Key Operating Areas

  • China
  • Overseas
  • Asia 

    Asia (excluding China) is the first overseas region entered into by the Company, and has become one of the major overseas oil and gas producing areas of the Company. Currently, the Company owns oil and gas assets mainly in Indonesia, Iraq and the United Arab Emirates. As of the end of 2020, reserves and production derived from Asia (excluding China) reached 326.9 million BOE and 77,017 BOE/day, respectively, representing approximately 6.1% of the Company’s total reserves and approximately 5.3% of its production.

    Indonesia

    As of the end of 2020, the Company’s asset portfolio in Indonesia comprised mainly two development and production blocks, namely the Madura Strait and Tangguh. 

    Among them, the Madura Strait block is a joint operation block, and the production of BD gas field remained stable. Affected by the pandemic, downstream demand for gas decreased in 2020, and its daily net production slightly decreased. Other gas fields are under appraisal and construction.

    The Company owns approximately 13.9% interest in the Tangguh LNG project in Indonesia. In 2020, production of the first phase of the project remained stable with a daily net production of approximately 22,000 BOE. The construction of the third LNG train in the phase II of the project is in progress as planned.

    Iraq

    The Company owns a 63.75% participating interest in the technical service contract of Missan oilfields in Iraq and acts as the lead contractor for the technical service of the oilfields.

    In 2020, the Company continued to drill development wells in Missan oilfields, and the production of the project has steadily increased. However, due to the production curtailment of the OPEC, the daily net production decreased to approximately 35,000 BOE.

    United Arab Emirates

    In 2020, the Company has acquired 40% equity interest in the project companies of two former oilfield contract areas of CNPC, namely the Lower Zakum Shallow Water Oilfield and Umm Shaif & Nasr Oilfield in Abu Dhabi, and indirectly hold 4% interest in each of such two oilfield contract areas. In 2020, the projects maintained stable production with an average daily net production of approximately 12,000 BOE.

    Oceania

    Currently, the Company’s oil and gas assets in Oceania are mainly located in Australia and Papua New Guinea. As of the end of 2020, reserves and production derived from Oceania reached 42.0 million BOE and 32,673 BOE/day, respectively, representing approximately 0.8% of the Company’s total reserves and approximately 2.3% of its production.

    Australia

    The Company owns a 5.3% interest in the North West Shelf LNG Project (“NWS Project”) in Australia. The project has commenced production and is currently supplying gas to end-users including the Dapeng LNG Terminal in Guangdong, China.

    In 2020, the NWS Project achieved additional incremental gas production with favourable economic returns.

    Other Regions in Oceania

    The Company owns interests in three blocks which are still under exploration in Papua New Guinea.

    Africa

    Africa is one of the regions where the Company has a relatively large overseas oil and gas reserves and production. The Company’s assets in Africa are primarily located in Nigeria and Uganda. As of the end of 2020, reserves and production in Africa reached 77.5 million BOE and 90,750 BOE/day, respectively, representing approximately 1.4% of the Company’s total reserves and approximately 6.3% of its production.

    Nigeria

    The Company owns a 45% interest in the OML130 block in Nigeria. The OML130 block is a deepwater block comprising four oilfields, namely Akpo, Egina, Egina South and Preowei.

    In 2020, Akpo oilfield maintained stable production, with a daily net production reaching approximately 41,000 BOE. Egina oilfield began to implement the production curtailment of the OPEC in May 2020, with a daily net production reaching approximately 44,000 BOE.

    In addition, the Company holds a 20% non-operator interest in Usan oilfield in the OML138 block in offshore Nigeria, and an 18% non-operator interest in the OPL223 and OML139 PSC, respectively.

    We will continue to carry out further integration to establish an oil and gas production base in West Africa centred in Nigeria.

    Uganda

    The Company owns a one-third interest in each of EA 1, EA 2 and EA 3A blocks in Uganda. EA 1, EA 2 and EA 3A blocks are located at the Lake Albert Basin in Uganda, which is one of the most promising basins in terms of oil and gas resources in onshore Africa.

    In 2020, the Company fully facilitated the negotiation of the framework agreement for the long-distance transmission pipeline project in Uganda. In the future, the Company will adhere to the philosophy of mutually beneficial cooperation and continue to actively cooperate with project partners and the Ugandan government.

    Other Regions in Africa

    Apart from Nigeria and Uganda, the Company also owns interests in several blocks in Senegal, the Republic of the Congo and the Gabonese Republic.

    North America

    North America has become the Company’s largest overseas oil and gas reserves and production region. The Company holds interests in oil and gas blocks in the U.S., Canada, Mexico and Trinidad and Tobago in North America. As of the end of 2020, the Company’s reserves and production in North America reached 1,087.7 million BOE and 143,949 BOE/day, respectively, representing approximately 20.2% of the Company’s total reserves and approximately 10.0% of its production.

    The U.S.

    The Company owns interests in two onshore shale oil and gas projects in the U.S. and two offshore deepwater projects in the Gulf of Mexico.

    CNOOC Limited holds 27% and 12% interests in Eagle Ford and Rockies, respectively, which are two onshore shale oil and gas projects in the U.S. In 2020, the daily net production of Eagle Ford project and Rockies project reached 48,000 BOE and 9,000 BOE, respectively.

    CNOOC Limited owns interests in two important deepwater projects, namely Stampede and Appomattox in the U.S. Gulf of Mexico. In 2020, with the improvement of surface facilities and oilfield water injection, the production of Stampede project remained stable. Affected by the low oil prices, we and our partners reduced the number of production wells in the Appomattox project with a daily net production of approximately 14,000 BOE. In addition, CNOOC Limited also owns interests in several other exploration blocks in the U.S. Gulf of Mexico.

