New Zealand awards first offshore drilling license since ban lifted

July 29, 2026

New Zealand's government awarded the first since lifting a drilling ban. Australian firm EnZed Energy received the permit.

The previous government imposed the ban to focus on shifting from hydrocarbons to low-carbon electricity. The current government lifted it, citing energy security, and invited companies to bid for oil and gas resources.

EnZed's permit runs for 12 years in the , a region that already has 400 wells drilled across 20 oil and gas fields but remains underexploited.

Gas production in New Zealand has fallen sharply — averaging about 215 million cubic meters per month last year, down from 415 million in 2017. The country, once self-sufficient in gas, now relies on imports.

The government has announced plans to build an LNG import terminal, aiming for operations as early as next year, or in 2028.