Independent oil and gas exploration and production company China National Offshore Oil Corporation (CNOOC) has announced the start of production at the Wenchang 16-2 oilfield development project.

Situated in the western Pearl River Mouth Basin of the South China Sea, the project is expected to reach peak production of around 11,200 barrels of oil equivalent per day (boepd) by 2027.

Located in waters averaging 150m deep, the Wenchang 16-2 project utilises adjacent existing facilities of the Wenchang oilfields.

It also includes a new jacket platform that incorporates production of oil and gas, offshore drilling, completion of operations and accommodation of personnel.

The project plans to commission a total of 15 development wells to extract light crude oil.

CNOOC, which holds a 100% interest and is the operator of the Wenchang 16-2 project, has a history of developing projects in the region.

In April 2025, the company started production at the Wenchang 9-7 Oilfield Development Project.

This project, also in the western Pearl River Mouth Basin, includes a new production and drilling platform and employs miscible gas flooding and other solutions to enhance oil recovery.

Furthermore, in June 2025, CNOOC began production at the Weizhou 5-3 oilfield development project in the Beibu Gulf Basin.

Also located in the South China Sea, this project, with an average water depth of around 35m, is expected to reach peak production, estimated at 10,000boepd, by next year.

CNOOC is reputed to be the largest producer of offshore crude oil and natural gas in China. The company mainly engages in exploration, development, production and sale of crude oil and natural gas.