CNOOC Limited Announces Production at Offshore Green Oilfield

HONG KONG, July 1, 2024 — CNOOC Limited has announced that production has commenced at the Wushi 23-5 Oilfields Development Project, located in the Beibu Gulf of the South China Sea. This is China’s first offshore green design oilfield.

The project features two new wellhead platforms and a renovated Wushi terminal, with a total of 43 development wells planned, including 28 oil wells and 15 water-injection wells. The project is expected to reach peak production of approximately 18,100 barrels of oil equivalent per day by 2026, producing light crude oil.

CNOOC Limited has implemented low-carbon development strategies throughout the design, construction, and production phases. Notably, this oilfield will be the first in the South China Sea to receive power from shore and will incorporate integrated natural gas treatment for full-process recovery and utilization of associated gas.

The company holds 100% interest in this project and serves as its operator.

Geothermal Energy Expansion in Utah

Southern California Edison has announced it will purchase electricity from Fervo Energy, a Houston-based geothermal energy company. Fervo plans to drill up to 125 geothermal wells in Utah, aiming to produce 400 megawatts of electricity, sufficient to power 400,000 homes.

Fervo employs advanced drilling technology, originally developed by the oil and gas industry, to tap into geothermal reservoirs located between one to three kilometers below the Earth’s surface. This project in Utah, named the Cape Station project, is situated approximately 320 kilometers south of Salt Lake City and is expected to commence electricity supply by 2026.

California Energy Commission Chair David Hochschild highlighted the compatibility of geothermal power with solar farms, emphasizing its role in providing consistent electricity when solar power is unavailable.

Fervo previously initiated a similar project in Nevada, which started supplying power to the local grid in November 2021.

These developments underscore the growing focus on sustainable and low-carbon energy solutions in both the oil and geothermal sectors.