China's Three Barrels Of Oil (Three Barrels Of Oil refers to the three giants that are monopolized in China's oil and gas industry. The assembly of the three major oil companies is CNPC, Sinopec Group and CNOOC.) have always actively deployed overseas oil and gas fields, and have achieved good returns after they have been put into production. Among them, CNOOC's 5 gas fields in Indonesia have recently received good news. The production of BD gas fields in these fields is increasing. This year's production is expected to reach 2.83 million cubic meters of natural gas per day and 6000 barrels of liquid per day.
In 2002, CNOOC acquired a portion of Indonesia's five gas fields owned by Repso of Spain for US$585 million and obtained a share of 40 million barrels of crude oil per year. After the completion of the merger, CNOOC will have the mining rights of 5 gas fields, and these gas fields have a proven oil and gas reserve of 461 million barrels.
In August last year, CNOOC announced that its BD gas field was put into operation. The daily sales of natural gas and condensate reached 7,200 barrels of oil equivalent, and it is expected to reach a peak daily output of 25,500 barrels of oil equivalent this year. In the first half of this year, the other four of the five gas fields will in the developing period. As soon as the whole gas field put into production, net sales will reach 2.83 million cubic meters of natural gas and 2,400 barrels of liquid per day.
CNOOC and Husky Energy each hold a 40% interest in Indonesia's 5 gas fields, and the remaining 20% are held by Indonesia's Samudra Energy. As a major shareholder, the higher the output of these fields, the more money CNOOC earns. At present, MDA and MBH mining facilities in the 5 gas fields is in construction, and it is planned to be put into operation next year. By then, the daily production and sales volume of oil and gas will reach a new record. Moreover, Indonesia is very close to China, and the oil and gas that is mined can also be used as backup supply, which is of great significance to China's energy security.
