Husky Begins Oil Production and Expands Activities

Monday, September 23, 2002
Husky Energy Inc. announced that it has signed petroleum contracts for two additional exploration leases in the South China Sea. Both are located in the Beibu Gulf, north of Hainan Island and within 80 kilometres of the Weizhou oil fields. The agreement includes exploration lease 23/15, which is 1,327 sq. kilometres, and exploration lease 23/20, which is 1,543-sq. kilometres. A single exploration well is required in each contract area in the first three years of the contract. Husky also reported that production from the Wenchang 13/1 and 13/2 oil fields in the South China Sea has exceeded 60,000 barrels of oil per day (bopd). Production commenced in July 2002 and estimated peak production was 50,000 bopd. Further analysis of the production data is required to determine whether estimates of daily production rates and recoverable reserves will be revised. Husky has a 40 percent interest in Wenchang, which is located in the Pearl River Mouth basin about 140 kilometres east of Hainan Island and 400 kilometres southwest of Hong Kong. The China National Offshore Oil Corporation (CNOOC Ltd.) holds the remaining 60 percent. "The Wenchang project was developed on time and within budget. To date, production exceeds our expectations," said Mr. John C.S. Lau, President and Chief Executive Officer of Husky Energy. "The production from the Wenchang development gives Husky a strong focus and strategic position to develop new opportunities in the South China Sea." Husky will proceed with an exploration program on the 39/05 offshore lease that surrounds the Wenchang fields. Husky signed the petroleum contract and participation agreement for 39/05 in July 2001. A drilling program involving two or three wells will commence by the end of 2002 or in the first quarter of 2003. Exploration targets within the 5,700-sq. kilometre lease include fields that could be brought into development using Wenchang facilities. Husky holds a 100 percent working interest in 39-05 during exploration and is the operator. CNOOC has the right to participate in any development program with a 51 percent interest.
Maritime Reporter July 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Finance

Egypt Says Finishes Work on New Suez Canal

Egypt has finished building its New Suez Canal, its overseer said on Wednesday, a project President Abdel Fattah al-Sisi sees as a symbol of national pride and

Harper Government Invests in Naufrage Harbor

The Honorable Gail Shea, Minister of Fisheries and Oceans, announced today an investment to improve safety and working conditions for fishermen at Naufrage Harbor, Prince Edward Island.

Strategic Marine’s Stock Program Full Power Ahead

Strategic Marine, the specialist shipbuilder and fabricator, has confirmed its stock program of personnel transport vessels is market-ready. “Our stock program

Energy

CWind Joins National Workboat Association

Citing crew transfer services as an integral part of its offering, offshore wind industry service provider CWind announced it is now a member of the National Workboat Association (NWA) of the U.

First Vessel of New Rescue Class Launched

Global shipping and energy services firm, Craig Group, has launched its first F-Class vessel, the Grampian Fortress. The IMT 958 multi-role emergency response and

BG Group Starts up Sixth FPSO in the Santos Basin

BG Group announced first oil from the Cidade de Itaguaí floating, production, storage and offloading (FPSO) vessel, the sixth unit to start production across the

 
 
Maritime Security Maritime Standards Naval Architecture Offshore Oil Pipelines Pod Propulsion Salvage Ship Repair Ship Simulators Shipbuilding / Vessel Construction
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.2594 sec (4 req/sec)