Reposted from WorldOil.com
HONG KONG — CNOOC Limited has announced that its subsidiary, CNOOC China Limited, has signed a Petroleum Contract with PetroChina Company Limited for Beibu Gulf 23/29 Block and Beibu Gulf 24/11 Block.
Beibu Gulf 23/29 Block and Beibu Gulf 24/11 Block are located in the Fushan sag and Leidong sag of Beibu Gulf Basin in South China Sea respectively. Beibu Gulf 23/29 Block covers a total area of 980 km2 with a water depth of 0-262.47 ft (0-85 m). Beibu Gulf 24/11 Block covers a total area of 464 km2 with a water depth of 65.52 ft – 131.23 ft (20-40 m).
According to terms of the Petroleum Contract, PetroChina shall act as the operator during the exploration period in the Contract Area and bear 70% of direct exploration expenditures; CNOOC China Limited bears the other 30% of direct exploration expenditures. The other exploration expenditures shall be borne by each party separately and shall not be credited to the relevant joint account. Once entering into the development and production phase, the two parties, each with 50% participating interests of the Contract Area, shall set up a joint operation organization to act as joint operators.
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