The army and air force are invading the Waitaki Valley, Mackenzie Basin and Waimate, with more than 750 personnel involved in the biggest military exercise in the South Island for four years.
Preparations for Operation Black Templar started with preparatory work at Burnham military camp on Tuesday and yesterday.
Up to 650 personnel will start moving into the Waimate and Tekapo areas from today.
The Royal New Zealand Air Force is simultaneously running Exercise Steel Talon, which will involve more than 100 personnel and six Iroquois helicopters operating out of Tekapo.
The main operational base for the army exercise will be the Tekapo military camp, but soldiers will range over an area from Waimate to Lake Pukaki.
Burnham spokeswoman Jane Mortlock said the operation would also involve Canterbury University journalism students embedded as war correspondents, to enhance realism.
The aim was to create the sort of environment New Zealand defence forces would be in overseas, particularly Afghanistan.
The commanding officer of the 2/1 Battalion, Royal New Zealand Infantry Regiment, Lieutenant-colonel Hugh McAslan, yesterday said the operation was an opportunity to test new concepts and equipment to enhance both light infantry and command and control capabilities.
The operation will run for 16 days until October 22 and will involve considerable movement of military vehicles on roads throughout South Canterbury, the Waitaki Valley and Mackenzie Basin.
From today, personnel will start to arrive at Tekapo, Knottingly Park and Charnwood Forest, both near Waimate.
On October 13 and 14, they will be at Campbell Park Estate, near Kurow, and from October 18 to 20 in the Hakataramea Valley.
Lt-col McAslan said soldiers needed to be able to fight across environments.
RNZAF detachment commander for the air force exercise, Flight Lieutenant Ben Stephens, said Steel Talon was the squadron's major tactical flying exercise of the year.
"For aircrew this means the opportunity to train in tactical operations, using a number of aircraft and flying as low as 15 metres, while ground crews will be practising maintenance support from a remote location," he said.
The first three days of the exercise will deploy three Iroquois helicopters alongside soldiers on the army operation.
The remaining three helicopters will arrive in Tekapo on October 11.
Flying operations will be conducted mainly over the Mackenzie Basin, around Omarama airfield, Otematata, Tekapo and Lake Pukaki and will include some night flying.
The helicopters will be fitted with Mag58 door-mounted machineguns and firing banks during the exercise.
There will be no live firing.
