CNOOC Discovers Oil at Luda 5-2 North in Bohai Bay

CNOOC Limited (the company) announced Wednesday that the company recently made a mid-sized new exploration discovery Luda 5-2 North and successfully appraised the mid-sized oil and gas structure Kenli 9-5/9-6 in China's Bohai Bay.

Luda 5-2 North is located in the Liaodong Bay of Bohai, with average water depth of 102 feet (31 meters). The discovery wells of Luda 5-2N-2 and LD 5-2N-4 were both drilled and completed at a depth of around 3,740 feet (1,140 meters) and encountered the oil pay zones with total thickness of about 394 feet (120 meters) and 279 feet (85 meters), respectively. The oil production of Luda 5-2N-2 well was tested at around 1,040 barrels of oil per day (bopd). The new discovery of Luda 5-2 North demonstrates the company’s successful experience in the thermal recovery technology of heavy oil, and creates a new methodology to commercialize heavy oil reserves.

Kenli 9-5/9-6 is located in the Laixi structure in the southern part of Bohai, with an average water depth of about 30 feet (9 meters). The company drilled Kenli 9-5-2D and Kenli 9-6-2 wells and completed at a depth of 7,218 feet (2,200 meters) and 4,101 feet (1,250 meters), respectively. These two wells encountered oil pay zones with total thickness of about 229 feet and 39 feet (70 meters and 120 meters), respectively. During the test period, the oil production of Kenli 9-6-2 well was around 200 bopd. The successful appraisal of Kenli 9-5/9-6 has further expanded the scale of the reserve in the area.

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