ConocoPhillips Chief Operating Officer John Carrig said in a conference call that various platforms are in place and wells are being drilled. Carrig added that a floating offshore oil production vessel with facilities for producing, treating and sorting oil from several producing wells is in the process of being hooked up and getting ready to start production.
ConocoPhillips operates the Peng Lai 19-3 field in block 11/05 in China’s Bohai Bay. Phase I of the Peng Lai project began production in December 2002, and the field is presently producing around 20,000 barrels of oil per day.
Production of the Peng Lai project should rise to 50,000 barrels of oil per day in 2010 and 70,000 barrels of oil per day in 2011.
The project is key for ConocoPhillips’ plans to raise its 2009 production, which the company said this week could be slightly higher than 2008.
ConocoPhillips holds 49% interest in the project and China National Offshore Oil Corp. the remaining interest.
ConocoPhillips also confirmed that its massive liquified natural gas project Qatargas 3 in Qatar is planned to commence production in 2010.
ConocoPhillips has 30% of the project and Qatar Petroleum the remaining 70%. The project is expected to pump 7.8 million tons a year of liquefied natural gas.
