New Zealand Oil & Gas announced Monday that the estimate for reserves at its Cosmos development, offshore Tunisia, has been increased by 40 percent.
NZOG said that the operator of the development – Storm Ventures International (SVI) – reported that Canadian reserves estimator, Insite, has assessed the proven and probable (2P) reserves contained within the main Cosmos Block ‘A’ at 8.8 million barrels of recoverable hydrocarbons. This represents a 40-percent increase over the 6.3 million barrels of potential resources reported by NOXG previously.
An independent assessment undertaken on behalf of NZOG by Netherland Sewell Associates has confirmed SVI’s reported 2P reserves amount within a 10 per cent margin. An earlier assessment undertaken for the joint venture by Fekete indicated potential recoverable resources of a similar volume.
A Final Investment Decision (FID) is subject to project economics being determined. It is expected in the first quarter of 2013.
The Cosmos field lies in the Gulf of Gabes off Tunisia. NZOG concluded a farm-in agreement with SVI where NZOG acquired a 40-percent interest in the Cosmos development by funding the first $19 million of SVI’s share of development cost post the joint venture making a positive final investment decision.