Aug 2021: CNOOC (100%) started production from the Bozhong 26-3 oilfield expansion project in the south of the Bohai Sea in 21m of water. A new unmanned wellhead platform and power platform have been installed with 8 wells including 5 production, 2 water injection and 1 appraisal.
Aug 2021: CNOOC (100%) started production from the Luda 6-2 oil field in Liaodong Bay of the Bohai Sea in 30m of water. The field uses existing processing facilities at Suizhong 36-1 plus a a new central platform and 38 planned development wells. The project is expected to reach peak of approximately 10,000 bbls of oil per day in 2022.
Aug 2021: CNOOC (100%) announced that the Liuhua 21-2 oil field (part of the Liuhua 16-2 group) commenced production ahead of schedule in the eastern South China Sea at a water depth of 437m. A total of 8 development wells is planned with peak production of 15,000 bbls of oil per day in 2023.
Jul 2021: CNOOC (100%) started production from its Luda 29-1 oil field in Liaodong Bay of the Bohai Sea (water depth of 32m). It uses the facilities of Luda 21-2/Luda 16-3 plus a wellhead platform, with 7 wells planned (4 production, 2 water injection wells, and 1 water source). The project is expected to reach peak production of 4,440 bbls of oil per day in 2021.
Jun 2021: CNOOC (100%) started production from the Weizhou 11-2 oilfield phase II project in the Beibu Gulf at a water depth of 40m. It uses existing facilities plus a new unmanned WH with 13 wells (7 production and 6 water injection). Peak production of 6,000 bbls per day is planned for 2022.
Jun 2021: CNOOC (100%) announced that the Lingshui 17-2 gas field has commenced production in the Qiongdongnan Basin at a water depth of approx. 1,560m. The field has a new semi-submersible production platform with 11 planned production wells to reach peak production of 3.4 bcm a year and 6,751 bbls of condensate per day in 2022.
May 2021: CNOOC (100%) started gas production from the Liuhua 29-2 field in the South China Sea, 300 kms southeast of Hong Kong in a water depth of 750 m. The project shares existing production facilities at the Liwan 3-1 and other gas fields and will reach peak production of about 0.48 bcm per year.
Mar 2021: CNOOC (100%) announced that the Caofeidian 6-4 oilfield has commenced production in the midwest of Bohai in 20m of water. In addition to utilizing processing facilities of Nanpu 35-2 and Qinhuangdao 32-6 a new central platform will support 42 development wells. Peak production of 15,000 bbs of oil per day is expected in 2023.
Mar 2021: CNOOC reported proven gas reserves of over 101 bcm at the Linxing tight gas field in of the coal mining province of Shanxi at the eastern edge of Ordos Basin. The Linxing field produced around 1.8 bcm of gas in 2020 and has a target output of 2.7 bcm.
Feb 2021: CNOOC announced a large oil and gas discovery at Bozhong 13-2 in Bohai Bay in the south-western Ring of Bozhong Sag. Water depth is 23m. Oil pay zones with a total thickness of 346m were encountered.
Dec 2020: CNOOC (operator, 51%) and ConocoPhillips (49%) started production from the Penglai 25-6 oilfield area 3 in the south-central Bohai Sea, at a water depth of 27m. It uses existing processing facilities and a new WH platform eventually from 38 production and 20 water injection wells. Peak production of 11,511 bbls of oil per day is planned for 2023.
Nov 2020: CNOOC (25%, shallow water operator) and Husky (75%) started production from the Liuhua 29-1 gas field in the South China Sea, NE of the Liwan 3-1 gas field. Water depth is 723m. Seven wells will use the facilities of the Liuhua 34-2 and Liwan 3-1 gas fields. Peak production of 0.64 bcm a year is expected in 2022.
Oct 2020: CNOOC (100%) started production from the Bozhong 19-6 gas/condensate pilot area development in central Bohai with a water depth of 23m. It comprises a new WH platform with 8 development wells tied back to processing facilities at Bozhong 13-1. Peak production is planned to be 1 bcm a year and 5.27 thousand bbls of condensate per day.
