Page 8 - AsianOil Week 02 2022

AsianOil SOUTHEAST ASIA AsianOil

Japex buys into Vietnamese LNG project

INVESTMENT JAPAN Petroleum Exploration (Japex) will par- The initial phase of the project will include
ticipate in an LNG project in Northern Vietnam construction of a 50,000 cubic metre LNG stor-
after signing a share purchase agreement with age tank and associated jetty facilities capable of
Iteco, the project’s promoter, in late December. handling throughput volumes of up to 650,000
The Japanese company said on January 11 tonnes per year (tpy) of the super-chilled fuel.
that it would now proceed with the share acquisi- A subsequent expansion will see an additional
tion process for the project, which will be located 30,000 cubic metre storage tank built in the sec-
in the Nam Dinh Vu Industrial Park in Hai ond half of this decade.
Phong City. The LNG import facility that will be Japex operates the main LNG import in
Vietnam is set to begin built as part of the scheme will be known as the Japan’s Fukushima Prefecture and the partners
importing LNG later this Northern Vietnam LNG terminal. The project hope that its LNG expertise can help ensure the
year. was approved by the Vietnamese government success of the Northern Vietnam LNG termi-
for addition to its Gas Industry Development nal. The company stated that it would respond
Master Plan in February 2020. to demand for natural gas and LNG, as energy
A final investment decision (FID) on the sources with a lower environmental impact, both
terminal has yet to be reached, and Japex said in Japan and abroad, harnessing its capabilities in
the project partners were working to achieve it areas such as LNG terminal operations and gas
in the second half of 2022. If this takes place as supply chain establishment.
scheduled, the facility would then be anticipated Vietnam is set to begin importing LNG later
to enter service in 2025. According to Japex, Iteco this year, and has several proposed terminals at
is “currently moving forward” with discussions various stages of development, though not all
on LNG procurement, offtake and distribution. will be built.™

EAST ASIA

Bohai overtakes Daqing as

China’s largest oilfield

PERFORMANCE THE Bohai cluster offshore China has overtaken production online in the Bohai Sea. At the end
Daqing to become the country’s largest produc- of December, the company announced that
ing oilfield. According to state news agency Xin- it had brought two new projects online in the
hua, output from Bohai hit 30.132mn tonnes region – the Caofeidian 11-6 expansion project
(602,640 barrels per day, or bpd) in 2021, edging in the western part of the sea and Kenli 16-1 in
out the onshore Daqing, which produced 30mn the south.
tonnes (600,000 bpd) last year. The Bohai cluster fields have been under
Bohai is operated by CNOOC Ltd, the listed development since 1965 and were previously
arm of China National Offshore Oil Corp., considered marginal assets with relatively poor
which has been pursuing production efficiency oil quality and high development costs. How-
gains as well as exploring for additional reserves. ever, subsequent technological advances have
The company is reported to have shortened its helped to make the region a more attractive
average drilling time from 57 days to 10 over the exploration and production prospect.
past 20 years, among other efficiency gains. Bohai’s output is anticipated to increase by
On January 11, China Daily cited a CNOOC 2mn tonnes (40,000 bpd) in the next three years,
assistant general manager, Cao Xinjian, as say- and CNOOC projects that it will surpass 40mn
ing his company had invested over 50bn yuan tonnes (800,000 bpd) in 2025.
($7.8bn) per year over the past three years. The According to CNOOC, 2021 was the third
company’s total output in 2021 reached 48.64mn consecutive year that offshore oil production
tonnes (972,800 bpd), which was up by 3.23mn accounted for more than half of China’s crude
tonnes (64,600 bpd) year on year and accounted output growth, illustrating its growing impor-
for 80% of China’s national production growth. tance in the country’s domestic energy produc-
CNOOC Ltd continues to bring new tion mix.™

P8 www. NEWSBASE .com Week 02 14•January•2022