CNOOC goes deep and shares exploration


The China National Offshore Oil Company (CNOOC) has completed the country's largest deepwater oil rig as it ramps up its exploration activities.

The $922m rig, CNOOC981, weighs some 31,000 tons and has taken three years to complete by the China State Shipbuilding Corporation in Shanghai.  With the ability to operate at depths of up to 3,000 metres, the new rig is capable of extracting oil from 12,000m below sea level.

Block BC Qatar

Qatar Block BC Image: Total

The launch of the rig has been part of a busy busy period for CNOOC which is also looking for partners to explore 19 offshore blocks in the South China Sea - 12 in the east and seven in the west.   The total scale of the offer covers around 52,000km2 and is part of CNOOC's stated Y350bn ($54m) investment in domestic oil and gas exploration over the next five years.

At the same time, the company has also agreed a deal to sell French oil giant, Total, a 25% stake in an exploration block in Qatar in the Middle East.  The block, part of the country's North Field, was originally purchased by CNOOC in 2009 along with Qatar Petroleum.  Now, CNOOC will own 75% of the area, with Total taking the remaining share.