press release

QHD 32-6 Development Successfully Completed


This is news concerning ChevronTexaco but issued by CNOOC Limited and archived here for record purposes.

BEIJING, Oct. 16 - CNOOC Limited announced today that Qinhuangdao 32-6 (QHD 32-6) oil field, which was scheduled for startup in the fourth quarter of 2001, has been brought on stream successfully.

QHD 32-6 is located in the central to northern part of Bohai Bay, 130 kilometers from the city of Tianjin. It holds a recoverable reserve of 103 million barrels net to CNOOC. The development of QHD 32-6 includes 6 producing wellhead platforms. The development planned for this year is consisted of wellhead platform A and B, a single point moor and an FPSO.

QHD 32-6 is jointly owned by CNOOC Limited (51%), ChevronTexaco (24.5%) and BP (24.5%). CNOOC Limited is the operator. The overall development is expected to complete in 2002. The designed peak capacity of the entire field is over 65,000 barrels per day.

"All development projects scheduled to complete this year have thus far all been brought into production," said Mr. Zhou Shouwei, Executive Vice President of CNOOC. "The successful completion of the development program for the year has greatly removed uncertainties surrounding achieving this year's production target and reaching production growth for next year."

CNOOC Limited -- Background Incorporated in Hong Kong in August 1999, CNOOC Limited (NYSE: CEO) (SEHK: 883) is the dominant producer of crude oil and natural gas offshore China. CNOOC Limited is also one of the largest independent crude oil and gas exploration and production companies in the world. As of December 31, 2000, its net proved reserves were 1.8 billion barrels-of-oil equivalents and its net production totaled 239,337 BOE per day.

CNOOC Limited has interests in 45 crude oil and gas properties in four major producing areas: Bohai Bay, Western South China Sea, Eastern South China Sea and East China Sea. It is a major oil and gas company in China with approximately 1,000 employees.

CNOOC Limited, incorporated in Hong Kong, is a 70.6% held subsidiary of China National Offshore Oil Corporation ("CNOOC"). CNOOC Limited is the sole vehicle through which CNOOC carries out oil and gas exploration, development and production activities offshore China and internationally.

Updated: October 2001