Gas production commences at Chuandongbei Project

On January 25, the Chuandongbei Project, a sour gas joint E&P project between CNPC and Chevron became operational as commercial gas was produced from the purification plant of Luojiazhai Gas Field.

Covering an area of over 800 square kilometers, Chuandongbei project is located in the Sichuan Basin in southwest China and consists of several gas fields including the Luojiazhai, Tieshanpo, and Dukouhe-Qilibei gas fields. CNPC has a 51% interest in the project, and Unocal East China Sea Limited, which is wholly owned by Chevron, has a 49% interest and acts as the operator. In 2009, CNPC and Unocal East China Sea Limited signed an agreement for the development of Luojiazhai Gas Field.

Luojiazhai Gas Field is designed to produce 3 billion cubic meters per annum and now has a daily capacity of 9.8 million cubic meters. At present, a 3bcm/a purification plant, a 400kt/a sulfur plant, a gas gathering station, and 29km-long gas collecting pipelines have been completed.