10 Dec 2009 09:06

CNOOC marks new gasfield discovery in South China Sea

Shanghai. December 10. INTERFAX-CHINA - China National Offshore Oil Corp. (CNOOC), China's third largest oil producer, announced on Dec. 9 that it has made a new natural gas discovery in the South China Sea.

The Liuhua 34-2 gasfield is the second deepwater gasfield discovered by CNOOC and its partner, Husky Energy Inc., in the 29/26 block of the South China Sea, according to the announcement.

The first test well drilled at the site, called Liuhua 34-2-1, has 55 million cubic feet of daily natural gas output, according to the announcement. Husky Energy plans to further evaluate the gasfield to estimate its reserves. CNOOC has a 51 percent stake in commercial discoveries at the 29/26 block.

CNOOC and Husky Energy's first discovery in the 29/26 block, the Liwan 3-1 gasfield, is expected to produce 8 billion cubic meters of natural gas annually once operations begins in 2012.