Chinese CNOOC expects to drill 132 exploration wells in 2018, and will bring 5 projects to production, the company revealed this while announcing on February 1, 2018, its business strategy and development plan for the year 2018.
In 2018, the company plans to acquire approximately 19 thousand square kilometers 3D seismic data. Furthermore, 5 new projects are expected to come on stream, namely Hess-operated Stampede oil field in the U.S., as well as Weizhou 6-13 oil field, Penglai 19-3 oil field 1/3/8/9 comprehensive adjustment project, Dongfang 13-2 gas fields and Wenchang 9-2/9-3/10-3 gas fields in offshore China.
Total capital expenditure for the company in 2018 is budgeted between $11,1 billion and $12,7 billion. This is the company’s highest capex in 4 years.
Yuan Guangyu, CEO of the company, said: «In 2018, the company endeavors to strengthen innovation and technology-driven philosophy. Meanwhile, we will continue to pursue a sustainable and environmentally friendly development model while increasing oil and gas production and reserves, in order to deliver improved shareholder returns.»
CNOOC’s net production target for 2018 is 470 million to 480 million barrels of oil equivalent (BOE), of which, production from China and overseas accounts for approximately 64% and 36%, respectively.
The company’s net production for 2017 is expected to be approximately 469 million BOE. The company’s net production for 2019 and 2020 are estimated to be approximately 485 million BOE and 500 million BOE, respectively.