CNOOC to explore the depths

09:18, May 25, 2011      

Email | Print | Subscribe | Comments | Forum 


The launching ceremony on Monday in Shanghai for China National Offshore Oil Corp's drilling platform 981. It is nearing completion after more than three years of construction and is expected to begin operations in the third quarter of this year. Tu Zhili / for China Daily

China has taken a step forward in its efforts to explore deep-water oil and gas, with the announcement that two advanced pieces of deep-water equipment capable of operating at depths of 3,000 meters are near completion.

The sixth-generation deepwater semi-submersible drilling unit will begin commercial operations in the South China Sea in the second half of this year, according to Wang Yilin, chairman of China National Offshore Oil Corp (CNOOC), the main designer and builder of the drilling platform.

The drilling unit, named 981, is nearing completion after more than three years of construction in Shanghai, the company said on Monday.

The 136-meter-high drilling platform, which cost CNOOC 6 billion yuan ($923 million), is expected to begin commercial operations in the northern South China Sea in the third quarter, following testing that will begin within days in Zhoushan city in Zhejiang province, Jin Xiaojian, general manger of CNOOC's Engineering Department, said earlier.

The unit was co-designed and constructed with China State Shipbuilding Corp, and will be operated by China Oilfield Services Ltd, one of the listed arms of CNOOC, the country's largest offshore oil producer by capacity.

The project's completion marks the Chinese marine oil and gas industry's important move advancing its "deep-water strategy", said Wang, who was appointed to his current position in April to replace Fu Chengu, the State-owned company's longest-serving president, who joined CNOOC in 1982.

Before the deep-water drilling platform, China was only able to explore, develop and produce offshore oil and gas at depths of up to 300 meters.

Fu said last year that CNOOC aims to produce 50 million tons of oil equivalent from the deep-water field by the end of 2020, after reaching its first 50 million tons of oil equivalent from the sea last year.

The platform is expected to reach dynamic break-even within 12 years, in accordance with international practices, Jin said. He added that there are around 20 such deep-water semi-submersible drilling units in operation or under construction around the world.

CNOOC also announced on Tuesday that China's first deep-water crane vessel, which can lay pipes 3,000 meters below the surface, is expected to be completed in October.

The vessel, like the drilling platform, was one of five types of vessels that CNOOC decided to build with a 15 billion yuan total investment for deep-water exploration during the 11th Five-Year Plan (2005-2010).

Construction of the pipe-laying crane, in which CNOOC invested about 2.8 billion yuan, commenced in September 2008 in Nantong, Jiangsu province, in eastern China.

The vessel, named 201, is expected to start commercial operations in the Liuhua oilfield in the eastern South China Sea late this year, and is set to work in the Liwan 3-1 deep-water gas field next year, according to Xu Wenbing, deputy general manager of the project.

The Liwan 3-1 deep-water gas field is the country's first deep-water and biggest offshore gas field. It was discovered in 2006 and has contingent reserves of up to 170 billion cubic meters of gas.

CNOOC's subsidiary Offshore Oil Engineering Co will operate the vessel.

Source: China Daily
 
 
     
 
Wen Jiabao attends trilateral leaders' meeting of China,Japan and ROK
 
The Third China-U.S.Strategic and Economic Dialogue
 
     
 
 
 
  Weekly review  
 
May 20   World Economic Forum China office marks fifth anniversary
 
May 18   China, Pakistan joined in bonds of brotherhood
May 20   'Central axis' of Beijing applies for world cultural heritage
May 20   In pictures: Int'l 'Financial Security' symposium opens in Beijing
May 21   The week in pictures
May 16   Beijing aims for massive influx of overseas talent in 2011
May 16   Singapore election coverage shows Western arrogance
May 16   Chinese naval helicopter conducts target practice in Gulf of Aden
May 17   Strategies for harmony between militaries of China, US
May 17   Pakistani Prime Minister hails China as true friend
 
     
 
 

(Editor:梁军)

  • Do you have anything to say?

双语词典
dictionary

  
Special Coverage
  • 3rd Anniversary Of Wenchuan Earthquake
  • Third China-U.S. Strategic and Economic Dialogue
Major headlines
Editor's Pick
  • Honghu Lake dwindles by a third in water surface
  • CPC pledges more exchanges with Kazakh ruling party
  • Chinese vice premier calls for better use of surveying, mapping data
  • Bolt to make season debut in Rome Golden Gala
  • China's Li Na reaches second round at French Open
Hot Forum Dicussion