China’s CNOOC finds gas in Pearl River bay

19 June 2006

Hong Kong, China, 19 June – China’s largest producer of offshore oil – CNOOC – has discovered a giant gas field in the Pearl River bay, 250 kilometers south of Hong Kong, officials said Friday.
The China National Offshore Oil Corporation (CNOOC) and its partner Husky Energy, owned by Hong Kong millionaire, Li Kashing, found gas at a depth of 1.5 kilometers in bloc 29/2, in what is the first offshore strike off the Chinese coast.

The gas reserves discovered are valued at over US$1.6 billion.

Husky energy officials said that reserves could total around 170 billion cubic meters of gas, which would represent 7 percent of China’s current reserves.

If these figures are confirmed, this would be the largest gas strike in China’s history.

According to its contract CNOOC is entitled to 51 percent of all the gas found in the Pearl River bay.

The Special Administrative Regions of Macau and Hong Kong are located on the Pearl River delta in Guangdong province. (macauhub)