Illustration; Source: CNOOC

‘Major’ ultra-deepwater discovery enables CNOOC to bolster gas arsenal

Chinese state-owned oil and gas giant China National Offshore Oil Corporation (CNOOC) has tucked a new hydrocarbon discovery under its belt in ultra-shallow gas play located in the South China Sea.

Illustration; Source: CNOOC

While describing the discovery as “a major exploration breakthrough” in ultra-shallow gas play in the ultra-deep water of the South China Sea, CNOOC explains that the Lingshui 36-1 gas field lies in an average water depth of approximately 1,500 meters.

Xu Changgui, Deputy Chief Exploration Officer of CNOOC, commented: “The exploration in ultra-deep water ultra-shallow gas plays in the South China Sea is faced with world-class engineering and technical challenges.

“The successful testing of Lingshui 36-1 is a breakthrough for the exploration in such plays. The company will continue to tackle the challenges on the exploration and development of the resources in such plays, to expedite the utilization of natural gas in deep waters.”

Furthermore, the Chinese energy heavyweight highlights that the main gas-bearing play in its latest discovery is the Ledong Formation of Quaternary, with an average burial depth of 210 meters. The Lingshui 36-1 field has been tested to produce over 10 million cubic meters per day of natural gas.

Zhou Xinhuai, CNOOC’s CEO and President, emphasized: “South China Sea has been a major region for the company to boost natural gas reserves and production. The successful testing of Lingshui 36-1 further expands the resource base for the development of a trillion-cubic-meters gas region in South China Sea.”

According to Xinhuai, the firm will keep ramping up its exploration and development of hydrocarbon resources in the South China Sea to enlarge its energy supply capacity, which is aligned with the Chinese player’s business strategy and development plan for 2024.

Over the past few months, CNOOC not only brought on stream a gas project in the Bohai Sea but also made a significant oil discovery in the northcentral waters of the same sea, along with the one disclosed in the eastern South China Sea.

The energy giant has also been busy outside China, as confirmed by a batch of new petroleum exploration and production concession contracts (EPCCs) for five blocks off the coast of Mozambique.