz/energy/nzeq