CNOOC Ltd. began drilling at the WZ12-10-1 exploration well in the Beibu Gulf Block 22/12, offshore China.
|Map from Horizon Oil|
The well is located 4.7km east-northeast from Roc’s existing Beibu 12-8W facilities and is in water depth of approximately 35m.
Accoring to partner, Roc Oil, drilling began on 10 September using the jackup rig HYSY 935. The current operation is cementing 20in. conductor casing at a depth of 120m., with a total depth planned at 1539m.
WZ12-10-1, the first of two exploration wells in Beibu Gulf Block 22/12, is targeting the T42 and Weizhou West formations. It is located next to the East field of the WZ12-8 development area, which Roc is concurrently expanding. With the expansion, Roc is adding approximately 8.8sq km to the development area, making the WZ12-8 development area a total of 66.6sq km, which will allow for future exploration and development activities.
The second planned well, WZ 12-10-2, is located next to the WZ 12-8W field (see map at right.)
Joint venture partner Horizon Oil says this exploration drilling program in Beibu follows earlier exploration discoveries and successful development of WZ 6-12 and WZ 12-8W fields carried out in 2012 and 2013, which have already produced over 6MMbbl.
CNOOC Ltd. is the operator of Block 22/12 with a 51% interest along with partners Horizon Oil (26.95%), Roc China (19.6%) and Majuko Corp (2.45%).
|Map from Roc Oil|
In August, China’s Fosun International Ltd. announced it was buying Australia’s Roc Oil in an all-cash US$441 million transaction. Roc, who has assets from Australia to Malaysia, China, and the UK North Sea, produced 2.7MMboe in 2013 and earned a net profit of $45.2 million.
Fosun will get assets in China’s Bohai Bay and Beibu Gulf. In Bohai Bay, Roc currently operates and has 60% interest in Block 09/05 that the company recently abandoned this week due to the failure to find commercial hydrocarbons. Roc also operates the Zhao Dong oil fields offshore eastern China with a 50% interest.