Sep 2020: CNOOC (100%) started production from the Jinzhou 25-1, 6/11 area in Liaodong Bay in the Bohai Gulf at a water depth of 23m. In addition to using existing facilities at Jinzhou 25-1 and 25-1S, the project has an 8-legged WH platform and will have 9 production wells and 10 injection wells. Peak production of 16,500 bbls of oil per day is planned for 2023.
Sep 2020: CNOOC (100%) announced that the Liuhua 16-2 oilfield/ 20-2 oilfield joint development project has commenced production. It is located in the Eastern South China Sea in a water depth of 410m and uses an FPSO and eventually 26 subsea development wells. Peak production of 72,800 bbls per day is planned for 2022.
Sep 2020: CNOOC (100%) announced that the Nanbao 35-2 oilfield S1 area has commenced production in central Bohai with a water depth of 17m. It includes an unmanned wellhead platform and 3 development wells. Peak production of 1,800 bbls of oil per day will be reached in 2021.
Aug 2020: Husky (75%) and CNOOC (operator, 25%) are near startup of the offshore Liuhua 29-1 field (Liwan Gas Project). The 7th well was drilled in October 2019 and tieback began in February. The US$6.5 bn Liwan project has 3 gas fields (Liwan 3-1, Liuhua 34-2 and Liuhua 29-1).
Jul 2020: CNOOC (operator, 100%) commenced production at Luda 21-2/16-3 regional development project in Liaodong Bay of the Bohai Sea. Water depth is 25 m. The project has 3 WH platforms and one production platform with 69 development wells planned. Peak production of 25,600 bbls of oil per day is expected in 2022.
Jun 2020: CNOOC has made a gas and condensate discovery at Huizhou 26-6 in the eastern South China Sea Pearl River Mouth Basin (Huizhou Sag in Zhu1 Depression). The water depth is 113m. It reportedly marks a significant exploration breakthrough for the Paleogene and buried hill complex play.
Jun 2020: CNOOC (100%) started production from the Qinhuangdao 33-1S field phase I in the Bohai Basin in a water depth of 21m. A WH platform with 9 production and 4 water injection wells ties into the Qinhuangdao 33-1 and 32-6 fields. Peak production of 6,000 bbls of oil per day is planned for 2021.
May 2020: CNOOC has issued an Announcement of Notification for Bidding Blocks Offshore China comprising 15 exploration blocks in an area of 9,453 sq kms. They are located in Bohai Bay (1), the East Sea Basin (1), the Pearl River Mouth Basin (10), the Qiongdongnan Basin and the Yinggehai Basin (1). The closing date is October 31, 2020.
May 2020: CNOOC (operator, 51%) and ConocoPhillips (49%) announced the Penglai 19-3 oilfield area 4 adjustment/Penglai 19-9 oilfield phase 2 project, in Bohai with a water depth of 28m, commenced production. A new WH platform has been built with 47 wells tied back to processing facilities at Penglai 19-3. Peak production of 15,681 bbls per day is planned for 2022.
Mar 2020: CNOOC made an oil discovery in Laizhou Bay (Laibei lower uplift) in the southern Bohai Basin. The Kenli 6-1 well was drilled and completed at a depth of 1,596m and encountered oil pay zones with a total thickness of 20 m. The well produced 1,178 bbls of oil per day on test.
Feb 2020: CNOOC started production from the Bozhong 34-9 oil field in the Bohai Sea in a water depth of 18m. It is tied into the Kenli oilfield and has a central platform and WH platform. CNOOC will drill 57 wells (38 producers and 19 water injectors). Production peak is planned at 22,500 bbls per day in 2022.
Nov 2019: CNOOC (operator) has started production from the CFD 11-1/11-6 oilfield comprehensive adjustment project in the Bohai Sea in a water depth of around 25m. The project includes 2 new central processing platforms and uses existing facilities in the Caofeidian oil field (6 wellhead platforms and 1 FPSO). A total of 89 producing wells are planned with peak production of 28,700 bbls of oil per day in 2021.
