ConocoPhillips cleared to resume full oil production at Penglai 19-3

ConocoPhillips received permission to resume full production at Penglai 19-3 oil field in China’s northern Bohai Bay after being sanctioned by the Chinese goverment for oil seeps during 2011, China's State Oceanic Administration said.

The clearance was announced on Feb. 16. Production was halted in September 2011. Previously, China's National Energy Administration approved a revised overall development plan (OGJ Online, Jan 11, 2013).

ConocoPhillips’s China owns 49% interest in Penglai 19-3, which it operates. CNOOC Ltd. owns the rest.

Production gradually resumed starting last year. ConocoPhillips reported its share of production at 45,000 b/d at the end of third quarter 2012 compared with 62,000 b/d before the spills.

On June 4, 2011, seepage was observed on the seabed along a natural fault near Penglai 19-3 Platform B. Oil and gas bubbles were seen on the surface June 17 near Platform C, 2 miles from the Platform B seep (OGJ Online, Sept. 12, 2011).

ConocoPhillips estimated the total volume released at 700 bbl of oil and 2,589 bbl of mineral oil-based drilling mud.

In 2012, ConocoPhillips and CNOOC reached agreements with China’s Ministry of Agriculture and the SOA. The oil companies agreed to pay $160 million to the Ministry of Agriculture and $173 million to SOA in compensation for two June 2011 oil spill incidents in Penglai 19-3 (OGJ Online, Jan. 25, 2012).

Related Articles

Judge bars Anadarko e-mails as evidence in Macondo blowout hearing

03/21/2014 A federal district judge in New Orleans refused to accept e-mails between Anadarko Petroleum Corp. and BP PLC as evidence in a hearing to determine...

Industry group welcomes most UK budget moves

03/21/2014 Oil & Gas UK voiced support for all but one of several measures affecting the offshore producing industry announced in the UK government’s annu...

MARKET WATCH: Crude oil, gas futures prices slide entering spring

03/21/2014

The first day of spring in the northern hemisphere was marked by lower crude oil and natural gas futures prices.

OMV acquires West of Shetland licenses from Hess

03/21/2014 OMV AG has reached an agreement with Hess Corp. to acquire four licenses in West of Shetland, UK, including Cambo field and the Blackrock prospect,...

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected