CNOOC makes “major” deepwater oil and gas discovery in South China Sea

(WO) – CNOOC Limited has made a major oil discovery called Kaiping South in the deepwater of the South China Sea. The discovery adds over a hundred million tons of oil equivalent proved in-place volume.

The Kaiping South oil field is in the eastern South China Sea, with an average water depth of approximately 500 m. The main oil-bearing plays are Zhuhai Formation, Enping Formation and Wenchang Formation of Paleogene, and the oil property is light crude.

The KP18-1-1d discovery well was drilled and completed at a depth of 3,462 m, which encountered a total of 100.6 m oil and gas pay zones. The well was tested to produce an average of approximately 7,680 bpd and 0.52 MMcfgd. Through continued exploration, the proved in-place volume of Kaiping South oil field has reached 102 MMtoe.

Mr. Xu Changgui, Deputy Chief Exploration Officer of CNOOC, said, "Kaiping South oil field is China's first deepwater and deep-play oil field with proved in-place volume over a hundred million tons. The discovery fully demonstrates the broad prospects for exploration in deep-water South China Sea and further expands the resource base for the Company's high-quality development."

Mr. Zhou Xinhuai, CEO and President of CNOOC, said, "In recent years, CNOOC Limited has achieved remarkable breakthroughs in oil and gas exploration in the eastern South China Sea, building a new growth pole for offshore oil and gas production. The company remains committed to oil and gas resources exploration and development in the South China Sea, thereby continuously enhancing its energy supply capacity."