New Offshore Energy Interest Signals Fresh Momentum for NZ Exploration

The proposed permit covers roughly 645 square kilometres of offshore territory located between northern Taranaki and southern Waikato within New Zealand’s territorial waters.

New Zealand's offshore petroleum sector is drawing fresh investor attention, with Sunda Energy seeking permission to explore a new offshore area in the northern Taranaki Basin. The application marks another step in the Government's push to revive energy exploration after lifting the ban on new offshore oil and gas exploration permits.

Resources Minister Shane Jones said the latest application reflects growing confidence in New Zealand's resource potential and shows that international companies are once again considering the country as a place to invest. He noted that Sunda Energy could become a new player in the local petroleum industry, bringing fresh expertise, investment and greater competition to the sector.

New Zealand Petroleum and Minerals (NZP&M) has opened a three-month competitive application process for the proposed exploration permit, giving other interested companies the chance to submit competing bids before the deadline on 14 October 2026.

Exploration Plan Focuses on Proven Offshore Area

The proposed permit covers roughly 645 square kilometres of offshore territory located between northern Taranaki and southern Waikato within New Zealand's territorial waters. The area is not an untouched frontier, as previous exploration identified the Awakino gas condensate discovery along with several other promising geological prospects.

Sunda Energy plans to carry out detailed geological and seismic studies to gain a better understanding of the area's resource potential. The proposed work programme includes reprocessing existing three-dimensional seismic data and identifying locations that could support future drilling.

The company entered the New Zealand market earlier this year through an agreement to acquire Matahio Energy's local assets, including the producing Cheal, Cheal East and Sidewinder fields, along with the Puka exploration permit. That transaction is still awaiting ministerial approval while NZP&M continues its assessment of the required applications.

Government Sees Exploration as Part of Energy Security Strategy

The latest proposal is the sixth petroleum prospecting or exploration permit application accepted since policy changes reopened offshore exploration opportunities. According to the Government, the growing number of applications covers a mix of frontier exploration areas and more mature prospects, suggesting interest across different parts of the petroleum sector.

Jones said exploration remains an essential first step in determining whether offshore resources can contribute to New Zealand's future energy supply. He believes responsible exploration can support energy security while also creating skilled jobs, encouraging regional investment and strengthening the wider economy.

The competitive application process will assess all proposals under the Minerals Programme for Petroleum 2025 and the Crown Minerals Act. Officials will examine each applicant's technical expertise, financial strength, environmental management systems, health and safety performance, compliance history and the quality of the proposed exploration programme before deciding whether a permit should be granted.

The Government expects the evaluation process to ensure that only applicants with the necessary capability and commitment are selected to carry out exploration activities in New Zealand's offshore waters.