Aug 14 U.S. oil and gas producer Newfield
Exploration said the sale of its offshore China
properties could be delayed after an equipment failure suspended
installation of an oil platform.
Woodlands, Texas-based Newfield said in February it was
seeking to sell its interests in Chinese and Malaysian fields as
it invests more in profitable projects close to home.
The malfunction of a hydraulic jacking system, used to force
oil through pipes, stopped the installation of the topside at
the LF-7 field in the Pearl River Mouth basin, the company said.
The topside in an offshore rig holds facilities such as
water treatment and power generation to process oil and gas.
The company said last month it expected oil output from the
Pearl field to start in late 2013 to early 2014.
Costs and timing for reinstallation of the topside was
uncertain, Newfield said, adding that the installation was being
managed by a third-party contractor. Newfield did not name the
The incident does not affect the sale of its Malaysian
oilfield development business, which is expected to close in
late 2013 or early 2014, the company said.
In June, Reuters reported that Newfield's international
assets have an estimated value of about $1 billion, based on
production and reserve data, citing sources.
In the United States, Newfield drills for oil, natural gas
and liquids in Mid-Continent, the Rocky Mountains and onshore
Shares of Newfield, which has a market value of about $3
billion, closed at $24.48 on the New York Stock Exchange on