    Canada

    Canada is one of the world’s major enrichment areas for oil sands. The Company owns 100% working interest in Long Lake and three other oil sands projects in the Athabasca region of northeastern Alberta in Canada.

    In 2020, facing with low oil prices, we effectively used the time gap to conduct Long Lake project overhaul in advance. After the recovery of the oil prices, the production has gradually increased. Its daily net production was approximately 31,000 BOE in 2020.

    The Company holds a 7.23% interest in the Syncrude project and its daily net production in 2020 was approximately 20,000 BOE. The Company also holds a 25% interest in the Hangingstone oil sands project and non-operator interests under several other exploration and development licences.

    The Company also holds 100% exploration interest in two exploration blocks in offshore East Canada. The drilling of one wildcat is expected to be completed in 2021.

    In addition, the Company holds approximately 9.47% of shares in MEG Energy Corporation, a listed company in Canada.

    Other Regions in North America

    The Company owns a 12.5% interest in the 2C block and a 17.12% interest in the 3A block in Trinidad and Tobago, respectively, of which the 2C block is in production with stable production and favourable economic returns.

    The Company also owns 100% exploration operator interest in block 1 and a 70% exploration operator interest in block 4 of the Cinturon Plegado Perdido deepwater exploration blocks in Mexico, respectively. In 2020, the drilling of one wildcat in block 1 was completed and the drilling of one wildcat in block 4 is scheduled to be completed in 2021.

    South America

    South America is one of the Company’s important sources of future reserve and production growth. The Company holds interests in oil and gas blocks in Brazil, Guyana and Colombia in South America, as well as a 50% interest in BC ENERGY INVESTMENTS CORP. (“BC”) in Argentina. As of the end of 2020, the Company’s reserves and production derived from South America reached 286.6 million BOE and 72,018 BOE/day, respectively, representing approximately 5.3% of the Company’s total reserves and approximately 5.0% of its production.

    Brazil

    Brazil is one of the world’s most important deepwater oil and gas development regions. CNOOC Limited holds a 10% interest in Libra PSC, a deepwater pre-salt project in Brazil. The oilfield is located in the Santos Basin. In addition, CNOOC Limited holds a 5% interest in Búzios Surplus project in Brazil, which is a deepwater pre-salt project. Currently, negotiations on relevant agreements for the project are in progress.

    The Mero oilfield in the northwest area of the Libra block includes four production units, namely Mero 1, Mero 2, Mero 3 and Mero 4. The production of the extended well trial project remained stable in 2020. The final investment decisions for Mero 1, Mero 2 and Mero 3 oilfields have been made and the projects are expected to commence production in 2021, 2023 and 2024, respectively. The development plan of Mero 4 has been completed.

    In the future, we will fully leverage on the development opportunities of the Libra project and Búzios Surplus project to seek new drivers for production growth.

    CNOOC Limited also holds 100% interest in the 592 block in offshore Brazil, a 20% interest in the ACF Oeste block and a 30% interest in the Pau Brasil block.

    Guyana

    CNOOC Limited holds a 25% interest in the Stabroek block in offshore Guyana.

    The Phase I of Liza oilfield in the block commenced production ahead of schedule in December 2019. Its daily net production reached approximately 17,000 BOE in the end of 2020.

    The final investment decision for Liza oilfield Phase II has been made and the oilfield is expected to commence production in 2022. For the Payara oilfield, the final investment decision has been made and the government’s approval has been obtained.

    In 2020, 3 new discoveries including Uaru, Yellowtail-2 and Redtail have been made in the Stabroek block, and Yellowtail oil and gas bearing structure was successfully appraised. Currently, a total of 18 new discoveries have been made in the block and the recoverable resources have been further expanded to approximately 9.0 billion BOE.

    Argentina

    CNOOC Limited holds a 50% interest in BC and makes joint decisions on its management. BC holds a 50% interest in Pan American Energy Group in Argentina.

    In 2020, the daily net production of BC reached approximately 52,000 BOE.

    Other Regions in South America

    The Company also holds interests in several exploration and production blocks in Colombia.

    Europe

    In Europe, CNOOC Limited holds interests in oil and gas fields such as Buzzard and Golden Eagle in the U.K. North Sea, and holds a 10% equity interest in Arctic LNG 2 LLC in Russia. As of the end of 2020, the Company’s reserves and production derived from Europe reached 72.0 million BOE and 54,518 BOE/day, respectively, representing approximately 1.3% of the Company’s total reserves and approximately 3.8% of its production.

    The U.K.

    The U.K. is one of the Company’s key overseas development areas. The Company’s asset portfolio in the U.K. North Sea includes projects under production, development and exploration, which mainly include: holding a 43.21% interest in the Buzzard oilfield, one of the largest oilfields in the North Sea, and a 36.5% interest in the Golden Eagle oilfield.

    Buzzard and Golden Eagle oilfields are making considerable contributions to the Company’s production. In 2020, the Buzzard oilfield’s daily net production reached approximately 38,000 BOE. In addition, Buzzard oilfield Phase II is expected to commence production in 2021.

    The Company also holds 50% exploration interest of P2215 block and 100% exploration interest of P2279 block in the U.K. North Sea, and plans to complete the drilling of two appraisal wells in Glengorm before 2022.

    In addition, the Company holds 30% interest in P2415 block in the U.K. West Shetland Basin.

    Russia

    The Company owns a 10% interest in Arctic LNG 2 LLC, which is located in the Gydan Peninsula in the Arctic region of Russia. The project is the second oil and gas cooperation project between China and Russia in the Arctic Circle which covers the whole industry chain. Three LNG production trains will be established as planned in the project and put into production in 2023, 2024 and 2026, respectively. It is expected to produce 19.80 million tons of LNG annually after full operation.