Double happiness:Sinopec celebrates new finds
Double happiness for Sinopec
China’s Sinopec has discovered oil and gas in the country's northwestern Xinjiang region and Sichuan province in the south-west, the company said today.
Sinopec said it had drilled the AD4 exploration well in the Tahe field in Xinjiang, with production reaching 7462 barrels of oil per day day, the highest yield from a single well in the field.
The well's rich output is an indication of potentially large oil and gas reserves in the Tahe field, Sinopec said, without providing an estimate.
The field is a major contributor to Sinopec's output, accounting for about 13% of its total crude oil production as of mid-2006.
Some analysts say Tahe might in the future rival Daqing - the country's largest oil field - in output.
Meanwhile, Sinopec said its Dayi-1 exploration well in Sichuan province was producing 260,000 cubic metres of natural gas a day.
The company expects to discover 100 billion cubic meters of natural gas reserves in the 108-square-kilometre Dayi block by 2010 and produce 2 Bcm annually.
The latest discovery in Sichuan follows Sinopec's discovery last year of another large find in the nearby Puguang field.
According to a Dow Jones report, the rich gas discoveries may delay Sinopec's plan to buy liquefied natural gas from the international market.
On 10 April, Sinopec said it decided not to buy LNG from Iran after negotiations, citing the high price