Newfield Finds Oil in South China Sea

US-based independent oil exploration company Newfield Exploration has discovered oil in the South China Sea.

The LF7-2-1 exploration well was drilled in the Pearl River Mouth Basin in Block 16/05 using Sinopec-managed semisubmersible Kan Tan III.

A second well, HZ28-1-1, was drilled using the same rig in neighbouring Block 17/08, but did not encounter a commercial find.

Newfield says it plans to drill additional wells in the same block.

Newfield holds a 100 percent interest in both offshore blocks while China's state-owned oil company CNOOC has the option to participate in any development with a 51 percent interest.

By staff writer