Wednesday, January 22, 2020

Chinese offshore oil company’s development and engagement in the East Sea

The exact amount of oil and natural gas reserves in the East Sea need further exploration to determine because most predictions have been made on basis of discovered fields clustering in uncontested parts of the sea. However, the undiscovered hydrocarbon resources beneath the seabed have for long been viewed as one of factors that stipulate coastal states, particularly China to assert maritime claims in the East Sea, in which China Offshore Oil Company (CNOOC) has been an active player.

As the only one in China possessing offshore technology, CNOOC is responsible for deep sea oil and gas exploitation and development. After 30 years of development, it becomes a world-class energy company that can independently construct offshore equipments, and has technological capability to drill anywhere in the East Sea.

In that regard, the paper will explore: (i) CNOOC’s foundation, development and exploitation strategy; (ii) CNOOC’s oil and natural gas development in the East Sea; and (iii) implications of its engagement in the East Sea.

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