Feb 2019: PetroChina has achieved daily output of 733 bbls oil from a shale reservoir in the Jimsar field in Xinjiang province. Jimsar is China’s first shale oil find.
Jan 2019: CNOOC (operator, 1000%) started oil production from the Huizhou 32-5 comprehensive adjustment/Huizhou 33-1 development project in the South China Sea in 115m of water. The project uses existing facilities of Huizhou 25-8 plus a drilling and production platform. Peak production of 19,200 bbls of oil per day is planned for 2020.
Jan 2019: PetroChina (parent company CNPC) pumped 4.27 bcm of shale gas in the southwestern province of Sichuan in 2018, up 40% from 2017. This compares with 6 Bcm pumped by Sinopec from its Fuling Block in the Chongqing region, also in the Sichuan Basin.
Dec 2018: CNOOC has signed strategic cooperation agreements with Chevron, ConocoPhillips, Equinor, Husky, Kufpec, Roc Oil, Shell, SK Innovation, and Total. All cover areas in the Pearl River Mouth basin.
Dec 2018: PetroChina tested gas and condensate in an exploration well in the Tarim basin, Kuche trough in well Zhongqiu-1. The well is located in an untapped region of Xinjiang Province.
Nov 2018: CNPC announced that the newly discovered Mahu oil field in the Junggar basin of Xinjiang Province is expected to produce 60,000 bbls of oil per day by 2021 tripling its output.
Sep 2018: CNOOC (51%, operator) and ConocoPhillips (49%) announced start up of the Penglai 19-3 1/3/8/9 comprehensive adjustment project in the south central Bohai Sea in 30m of water. It is expected to reach peak production of around 58,700 bbls of oil per day in 2020.
Mar 2018: CNOOC (operator, 100%) announced that the Weizhou 6-13 oilfield in the Beibu Gulf has commenced production ahead of schedule at a water depth of 35m. The field is expected to reach peak output of 9,400 bbls of oil per day in 2019.
Mar 2018: Husky has sanctioned Liuhua 29-1, the 3rd deepwater field serving the Liwan gas project in the South China Sea. Production will be tied into the Liwan subsea infrastructure and the onshore Gaolan Gas Plant with first gas anticipated in 2021.
Feb 2018: SK Innovation (operator, 80%) with CNOOC (20%) announced an oil discovery in the PRMB Block 17/03 in the South China Sea. SK signed for its block in Feb 2015 and drilled the well in Dec 2017, finding 34.8m of net oil pay which tested 3,750 bbls per day. Appraisal wells are planned.
Dec 2017: CNOOC has made what it says is a mid-sized oil and gas discovery Bozhong 19-6 in Bohai Bay in the southwest sag of Bozhong at a water depth of 22m.
Nov 2017: CNOOC confirmed that the Weizhou 12-2 oil field phase II project in the Beibu Gulf in the South China Sea has commenced production. The project is expected to reach peak output of 11,800 bbls of oil per day in 2018.
Apr 2017: CNOOC announced that 22 open blocks in the South China Sea can be bid for by international oil companies with data for purchase available until June. The tender closes in September. CNOOC has also signed a PSC with Husky Energy (operator) for Block 16/25 in the Pearl River Mouth Basin in a water depth of 100m.
Jan 2017: CNOOC (operator, 100%) started production from the Enping 23-1 oil field in the Pearl River Mouth Basin in a water depth of 90m. The development uses the facilities of the Enping 24-2 oilfield and will link with Enping 23-2 and Enping 23-7 on one platform with 13 producing wells.
Jan 2017: CNOOC (operator, 51%) and ConocoPhillips (49%) have commenced production at the Penglai 19-9 comprehensive adjustment project in the Bohai Gulf in 30m of water. The field uses the Penglai 19-3 oil field facilities plus an additional wellhead platform and will have 57 producing wells. Peak production of 13,000 bbls per day is planned for 2019.
Oct 2016: CNOOC reported that oil and gas output in Q3 dropped by 7.7% and sales revenues dropped by more than 15%. During the period, the company made one new discovery and drilled ten appraisal wells. The company has continued to lower costs, enhance efficiency and cut capital expenditure.
