China National Offshore Oil Corporation (CNOOC) has initiated production at phase one of the Kenli 10-2 Oilfields Development Project, a significant milestone for the largest shallow lithological oilfield offshore China.
Situated in the southern Bohai Sea at an average water depth of around 20m, the project is set to reach peak production of roughly 19,400 barrels of oil equivalent per day (boepd) by next year.
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The Kenli 10-2 oilfield, recognised as the first lithological oilfield with a confirmed in-place volume of 100 million tonnes (mt), is located in the shallow depression zone of the Bohai Bay Basin and is being developed in two phases.
This approach aligns with CNOOC’s strategy of integrating exploration and development, phased implementation and regional coordination. The oilfield’s properties include heavy crude.
To efficiently utilise the oil reserves, CNOOC has implemented a combined development strategy that includes “conventional water injection + steam huff and puff + steam flooding”.
This method provides robust technical support and leverages the new central platform and two wellhead platforms.
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By GlobalDataThe project is set to commission 79 development wells, comprising 24 thermal recovery wells, 33 cold recovery wells, 21 water injection wells and one water source well.
The central platform is a sophisticated facility in the Bohai region, equipped with more than 240 sets of key equipment and integrating both conventional cold production and thermal recovery systems.
CNOOC president Yan Hongtao said: “The successful commencement of production of this project marks a new stage in the development of complicated heavy oil reservoirs offshore China.
“It will strongly support the company’s Bohai Oilfield to achieve the annual gross production target of 40 million tons, contributing to the company’s high-quality development through high-level operations.”
The company is the operator of the project and holds a 100% interest in it.
Earlier this month, CNOOC identified oil and gas reserves in the South China Sea.
