A subsidiary of Roc Oil Co. Ltd., Sydney, and private Smart Oil Investment Ltd. of China will serve as joint operator of a production-sharing contract that calls for development of Weizhou 10-3W oil field in the South China Sea offshore China.
The PSC, which the companies signed with CNOOC Ltd., also covers exploration of Block 22/04. The contract areas are in the Beibu Gulf.
Weizhou 10-3W field covers 18 sq km in 40 m of water. Block 22/04 covers 80 sq km in 40-80 m of water.
Interests in Weizhou 10-3W development are Roc Oil (Bohai) Co., 35%, Smart Oil, 25%, and CNOOC 40%.
During exploration of Block 22/04, interests are Smart Oil, 65%, and Roc Oil, 35%. If the companies make commercial discoveries, CNOOC can back in for as much as 51%.