Sep 2016: CNOOC (operator, 100%) reports that the Weizhou 6-9/6-10 comprehensive adjustment project in the Beibu Gulf has started production in a water depth of 35 meters. The field now fully utilises existing facilities and has an extra wellhead platform. The project will increase output from 850 bbls per day from one well to 3,800 bbls of oil per day in 2018.
Aug 2016: Husky (operator deep water, 49%) and CNOOC (51%, operator, shallow water) have received a price adjustment of gas from the offshore Liwan 3-1 and Liuhua 34-2 fields. They now plan to tie-in the Liuhua 29-1 gas field into the Liwan infrastructure.
Apr 2016: CNOOC (100%) announced that the Panyu 11-5 oilfield in the Pearl River Mouth Basin of the South China Sea has commenced production. The field uses existing facilities of Panyu 5-1 tied into 3 horizontal wells. It is expected to reach peak production of 3,900 bbls per day by the end of 2016.
Feb 2016: CNOOC has tapped the country's first ultra deep water (>1500m) gas discovery in the northwestern part of the South China Sea.The Lingshui 18-1-1 exploration well was spudded in October 2015 in a water depth of 1,688m. It is located next to the Lingshui 17-2 gas field.
Feb 2016: China issued a tender offering 18 offshore blocks for exploration to foreign companies in cooperation with CNOOC. Three are located in Bohai Bay, 1 in the South Yellow Sea, 9 in the Pearl River Mouth basin, 1 in the Yinggehai basin and 4 in the Qiong Dongnan basin.
Feb 2016: Sinopec will shut 4 oil fields at Shengli in Shandong in 2016 (Xiaoying, Yihezhuang, Taoerhe and Qiaozhuang). The Shengli field made a loss in 2015 due to low oil prices. Production at Shengli and Daqing, 2 of China’s largest fields, are both falling.
Feb 2016: CNOOC announced that the Weizhou 12-2 oilfield and the Weizhou 11-4 North oilfield Phase II projects have started production. W12-2 lies in the Beibu Gulf Basin in a water depth of 36m and includes W12-2, W12-1 West and W11-2 North. Weizhou 11-4 North has a water depth of 40m.
Jan 2016: CNOOC (100%) announced that the Kenli 10-4 oilfield to the south of Bohai Bay in a water depth of 15m has started production. The field has a wellhead platform and 6 wells expected to reach its designed peak of 9,600 bbbls per day in 2016.
Jan 2016: PetroChina (51%) and Chevron (operator, 49%) began production at the Luojiazhai sour gas field in the Sichuan basin at the end of 2015. The project will have an annual production capacity of 3 bcm. Luojiazhai is part of the US$6.4 bn Chuanbeidong project.
Jan 2016: Sinopec discovered oil and gas in well Wei-4 in the Beibu Gulf 110 kms SW of Beihai. The well took 29 days to drill. China's offshore oil and gas activities are dominated by CNOOC although Sinopec has discovered gas fields in the East China Sea.
Sep 2015: Sinopec and PetroChina have reduced gas output from the conventional Puguang and Anyue fields in the Sichuan Basin as demand growth slows. Puguang competes with production at the Fuling shale gas project and the nearby conventional Yuanba gas field. Hundreds of shale gas wells are planned in the Sichuan basin in 2015.
Jul 2015: CNOOC (100%) announced that the Luda 10-1 adjustment project in Liaodong Bay of the Bohai Gulf has commenced production in 30m of water. Currently 13 wells produce 3,300 bbls of oil per day with a peak of 6,000 bbls per day planned.
Jul 2015: CNOOC (operator, 100%) announced that its Bozhong 28/34 adjustment project has started production in the Bohai Sea, with a water depth of 22m. It consists of the Bozhong 28-2S, Bozhong 34-1 and Bozhong 34-2/4 oil fields with 6 platforms and 79 producing wells.
Jun 2015: CNOOC (operator, 100%) announced that the Dongfang 1-1 gas field Phase I adjustment project in the Yinggehai Basin has started productionat a water depth of 70m. The project has one wellhead platform and 7 producing wells.
