Noble Affiliates To Develop Cheng Dao Xi Field Offshore China

Noble Affiliates, Inc. announced that its wholly owned indirect subsidiary Energy Development Corporation (China) Inc. has received final government approval for its development plans for the Cheng Dao Xi Block A field located in the southern portion of Bohai Bay, China.

The development will include a drilling and production platform set in approximately 25 feet of water and 16 wells to develop the field, which includes injection wells for field pressure maintenance. The production facilities are designed to process 10,000 barrels of oil per day. A five-mile pipeline will be installed to connect the field to the existing onshore infrastructure located in the Shengli oil field.

Noble's crude oil will be marketed to the Chinese oil company Sinopec at international market based prices. First production is expected in the second quarter of 2002.

Two appraisal wells were drilled by Noble's subsidiary in 1998, with one testing up to 1,500 barrels of oil per day. Future exploration drilling on the Cheng Dao Xi Block B and Noble's Cheng Zi Kou block concession is planned in 2001.

Noble through its subsidiary Energy Development Corporation (China) Inc., is the operator with a 57 percent interest and Sinopec, through its Shengli Petroleum Administration Bureau, has the remaining 43 percent interest.

Noble Affiliates, Inc. is an independent energy company with exploration and production operations throughout major basins in the United States, including the Gulf of Mexico, as well as international operations primarily in Argentina, China, Ecuador, Equatorial Guinea, the Mediterranean Sea and the North Sea.