CNOOC Brings Phase 1 of the SES Gas Project Onstream

CNOOC says that Phase I of Southeast Sumatra (SES) Gas Project was successfully brought onstream. The contractual gas delivery rate of Phase I is 55 million cubic feet per day via four wells.

The gas project is located about 120 kilometers offshore West Java in Indonesia, with an average water depth of 30 meters. The development facilities in Phase I include one processing platform, three sub-sea pipelines and one sub-sea cable. The natural gas produced will mainly be supplied to state utility company PT Perusahaan Listrik Negara (PLN) power plants.

The SES Gas Project consists of two phases, and Phase II is expected to start gas delivery in early 2007.

"The successful production commencement of SES gas project indicates that we are able to accomplish development of overseas oil and gas fields in a safe and effective manner," said Liu Jian, CNOOC's executive vice president. "We're glad to supply gas in Indonesia and contribute to the local economy as a foreign investor."

CNOOC Ltd. holds 65.5% interest of Southeast Sumatra PSC and acts as the Operator. The PSC partners include Inpex Sumatra Ltd., KNOC Sumatra Ltd., Orchard Energy Sumatra BV, Fortuna Resources (Sunda) Ltd., Talisman UK (Southeast Sumatra) Ltd. and Talisman Resources (Bahamas) Ltd.

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