Maui Joint Venture Statement on Redetermination Report
The Joint Venture owners of the Maui gas field today welcomed the release of the results of the evaluation of Economic
Recoverable Reserves (ERR) by the Independent Expert (IE), Netherland Sewell and Associates Inc. of Dallas, Texas.
In August 2002, the IE was appointed by the parties to the Maui gas contract to independently assess the level of
Economic Recoverable Reserves of the Maui Field. This marks the culmination of more than12 months’ work under the
contractual re-determination process, initiated by Maui Development Limited on behalf of the Maui Joint Venture (Shell
77.5%, Todd 12.5%, OMV 10%) in December 2001.
The Independent Expert (IE) has confirmed the previously stated view of the Maui Joint Venture that improved reservoir
modelling technology, combined with recent advances in the understanding of the Maui gas reservoir, indicate that the
Economic Recoverable Reserves are significantly less than was previously thought. This information will now reduce much
of the recent uncertainty associated with the last years of the Maui contract.
The Maui gas contract initially provided for a 30 year term for the sale of gas to the Crown until June 2009. The
remaining contract term is a function of off-take from the field and the next step will be to establish a production
profile and a consequential contract end date, which is both commercially sustainable for the Maui Joint Venture owners
and which will best suit the needs of the Crown and its purchasers.
The Joint Venture will not be making any further comment until the Independent Expert’s report has been fully examined.