NZ Energy Minister David Parker and Associate Energy Minister Harry Duynhoven will announce the successful bidders at Port Southland, Invercargill, tomorrow morning.

Duynhoven yesterday said the awarding of the GSB permits would mark the beginning of the first intensive exploration of a vast area of New Zealand’s southern seas, described by oil experts as one of the most exciting petroleum frontiers in the world.

“Regardless of what is found, this exploration will benefit Southland, with exploration companies expected to spend many millions of dollars in the next few years.”

Both Parker and Duynhoven will be in Invercargill for the announcement tomorrow. Parker usually leaves such petroleum tasks to his deputy, often preferring “clean green” renewable energy assignments. Parker is also Climate Change Minister.

As well as key Southland representatives, several petroleum personnel have been invited to the GSB function.

The blocks offer involves 40 near-identical petroleum exploration permits, each about 9000 square kilometres in size, off the southeastern coast of Otago and Southland.

PetroleumNews.net has reported that only a dozen or so of the major oil companies have the financial and technical capabilities to hunt successfully for oil and gas in the GSB.

Only mega trillion cubic feet gas finds or 100 million barrel-plus oil strikes will be economic, given the harsh conditions and lack of energy infrastructure in the lower South Island.

ExxonMobil, which bought extensive seismic data over part of the GSB, and Royal Dutch Shell, are believed to be among the likely bidders, along with ConocoPhillips, ENI, Petronas and other majors, and New Zealand’s Greymouth Petroleum.

Duynhoven, when opening the GSB blocks offer last July, said it was perhaps the most exciting New Zealand energy development in almost 40 years.