By OGJ editors
HOUSTON, July 2 -- Husky Energy Inc., Calgary, has signed on for its eighth block off South China and plans to begin delineating its Liwan 3-1 deepwater gas discovery later this year.
Husky signed a contract with China National Offshore Oil Corp. for the 1,777 sq km Block 63/05 in the Qiongdongnan basin 100 km southeast of Hainan Island. The block is a similar distance southwest of Block 29/26, where Husky Energy plans to start delineation drilling in the third quarter of 2008 at its Liwan 3-1 discovery.
Liwan 3-1, in 1,300 m of water in the southwestern Pearl River Mouth basin, is the deepest water well drilled off China (OGJ, Mar. 26, 2007, p. 39). The South China Sea discovery well cut 56 m of net gas pay averaging 20% porosity in two zones on a structure with 60 sq km of closure.
The Liwan discovery well was drilled on 2D seismic, and Husky has now shot 925 sq km of 3D seismic across Block 29/26 and adjacent 29/06.
Husky also shot 750 sq km of 3D seismic on Block 35/18 in the Yinggehai basin west of Hainan Island and expects to drill exploration wells in 2009-10 on Yinggehai blocks 35/18 and 50/14 and Liwan blocks 29/06 and 29/26.