CNOOC completes phase I of Bohai Sea’s first 100-bcm Gas Field

State-owned media reported that China's major oil and natural gas company CNOOC announced a full production start of its Phase I development project at the Bozhong gas field on?August 9. The daily oil and gas output exceeded 5,200 metric tonnes or 37,960 barrels per day.

Bozhong 19-6, located in central Bohai Sea is the first field with gas reserves exceeding 100 billion cubic metres in the Bohai area. The company says that its development will boost energy supply in eastern China where resources are scarce.

According to the statement, this field has proven geological resources of more than 200 billion cubic meters of natural gases and?more than 200 million cubic metres of oil liquids.

The reservoirs are located more than 5,000 metres underground, and they cover a large area. They also have complex geological structures which make it more difficult to develop the field than offshore conventional oil and gas fields.

Bozhong 19-6 has produced ?more than 2.8 billion cubic meters of natural gas to date and has become an important source ?of stable supplies for eastern China, including the Beijing-Tianjin-Hebei region ?and areas ?surrounding the Bohai Sea.

The full production of Phase I will begin during the summer peak demand period, and help to meet the household?and industry energy needs in eastern region.

CNOOC said drilling for Phase II development of the field has also begun. This is part of its strategy to develop the fields in stages after initial pilot operations.

(source: Reuters)