CNOOC Confirms Largest Light Crude Field Find in Bohai Bay

BEIJING (Dow Jones Newswires), December 3, 2008

Cnooc Ltd. recently confirmed the discovery of the largest light crude oil reserve in Bohai Bay in northern China, its parent company China National Offshore Oil Corp. said Wednesday.

The latest drilling assessment showed the Jinzhou 25-1 field has reserves of around 100 million metric tons, or 733 million barrels, said China National Offshore Oil in a statement posted on the Web site of the State-Owned Assets Supervision and Administration Commission under the State Council, without clarifying whether the reserves are proven or possible.

An exploration well Cnooc drilled in the field yielded 1,000 cubic meters a day, the statement said, adding the find may lead to more discoveries in nearby areas in future.

In 2007 Cnooc announced the preliminary discovery of the field after drilling a couple of wildcat wells.

Development of the light crude field will be easier and cheaper than the heavy oil fields mostly found in Bohai Bay, the statement said.

It didn't say when the development will start and how much the field's output is likely to be.  

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