May 2015: CNOOC has discovered oil in well Liuhua (LH) 20-2 in the Northern Slope Belt of the Baiyun Sag in the Pearl River Mouth Basin of the South China Sea. The water depth is 390m. The well tested around 8,000 bbls per day.
Apr 2015: CNOOC (100%) commenced production at the Kenli 10-1 oil field in 17m of water in the Bohai Sea. Facilities include a central processing and 2 WH platforms with 70 wells. There are now 12 wells producing. Plateau production is planned at 36,000 bbls per day in 2016.
Mar 2015: CNOOC (operator, 75.5%) announced that its Qinhuangdao 32-6 adjustment project in the central north of Bohai Bay with a water depth of 20m has started production. Facilities include 4 platforms and 99 producing wells and the project is expected to reach peak production of 36,000 bbls per day in 2015. Chevron holds a 24.5% interest.
Feb 2015: CNOOC (100%) announced that its Jinzhou 9-3 adjustment project, comprising a CP platform, a WH platform and 21 producing wells, has commenced production in North Liaodong Bay in Bohai in a water depth of around 8m. There are currently 15 wells.
Jan 2015: Gas production rose over 10% in 2014 to around 132 bcm. Shale gas, largely from Sinopec’s Fuling project, was at 1.3 bcm in the year whilst coal bed methane production grew 23% to 3.6 bcm.
Jan 2015: CNOOC has made a new gas discovery at the Lingshui 25-1 prospect in the northeast of the Ledong Sag in the Qiongdongnan Basin of the South China Sea. The water depth is 980m. The well encountered a gas and condensate pay zone with a thickness of 73m.
Dec 2014: Sinopec started a processing plant that treats high sulphur gas from the Yuanba field in Sichuan. It will be able to produce 3.4 bcm by end of 2015 from the field which has estimated reserves of 219 bcm at an average depth of 6,700m. Yuanba is Sinopec's second development of a high-sulphur gas field in Sichuan after Puguang.
Dec 2014: Primeline has started commercial production the LS36-1 gas field in Block 25/34 after agreement that trial production has been completed . The offshore LS36-1 field has been in trial production since July 2014.
Dec 2014: Husky (operator, 51%) and CNOOC (49%) have started production at the Liuhua 34-2 gas field in the South China Sea; the second field brought online at the Liwan Gas Project this year. Liwan 3-1 began production in March. Liuhua 34-2 consists of 1 producing gas well tied back to Liwan 3-1.
Dec 2014: CNOOC (100%) started production at the Panyu 34-1/35-1/35-2 project in the Pearl River Mouth Basin of the South China Sea in a water up to 338m. The 3 gas fields have 1 platform, two subsea systems and 13 wells. Peak output in 2015 will be 1.5 bcm per year.
Nov 2014: CNOOC (100%) began production from the Huizhou 25-8 and Xijiang 24-3 fields in the Xijiang 24-1 Joint Project in the Pearl River Mouth Basin in 100m of water. Facilities include one FSPO, 2 platforms and 29 wells. Four wells currently produce 6,300 bbls of oil per day. Peak is expected at 33,000 bbls per day by 2016. Xijiang 24-3 was first produced in 1994.
Nov 2014: CNOOC has made a mid-sized oil discovery at Lufeng 14-4 in the Lufeng Sag in the Pearl River Mouth Basin of the South China Sea at a water depth of 145m. The well produced 1,320 bbls per day. CNOOC reported success at Jinzhou 23-2 in the Bohai Basin in October and at Lingshui 17-2 in deep waters off Hainan Island in September.
Oct 2014: RH Petrogas announced the Overall Development Plan for the Yongping Oilfield, in Fuyu 1 Block, Songliao Basin, Jilin Province, has received approval. The Plan allows it to operate and drill up to 1,008 shallow wells over 5 years which will produce 14.6 mm bbls of oil. Production will commence in early 2015 and ramped up progressively.
