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Husky lines up plans in China: production at Liwan, the country's first deepwater production slated to commence in 2012 to 2013.

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Husky lines up work in South China Sea

Husky Energy is drilling a third appraisal well in Block 29/26 in the South China Sea.

The chartered semi-submersible West Hercules earlier drilled two exploration wells that failed to hit commercial hydrocarbons.

Block 29/26 contains the Liwan gas discovery, which is scheduled to come on stream some time between 2012 and 2013.

As earlier reported, Australia-based WorleyParsons has commenced front-end engineering and design for the gas project in the second quarter of this year. Work is expected to wrap up in 2010.

Based on the results of the first appraisal well, Liwan 3-1-2, Husky said the gas development may produce over 150 million cubic feet per day of gas.

The favoured development concept for Liwan is said to be a deep-water subsea gas gathering system connected by a 100-kilometre subsea pipeline to a central processing platform in about 200 metres of water, and then a 260-kilometre subsea export pipeline to a newbuild onshore gas processing.

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