CNPC has been operating in Oman since 2002 and now has oil and gas assets and interests in the country, while also providing oilfield services.
Oil and Gas Operations
Oilfield Services, Engineering and Construction
In April 2002, CNPC signed a production sharing contract for a 50% interest in Block 5 in Oman. The operator of this oil and gas exploration and development project is a joint operation company established by CNODC, CNPC (Hong Kong) Limited and Oman MB Group.
Daleel and Mezoon oilfields are the major production zones in Block 5. The Daleel Oilfield has experienced over 40 years of commercial production. Daily output of this block has increased from 4,300 barrels to 15,000 barrels by adopting multilateral horizontal well drilling. In 2005, a high yield oil blowing with a daily output of 1,850 barrels was obtained from well Daleel-75 in Block EF, which is the highest daily production per individual well in the south of the Daleel Oilfield. In 2006, the daily productivity of the four multilateral horizontal wells in the Mezoon Oilfield each reached 600-800 barrels at the initial stage. Well DL-105 drilled at the DE fault block in the Daleel Oilfield was put into production with a tested daily natural flow output of 800 barrels at the initial stage.
In 2008, a new discovery was made in the structural-lithologic traps in Shuaiba Formation in Block 5. Despite the rapid natural depletion of the oilfield, oil output was increased to 20,000 barrels/day from 4,500 barrels/day when we took over the block in 2002.
In 2009, since the takeover of Block 5 of Oman by CNPC and MB in 2002, crude output had significantly increased in the past seven years. The daily output jumped from 4,500 barrels in 2002 to 21,000 barrels. Development of the Daleel oilfield was accelerated and progressive exploration, horizontal waterflooding, and measure work achieved big advances. By means of the BOO (build, own, operate) business model, the company successfully completed and started to operate the natural gas processing plant with a capacity of 20 MMScfd, which allowed for the treatment of the associated gases of the oilfield and the recovery of stable light hydrocarbon and LNG, avoiding pollution caused by untreated natural flaring and creating conditions for more comprehensive use of natural gas.
In 2011, we exceeded the annual production objectives of our Omani project by accelerating horizontal well waterflood in mature fields.
In Oman, CNPC provides a wide range of oilfield services, including geophysical prospecting, well drilling, logging, perforation and formation testing. We have signed a contract with DALEEL to provide drilling services. We also won the tender of a 3D prospecting project from Petroleum Development Oman (PDO) and entered into a drilling service contract with PDO on the Lekhwair project.
In early 2006, the drilling service project was launched. As the master contractor, CNPC shall provide relevant engineering and technical services to 232 wells of PDO for three years, including drilling, logging, directional drilling, casing running, cementing and acid pickling.
In 2008, we completed US firm OXY's Phase I acquisition of the 4D/3C time-shift seismic prospecting contract in Oman.
In 2010, our PDO acquisition project set a record with a per day average of 20,000 shots using Distance Simultaneous Separated Sweep (DSSS) technology.
In 2011, we won the bidding of PDO's tremendous 3D project.
In 2012, by employing a pile mark-free navigation system, low-frequency scanning, and DS3 acquisition technologies, our 3D seismic project for Oman’s PDO registered the highest number of 20,651 shots in a single day and 19,000 shots on an average day. Moreover, the project team has maintained safe operations for 10 million working hours, a result recognized by PDO.
Sept. 2012 CNPC International (Oman) was recognized as the "Oil Producer of the Year 2011-2012" by the Ministry of Oil and Gas (MOG), Oman Society for Petroleum Services (OPAL) and Petroleum Development Oman (PDO).
Jun. 09, 2005 CNPC and Oman Oil Company S.A.O.C (OOC) signed a Memorandum of Understanding on the investment and cooperation in oil and gas development and downstream operations.
Apr. 26, 2002 CNPC signed a production sharing contract for 50% interest of Block 5 in Oman.