Oct 2014: CNOOC (100%) has announced that the Enping 24-2 oilfield in the Pearl River Mouth Basin has started production in a water depth of 90m. The facilities include a drilling and production platform, an FPSO and 17 producing wells. Currently, 2 wells produce 8,000 bbls per day with peak production of 40,000 bbls per day planned for 2017.
Sep 2014: CNOOC has issued a tender inviting foreign firms to bid for 33 oil and gas blocks covering an area of 126,108 sq kms. Of the blocks offered, 25 are located in the South China Sea, 4 in the Yellow Sea and 4 in the East China Sea. A data room is available to end December 2014 and the closing date for bids is end April 2015.
Aug 2014: CNOOC (100%) has started production from the Wenchang 13-6 oil field in the west of the Pearl River Mouth Basin in a water depth of 120 m. Facilities include one wellhead platform and 12 producing wells, linked by pipeline to other Wenchang fields.
Aug 2014: CNOOC has taken delivery of an FPSO for use on the Enping 24-2 oil field in the eastern South China Sea in 90m of water. Named Hai Yang Shi You 118, it has a processing capacity of 56,000 bbls of oil per day. First production is targeted for later in 2014.
Aug 2014: China halved the volume of shale gas it expects to produce by 2020. Four years of drilling have yielded just one large find, Fuling, within the proven gas province of SW Sichuan. China aims to pump 30 bcm of shale gas by 2020 whilst China's tight gas output may hit 80 bcm (GS notes: optimistic) double its estimated output of 40 bcm in 2013.
Aug 2014: CNOOC (100%) announced the Panyu 10-2/5/8 project in the Pearl River Mouth Basin of the South China Sea in 100m of water has come onstream. The project comprises 3 oilfields; Panyu 10-2, 10-5 and 10-8. Infrastructure includes 1 wellhead platform and 9 producing wells along with the use of some facilities at the Panyu 4-2 oilfield. It is expected to reach peak of 13,000 bbls per day in 2015.
Jul 2014: CNOOC and Primeline have started trial gas production at the LS36-1 field in the East China Sea. The LS36-1 fixed production platform with 4 wells in 84m of water is connected to the provincial gas grid via a subsea pipeline and onshore processing terminal. Operator, CNOOC has 51% with Primeline Energy and Primeline Petroleum Corporation holding the remaining 36.75% and 12.25%.
Jul 2014: Sinopec said that the Ministry of Land and Resources has verified proven reserves of nearly 107 bcm in the Fuling shale gas field in Chongqing municipality in the southwest. Daily output from 29 wells equals 3.2 mmcm.
Jun 2014: AAG announced that the combined gross production of coal bed methane from its Panzhuang and Mabi concessions in Shanxi Province surpassed 1 mm cubic metres per day. Production at the Panzhuang concession has grown 50% each year since 2011. Mabi has a first phase commercial capacity target of 1 bcm per year, with future commercial production expected to reach 3 bcm per year.
May 2014: CNOOC (operator, 51%) and Primeline (49%) have received final approval for development of the LS36-1 gas field. During the last 3 years the platform, development wells, subsea pipeline and processing terminal have been completed. Remaining work includes the laying of the last 3 kms of the gas sales pipeline, connection to the provincial gas grid and final commissioning by Q3 2014.
May 2014: CNOOC (operator, 100%) announced that the Kenli 3-2 oilfields have started production. Located in the southern Bohai Sea, in a water depth of 20m, they comprise Kenli 3-2, Bozhong 34-6/7 and the southern part of Bozhong 29-4 and Bozhong 35-2. Production facilities include 7 platforms and 1 onshore processing terminal with peak production estimated at 35,000 bbls per day.
Apr 2014: Sinopec will start producing from the Yuanba sour gas field in the Sichuan basin by the end of 2014 with a processing plant yielding 3.4 bcm each year. Yuanba is Sinopec's second sour gas project in Sichuan after its US$10 bn Puguang field which went onstream in 2010. First output from a nearby $6.4 bn sour gas field operated by Chevron has been delayed due to disagreements with PetroChina.
