China reports big oil discovery: 2.2 billion barrels
According to Seattle Times :
Thursday, March 29, 2007
BEIJING — For 15 years, China's oil companies have scoured its territory for new oil sources, drilling in Central Asian deserts and the floor of the Pacific, hoping to reduce rising dependence on imports.
After years of disappointment, PetroChina Ltd. announced it has found an offshore field that could become China's biggest new domestic-petroleum source in a decade, with reserves of 2.2 billion barrels, the official Xinhua News Agency said Wednesday.
Such a field would be a "world-scale discovery," said Gavin Thompson, an oil consultant in Beijing for the Scottish firm Wood Mackenzie.
"In terms of energy security, a 2-billion-barrel discovery is going to be very welcome, not only to PetroChina but to China's energy planners," he said.
PetroChina disclosed last week that it found a new field in Bohai Bay but released no details. Company spokespeople refused on Wednesday to give more information. Thompson said PetroChina is likely to have to do more drilling to confirm how much oil it can extract.
Economists say Chinese oil demand, driven by blistering economic growth that reached 10.7 percent in 2006, has strained world supplies and pushed up prices.
China became a net oil importer in the late 1990s and now is the world's No. 2 consumer after the United States, and consumption last year rose another 9.3 percent to 2.4 billion barrels. Imports in 2006 surged by 16.9 percent and accounted for 47 percent of consumption, while domestic production edged up just 1.7 percent. China has some 16 billion barrels of proven reserves, according to British oil company BP PLC.
China's leaders see reliance on imported energy, a large share of it from the politically volatile Middle East, as a strategic weakness.
They are trying to improve the poor efficiency of China's fuel-guzzling economy, which consumes several times as much energy per unit of output as Japan or the United States, while pushing state oil companies to find new domestic sources.
Chinese drillers have found several big gas fields, but no major oil sources since the mid-1990s, when blocks were found in Bohai Bay and in the Tarim Basin of the northwest's searing Taklamakan Desert.
-OoooOOoooo..."World Scale Discovery"....2.2 Billion barrels Estimates Oil found and more have to be drilled to prove it's recoverable reserve. Nothing worth mentioning...irony that the estimate volume is less then the oil consumption of China in WHOLE OF YEAR 2006.
Popularity: unranked [?]
