October 6, 2008

China Discovers Oil, Gas Well in Bohai Bay

Text of report in English by official Chinese news agency Xinhua (New China News Agency)

[Xinhua: "China Discovers Oil, Gas Well in Bohai Bay"]

BEIJING, Oct. 6 (Xinhua) - China National Offshore Oil Company Limited (CNOOC Ltd.) announced Monday it had found a new oil and gas well in east China's Bohai Bay.

The well, named Bozhong (BZ) 35-2-2, is located to the east of the Yellow River mouth. The well was drilled to a total depth of 3,235 metres.

During the drill stem test, the well flowed at an average rate of 560 barrels of oil per day.

The CNOOC Ltd. has made several oil and gas discoveries in the Bohai area this year, including wells named BZ 35-2, KL 3-2 and KL 10-1.

CNOOC Ltd. holds 100 per cent interests of the new discovery and has successfully completed the drilling process, according to the company.

Listed in Hong Kong and New York, CNOOC Ltd. is the subsidiary of China National Offshore Oil Corp., the country's largest offshore oil producer.

CNOOC produced 72.9 million barrels of crude oil and 112.5 billion cubic feet of natural gas in the first half of the year, up 7.1 per cent and 12.8 per cent from the same period last year, respectively.

Originally published by Xinhua news agency, Beijing, in English 0734 6 Oct 08.

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