Mar 2014: Husky (49%) and CNOOC (51%) have commenced production at the US$5.6 bn deep water Liwan gas project in the South China Sea, 300 kms southeast of Hong Kong. The project comprises 3 fields (Liwan 3-1, Liuhua 34-2 and Liuhua 29-1) sharing a subsea production system and onshore processing plant. Liwan 3-1 is first onstream to be followed by Liuhua 34-2 in the second half of 2014. Yearly gas sales are expected to rise towards 5 bcm when Liuhua 29-1 field is produced in 2017.
Mar 2014: CNOOC has made a mid-sized gas discovery called Lingshui 17-2 in the deep water Qiongdongnan Basin of the South China Sea. Lingshui 17-2 is located in the east Lingshui Sag with a water depth of 1,450m. The well encountered a 55m gas reservoir.
Feb 2014: PetroChina discovered an extra 440 bcm of recoverable gas in the Moxi block of the An'yue field in the Sichuan basin; one of China's largest discoveries in a decade. It is building a facility to pump 4 bcm a year under phase-1, followed by 6 bcm per year in phase-2. China's largest gas find in 2001 at the Sulige field in the Ordos basin, operated by PetroChina, held gas reserves of 534 bcm in 2003.
Jan 2014: Kufpec has to acquired an additional 15.3% in the Yacheng 13-1 gas field from BP. The field was discovered in 1983 in 90m of water, 100 kms south of Hainan Island. It is the largest gas field in China. Production started in 1996 mainly supplying gas to Hong Kong via a 780 km pipeline. The interests are now Kufpec (30%) and CNOOC (operator, 70%).
Jan 2014: CNOOC announced that the Liuhua 19-5 gas field in the Pearl River Mouth Basin of the South China Sea has begun production in a water depth of 185m. The two wells on the field use the Panyu 30-1 gas field facilities. CNOOC holds 100%.
Jan 2014: China hopes to double total output of oil and gas by 2030 (GS notes: this seems optimistic). In 2013 oil production rose by 1.8% while while gas output rose 9.8% including 3 bcm of coal bed methane and 0.2 bcm of shale gas. Production of unconventional gas is projected to account for a third of China's oil and gas production in 2030.
Dec 2013: Chevron’s US$6.4 bn Chuandongbei sour gas project is facing further delays. The project is now not expected to deliver first gas until the second half of 2014. Chevron is operator with 49%, along with PetroChina (51%). The full development will include two sour gas plants processing up to 176 bcm of gas from 5 fields.
Oct 2013: Sinopec’s Jianghan unit is pumping shale gas in commercial quantities from 6 out of 30 test wells in the Fuling area in the Sichuan Basin. Another 50 wells are planned for commercial development in 2014. The wells are now producing at a daily combined rate of over 1 mm cubic metres with a target of 5 bcm per year by the end of 2015, requiring around 170 wells.
Sep 2013: CNOOC has announced that Wenchang 19-1 North and Weizhou 12-8 West oil fields have commenced production. Wenchang is 100% owned by CNOOC, in the western Pearl River Mouth Basin with a water depth of 125m and 3 wells. Weizhou 12-8 West oil is in the Beibu Gulf with a water depth of 34m and 5 wells. CNOOC own 51% with Roc, Horizon and Oil Australia.
Oct 2013: CNOOC has issued a tender to invite foreign firms to bid for 25 blocks, including 17 in the South China Sea, three in the East China Sea and five in the Yellow and Bohai Seas.
Sep 2013: China is struggling to stimulate investment in shale gas. The cost of drilling and low returns is deterring activity amongst new companies involved. The government will have to turn back to PetroChina and Sinopec who have drilled around 130 shale gas wells of which only a few are producing at 40,000 cubic metres a day, the break-even level for each US$1.5 mm well. China would need around 1800 wells to achieve its 6.5 bcm target by 2015 but nowhere near this number is expected.
Aug 2013: Roc Oil announced that Beibu Gulf Block 22/12 development drilling has been completed with 5 wells on the WZ 12-8 West field. Production will begin in 3Q 2013 at 15,000 bbls of oil per day from the 15 well project. Partners are CNOOC (51% and operator), Roc Oil (19.6%), Horizon Oil (26.95%) and Oil Australia (2.45%).
