CNOOC's Bohai to become China's No.2 oilfield

Tanggu, Oct 15 (Reuters) - CNOOC Ltd (0883.HK: Quote, Profile, Research, Stock Buzz) expects its offshore Bohai field to nearly double output in a few years' time to become China's second-largest oil producer, overtaking ageing onshore field Shengli, company executives said.

The state-controlled offshore specialist is developing 12 new fields and plans to complete overall development plans for another 13 by mid-2008 at Bohai Sea off north China, they said.

When these new fields start on stream, Bohai's production is expected to exceed that of Shengli, a field in the eastern province of Shandong operated by CNOOC's domestic rival, Sinopec Corp (0386.HK: Quote, Profile, Research, Stock Buzz), that pumps at around 540,000 barrels per day.

CNOOC currently produces about 274,000 bpd of crude at Bohai Sea, China's largest offshore producer, making up almost half of CNOOC's total output, officials told reporters.

New production would come from such fields as Penglai 19-3, operated by U.S. firm ConocoPhillips (COP.N: Quote, Profile, Research, Stock Buzz), which is forecast to produce at 165,000 bpd at peak.

Bohai field, headquartered about 170 kilometres east of Beijing, has 29 producing fields pumping from 56 platforms, they said.