CNOOC Limited announced that its parent company, China National Offshore Oil Corporation (CNOOC) has signed production sharing contract (PSC) with Eni China B.V. (Eni) for the Block 50/34 in South China Sea.
Block 50/34 is located in the Qiongdongnan Basin of offshore Hainan Island with a total area of 2,000 square kilometers, is one of the blocks CNOOC offered for foreign cooperation in 2012.
According to the terms of the contract, Eni will conduct 3D seismic survey and drill exploration well in Block 50/34 during the 6.5 years exploration period. All expenditures incurred during the exploration period will be borne by Eni. CNOOC Limited has the right to participate in up to 51% working interest in any commercial discoveries in the block.