Jul 2013: CNOOC announced 2 exploration discoveries, Bozhong 8-4 and Kenli 10-4 in Bohai Bay. Bozhong 8-4 lies on the west slope of the Bozhong Sag in a water depth of 28m. Oil production on test was 660 bbls per day. Kenli 10-4 lies on the south slope of Laizhou Bay Sag in a water depth of 15m. Testing achieved 2,800 bbls per day.
Jul 2013: Hess Corp has signed a PSC with PetroChina to explore and develop the 800 sq km Malang block in the Santanghu basin in the NW region of Xinjiang. This is China's first joint agreement to develop a shale oil block. Chinese companies have so far drilled about 20 exploratory shale oil wells, mostly in northern China's Ordos basin. In March Shell signed the country's first shale gas PSC with PetroChina, to develop a block in Sichuan.
Jun 2013: CNOOC announced that the offshore Wenchang 8-3E oil field has commenced production. The field has 4 producing wells and is located in the western Pearl River Mouth Basin in water depths of 115m. CNOOC is the operator with 100%.
Apr 2013: CNOOC announced that the Weizhou 6-12 oil field has commenced production. Weizhou 6-12 is located in the Beibu Gulf Basin in the north part of the South China Sea with a water depth of 29m. It has 10 producing wells. CNOOC is operator and holds 51% along with Roc Oil, Horizon Oil and Oil Australia.
Feb 2013: Husky expects first gas from the Liwan deep water project in the South China Sea in early 2014. All development wells are drilled and tested and final well completion work is in progress. The jacket for the shallow-water central platform, which is the largest ever installed offshore Asia, is in place the topsides are ready for floatover. More than 80% of the project has been completed, including construction of the onshore gas plant.
Feb 2013: ConocoPhillips will gradually restart the Penglai 19-3 field in northern Bohai Bay. China's largest offshore oilfield was ordered to be shut in during September 2011 following an oil spill. ConocoPhillips (operator with 49%) and CNOOC (51%) have agreed to pay US$267 mm in compensation for the spill.
Nov 2012: CNOOC is to begin commercial production at two offshore oil fields, Weizhou 12-8 and Weizhou 6-12, in the Beibu Gulf 60 kms from the southern coast of China. CNOOC is operator and holds 51%. Roc Oil, which led exploration has 19.6%, with Horizon Oil, Petsec Petroleum and Oil Australia owning the remainder. The fields combined have an estimated 24 mm bbls of proven plus probable reserves of oil.
Oct 2012: China's Ministry of Land and Resources (MLR) received 152 bids for 19 of 20 shale gas blocks. This is the first time that China has opened its tender process to foreign companies. Of the blocks, 5 lie in Guizhou, 3 in Chongqing, 5 in Hunan, 2 in Hubei, 1 in Jiangxi, 1 in Anhui, 1 in Zhejiang and 2 in Henan. The blocks span 20,002 sq kms. Bidding firms must already hold oil and gas licences and permits will be awarded for 3 year terms.
Oct 2012: China is unlikely to match the shale gas boom of the USA despite low drilling costs. It plans to increase shale gas output from negligible amounts in 2012 to 6.5 bcm by 2015 and over 60 bcm by 2020 (Globalshift notes: targets are unlikely to be achieved at current drilling levels). A well costs US$1.5 mm (cf. $5 mm in the Eagle Ford in Texas). A tender for 20 blocks in Sept 2011 allowed foreign companies to participate. The first round in June 2011 was limited to state companies. In March, Shell signed the first major PSC (with CNPC) in the Sichuan Basin.
Aug 2012: CNOOC is making a second batch of 26 offshore blocks available for development with foreign partners. It offered a first batch of nine blocks in June. The blocks, mostly in shallow water, are in Bohai Bay, the East China Sea and the South China Sea. Vietnam may protest the offering of any blocks located south of Hainan island after PetroVietnam, urged foreign companies to refrain from bidding on the earlier nine blocks in this area.