Page 10 - AsianOil Week 29 2022

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CNOOC launches self-developed Christmas

tree system, unveils bidding round

PROJECTS & CHINA National Offshore Oil Corp. (CNOOC) Meanwhile, the company said it was seeking
COMPANIES has launched its first self-developed subsea to “innovate co-operation modes with foreign
Christmas tree system in the Bohai Sea, Chinese enterprises and expand the scope of partners
media have reported. The state-owned company while continuing to uphold the vision of win-win
said in a separate announcement that it was co-operation” in 2022. It added that for deepwa-
offering 13 offshore oil and gas blocks up for bid- ter areas and deep formations, it would adopt
ding by foreign companies in 2022. “flexible and preferential” business arrange-
CNOOC’s new subsea Christmas tree system ments in a variety of areas, including the explo-
was deployed at the Jinzhou 31-1 gas field in the ration period, relinquishment and participating
Bohai Sea, with media reporting that output had interest. By taking this approach, CNOOC said it
reached 310,000 cubic metres during testing. The was aiming to expand co-operation with foreign
system is designed for use in shallow waters and enterprises and boost foreign investment in oil
has an expected operating life of 15 years. and gas exploration and development offshore
The system could be rolled out across China.
the broader region. The deputy manager of Among the 13 blocks on offer in this year’s
CNOOC’s Tianjin branch, Yu Guimin, was bid round, one is located in Bohai Bay, 11 in the
reported as saying the self-built Christmas tree Pearl River Mouth Basin and one in the Yingge-
system could help produce more oil and gas in hai Basin.
the area, potentially lifting oil and gas output by The data room for the blocks will be open
over 40mn tonnes per year (tpy), or 803,288 bar- until the end of the year, with bids due to close
rels per day (bpd). on February 28, 2023.™

Cheniere signs long-term

LNG deal with PetroChina

PROJECTS & THE US’ largest LNG exporter this week said of a $8bn expansion of the plant and said that
COMPANIES it had signed an agreement with a subsidiary of more expansions could be forthcoming. Capac-
state-owned PetroChina for the supply of gas ity at Corpus Christi is expected to rise to 25mn
until 2050, the firm’s longest such deal. tpy following the latest addition.
In a press release on July 20, Cheniere said President and CEO Jack Fusco said the SPA
that the sale and purchase agreement (SPA) cov- “increases Cheniere’s long-term sales to Pet-
ered flows of up to 1.8mn tonnes per year (tpy) roChina to approximately 3mn tpy, and we are
of LNG, delivered by Cheniere Marketing on a proud to support China’s progress toward a low-
free-on-board (FOB) basis to PetroChina Inter- er-carbon future with our reliable, cleaner burn-
national (PCI). ing LNG.”
Deliveries will begin in 2026, reaching the Meanwhile, PCI executive chairman, Tian
1.8mn tpy level in 2028 and run at that rate until Jinghui noted that his company was “pleased to
2050 with the LNG price indexed to Henry Hub further expand our cooperation with Cheniere
plus a fixed fee for liquefaction. in delivering LNG, one of the cleanest fuel
The US firm said that “half of the total vol- choices to our millions of customers for many
ume, or approximately 0.9mn tpy, is subject to years to come.”
Cheniere making a positive final investment Chinese firms have been snapping up
decision to construct additional liquefaction increased LNG exporters from the world’s larg-
capacity at the Corpus Christi LNG Terminal est exporters, illustrating the country’s pragma-
beyond the [existing and planned] seven-train tism in its approach to energy supply security
Corpus Christi Stage 3 Project.” as new liquefaction capacity comes on-stream
This follows the company’s approval in June throughout the world.™

P10 www. NEWSBASE .com Week 29 22•July•2022