China: ROC Oil group developing Bohai Bay blocks | Oil & Gas Journal

A group led by ROC Oil Co. Ltd., Sydney, will drill a second appraisal well in 2012 in Bohai Bay offshore China.

The petroleum contract covering the 28 sq km Zhao Dong block was modified In March 2011 to include the adjacent 16 sq km Zhanghai block and 26 sq km Chenghai block with the aim of commercializing previous nearby discoveries and encouraging further exploration. ROC Oil operates the new blocks with 39.2% interest, PetroChina Ltd. has 51%, and Sinochem has 9.8%.

The first appraisal well, ZD CP2N-H-1, was brought on production in August 2011. A subsea oil pipeline from Zhao Dong to the Dagang refinery began deliveries on Oct. 19, 2011, eliminating barge operations that could be interrupted by weather.

ROC acquired the Zhao Dong interests from Apache China Corp. in 2006. Production started from C4 field, in which ROC holds an 11.575% unitized interest, and the extended reach area of the C&D fields from new facilities commissioned in October 2008.

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