Chinese oil and gas company CNOOC has announced that it has made a significant discovery of Huizhou 26-6 in the Eastern South China Sea.
According to CNOOC, the discovery is expected to become the first ‘mid-to-large’ sized condensate oil and gas field of the Pearl River Mouth Basin in Eastern South China Sea.
At a depth of 113m, the Huizhou 26-6 structure is situated in Huizhou Sag in Zhu1 Depression of Pearl River Mouth basin.
The discovery well, known as ‘HZ26-6-1’, was drilled and completed at a water depth of 4,276m. It encountered oil and gas pay zones with an overall thickness of about 422.2m.
CNOOC noted that the well has been tested to produce around 2,020 barrels of oil per day (bpd) and 15.36 million cubic feet of gas (mcf) per day.
In a press statement, CNOOC said: “The successful exploration of Huizhou 26-6 oil and gas structure is the first time that the company has achieved commercial and highly productive oil and gas flow in buried hill exploration in Eastern South China Sea, marking a significant exploration breakthrough in Paleogene and buried hill complex oil and gas reservoir in Pearl River Mouth Basin, and further proving the huge exploration potential in this new field.”
Recently, CNOOC started production from its Qinhuangdao 33-1S oil field phase I in the Bohai Bay offshore China.
Last month, CNOOC started production from the Penglai 19-3 oilfield area 4 adjustment / Penglai 19-9 oilfield phase II project located offshore China.
This April, CNOOC lowered its planned capital expenditure (Capex) and production guidance for 2020. It said the move will strengthen it to face the Covid-19 pandemic.
In March this year, CNOOC made a Kenli 6-1 discovery in Bohai Bay, which the company believes is the first large-sized oil field in the Laibei lower uplift. This is in the southern area of the Bohai basin.