The New Zealand subsidiary of Malaysian energy company Tamarind Resources has gone into voluntary administration due to an “unsustainable financial position.”
Tamarind is 100% owner and operator of three oil fields in the offshore Taranaki basin off the North Island of New Zealand – Tui, Amoku, and Pateke.
The company specializes in buying oil fields late in their production life.
Tui area was previously operated by AWE Ltd., Sydney, until Tamarind took over operatorship in March 2017. New Zealand Oil and Gas sold its 27.5% interest in Tui to Tarmarind in 2017 for NZ$1.18 million.
The Tui fields began production in July 2007 and produce from four horizontal wells connected to the floating production, storage, and offtake vessel Umuroa which has a capacity to store 700,000 bbl of stabilized crude oil. Oil is exported direct from the FPSO.
Tamarind terminated a contract for the Umuroa, owned by BW Offshore, in October.
The appointment of administrators places a moratorium on the payment of creditors. The administrators will now propose a deed of arrangement to be voted on by all creditors. Administrators will directly control Tamarind New Zealand’s assets, operations, books, and records during the restructure.
It is unclear how the administration will influence infill drilling plans for Tui fields. Drilling was abandoned in September after the first of three planned wells to extend the life of the fields was successful.