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CNOOC Ltd’s Wenchang Fields Start Trial Production Successfully

Source: www.gulfoilandgas.com 7/2/2008, Location: Asia

CNOOC Limited announced that leading by Wen 19-1, WenChang (Wen) oil fields have successfully run into trial production stage. Currently, through 7 wells the fields can produce approximately 14,000 barrels of oil per day.

Wen oil fields, which is located in the Pearl River Mouth Basin in the Western South China Sea, consist of four oil fields, namely 19-1, 15-1, 14-3 and 8-3. The development facilities contain five wellhead platforms, one FPSO and 26 producing wells.

Wen 19-1 is the first among the oil fields to start production, and its peak daily production is expected to reach over 18,800 barrels. The other three fields will come on stream this year as well.

Mr. Liu Jian, Executive Vice President of the Company said, “Joint development model is adopted in Wen oil fields in order to reduce the development cost as well as to exploit the oil reserves more efficiently. We anticipate the oil fields will produce more efficiently and contribute to the production growth of the Company.”

CNOOC Ltd. holds 100% interest of the fields and acts as the operator.

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