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China’s largest offshore producer announced that it has begun production at its offshore expansion project

China National Offshore Oil Corporation (CNOOC; ticker: CEO) announced this week that it has begun production at its Qinhuangdao 32-6 Bohai Sea Map NOAA
comprehensive adjustment project. Once the project reaches its peak production capability it is expected to produce 36 MBOPD, according to the company’s press release.

The Qinhuangdao 32-6 oilfield is located at the central north of Bohai Bay with an average water depth of approximately 20 meters. The main production facilities for the project include 4 platforms and 99 producing wells. This project is expected to reach peak production sometime this year.

CNOOC has a 75.5% working interest in the project and acts as the operator, while its partner, Chevron China Energy Company (ticker: CVX) holds
the remaining 24.5% working interest.

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Important disclosures: The information provided herein is believed to be reliable; however, EnerCom, Inc. makes no representation or warranty as to its completeness or accuracy. EnerCom’s conclusions are based upon information gathered from sources deemed to be reliable. This note is not intended as an offer or solicitation for the purchase or sale of any security or financial instrument of any company mentioned in this note. This note was prepared for general circulation and does not provide investment recommendations specific to individual investors. All readers of the note must make their own investment decisions based upon their specific investment objectives and financial situation utilizing their own financial advisors as they deem necessary. Investors should consider a company’s entire financial and operational structure in making any investment decisions. Past performance of any company discussed in this note should not be taken as an indication or guarantee of future results. EnerCom is a multi-disciplined management consulting services firm that regularly intends to seek business, or currently may be undertaking business, with companies covered on Oil & Gas 360®, and thereby seeks to receive compensation from these companies for its services. In addition, EnerCom, or its principals or employees, may have an economic interest in any of these companies. As a result, readers of EnerCom’s Oil & Gas 360® should be aware that the firm may have a conflict of interest that could affect the objectivity of this note. EnerCom, or its principals or employees, may have an economic interest in any of the companies covered in this report or on Oil & Gas 360®. As a result, readers of EnerCom’s reports or Oil & Gas 360® should be aware that the firm may have a conflict of interest that could affect the objectivity of this report.