2009-08-19-2007-09-01

WI

China National Offshore Oil Corp., parent of CNOOC Ltd., Hong Kong, (NYSE: CEO) has entered a production-sharing contract with Singapore-based Singapore Petroleum Co. Ltd. for Block 26/18 offshore China. The block is in Pearl River Mouth Basin and covers 4,961 square kilometers. Singapore Petroleum will pay all expenditures during exploration. CNOOC Ltd. has the right to participate in up to 51% interest in the event of a commercial discovery. CNOOC vice president and general manager of exploration Zhu Weilin says, "There's great interest in exploring the potential offshore China, so we could keep continuous flow of new projects for joint exploration of oil and gas resources."