Monumental Energy Announces Perforations Have Commenced at the Waihapa H1 Well
Monumental Energy transitions from explorer to producer as New Zealand "bypass pay" strategy delivers immediate high-margin cash flow.
The most recent news (March 10, 2026) confirms that Monumental has commenced perforation operations at the Waihapa H1 well. This follows the successful results from the Ngaere-1 well (announced March 5, 2026), which produced 3,000 barrels of oil in its first two weeks and is currently stabilizing at 120 barrels of oil per day (bopd). The Waihapa H1 well targets 60 meters of "bypass pay" in the Mount Messenger formation—the same zone that proved successful at Ngaere-1. Crucially, Waihapa H1 is located adjacent to existing production facilities, allowing for immediate gas monetization in a high-price environment (US$10–$15/MCF).
The impact is Material - Positive. - Revenue Generation: The transition from a cash-burning explorer to a producer is a fundamental shift. At 120 bopd (Ngaere-1) plus existing Copper Moki production (~125 bopd), the company is approaching 250 bopd gross. - Proof of Concept: The "bypass pay" strategy—identifying missed zones in old wells—is working. This is a low-cap-ex, high-margin model compared to drilling new wells. - Infrastructure Advantage: Because these are workovers of existing wells connected to the Waihapa facility, the "time-to-revenue" is exceptionally short. - Macro Tailwinds: New Zealand’s gas shortage provides a floor for pricing that is significantly higher than North American benchmarks, insulating the company from global volatility.
Monumental Energy has pivoted from lithium exploration in Chile (currently impaired/Force Majeure) to oil and gas production in the Taranaki Basin, New Zealand. - Flagship Project: The Waihapa/Ngaere Field and Copper Moki Wells. - Strategy: Partnering with New Zealand Energy Corp (NZEC) to fund workovers of existing wells in exchange for high initial royalties (75% until payback, 25% thereafter).