The Bohai Sea’s New Frontier
China National Offshore Oil Corporation (CNOOC), the state-owned energy titan, has just flipped the switch on the second phase of its groundbreaking Luda 5-2 North oilfield project in the Bohai Sea. This isn’t just another offshore development—it’s a game-changer for super heavy oil extraction, a notoriously challenging resource to tap.
Phase II comes hot on the heels of Phase I, which launched in 2022 and marked China’s first successful offshore thermal recovery of super heavy oil. With 100% ownership and operational control, CNOOC has been pushing the envelope, achieving what it calls “major technological breakthroughs” to boost efficiency and unlock the potential of these dense, viscous reserves.
Tech That’s Changing the Game
At the heart of this project is cutting-edge jet pump injection-production technology, a system optimized to make heavy oil extraction not just feasible but economically viable. By fine-tuning this process, CNOOC is setting a new standard for offshore energy production.
The Luda 5-2 North oilfield sits in the central Bohai Sea, where the water depth averages around 30 meters. The infrastructure includes a new auxiliary production platform and a wellhead platform, designed to handle the complexities of super heavy oil. With 29 development wells planned—28 for production and 1 for water sourcing—the project is on track to hit a peak output of 6,700 barrels of oil equivalent per day by 2026.
A Broader Vision for Energy
This milestone isn’t happening in isolation. Just weeks before launching Phase II, CNOOC activated production at the Bozhong 26-6 oilfield, hailed as the world’s largest metamorphic buried hill oilfield, with over 200 million cubic meters of proven oil and gas reserves.
But CNOOC isn’t stopping at hydrocarbons. The company is diversifying its portfolio with a $19 billion investment plan for 2024, targeting not just oil and gas but also offshore wind, onshore solar, and AI-driven innovations to reduce emissions and optimize operations. It’s a bold, multifaceted strategy that positions CNOOC as a leader in both traditional and renewable energy sectors.
