Page 8 - AsianOil Week 14 2021

AsianOil EAST ASIA AsianOil

Daqing Oilfield’s Q1 production beats target

PROJECTS & STATE-OWNED China National Petroleum
COMPANIES Corp. (CNPC) has announced that subsidiary
Daqing Oilfield’s first-quarter oil and gas pro-
duction exceeded its targets.
Daqing Oilfield produced 7.41mn tonnes
(603,500 barrels per day) in the January-March
period, exceeding the company’s target by
320,000 tonnes (26,100 bpd). CNPC partially
attributed the increased performance to the
implementation of a water injection well plan
that led to the adjustment of 6,382 well times,
delivering an extra 19,600 tonnes (1,550 bpd)
of oil.
Natural gas production, meanwhile,
amounted to 1.4bn cubic metres, which was
30.32mn cubic metres over target, while sales
were 21.71 mcm over target at 847 mcm.
Daqing Oilfield brought two production
projects online in the quarter, while also While Daqing Oilfield manages the country’s
evaluating “difficult-to-recover” reserves second-largest oilfield, from which the company
in the Songliao Basin and accelerating tight takes its name, in recent years the company has
gas production tests in both the Sichuan and diversified activities in line with declining pro-
Chongqing areas. The company also drilled duction from the large onshore complex. For
and completed one well ahead of schedule example, the company produced 187,000 bpd of
in Songliao and has brought another three oil from foreign fields last year.
wells on stream in the Hechuan block, Daqing Oilfield produced 43mn tonnes of
increasing daily gas production by 130,000 oil equivalent (860,000 barrels of oil equivalent
cubic metres. per day) in 2020, the official Xinhua newswire
CNPC said its subsidiary had set a personal reported in January. Xinhua noted that the com-
record in the new of wells completed on a sin- pany produced around 30mn tonnes (600,000
gle day last month, completing 30 on March 15. bpd) of oil from domestic operations, another
Daqing Oilfield completed 1,066 wells in the 9.31mn tonnes (187,000 bpd) of oil from over-
quarter. seas assets and 4.66 bcm of gas.™

OCEANIA

Australia’s “gas-led recovery”

faces industry push back

POLICY THE Australian upstream industry is once more bolstering domestic gas supplies in order to
pushing back at aspects of the federal govern- lower local prices and kick-start a manufactur-
ment’s plans for a “gas-led recovery”. ing renaissance. While some initiatives have
The Australian Petroleum Production and been welcomed – such as funding for explora-
Exploration Association (APPEA) warned tion drilling in the Beetaloo Sub-basin – others
this week that efforts to turn the Wallumbilla that have called for greater direction from the
gas hub in Queensland into a US-style Henry state have fallen flat.
Hub would “backfire”. APPEA CEO Andrew McConville argued:
The industry body revealed on April 6 that it “The fundamentals of the US gas market, par-
had warned the government against such a move ticularly on the supply side, are vastly different
in its submission to the Gas Fired Recovery consul- given that the gas is largely a by-product of sig-
tation, explaining that efforts to model Wallumbilla nificant liquids development compared to very
on Henry Hub would fall drastically short owing to dry onshore gas developments in Queensland.”
the two markets’ very different dynamics. He noted that the US hub also enjoyed such
Canberra has unveiled a number of meas- access to an infrastructure network that con-
ures over the past year that are geared towards nects it multiple intra- and interstate pipelines,

P8 www. NEWSBASE .com Week 14 08•April•2021