[11/25/08 CBN Daily] Nose-diving oil price never stir China from her resolve to explore oil resources. CNOOC declared yesterday that he will invest around RMB200 billion(USD29 billion)in the next 10 to 20 years for the exploration in deepwater region of south China sea with volume of production up to 50, 000,000t/a.
Mr. Xiao, general manager of CNOOC investment relations explained, CNOOC is going to power its team and equipment in 1500-3000m deepwater E&P by elaborating its investment details as RMB15 billion for deepwater drilling equipment, RMB 6 billion for developing 3000m deepwater drilling ships and RMB 3 billion for 2500-3000m deepwater pipelay vessels
Although affected by global financial crisis, CNOOC still have a smooth cash flow and financing channel. However, it also faces the challenge of its current deepwater exploration ability which is just reach to over 500m at most. Therefore, it is seeking more international partners to jointly explore the oil and gas resources in South China Sea.
At present, CNOOC has signed the long term contract with four oil corporations as Husky, Amoco etc in the 10 blocks of South China Sea opened for the international biding. Mr. Fu Chengyu, CEO of CNOOC emphasis in August this year that exploration and production in South China Sea is about to be the hotspot in the near future. |
