Chinese state-owned oil and gas giant China National Offshore Oil Corporation (CNOOC) has enlarged its Asian portfolio with two exploration blocks in Indonesia.
As its wholly owned subsidiaries have entered into two production sharing contracts (PSCs) for exploration blocks in Indonesia with SKK Migas, subsidiaries of other Tangguh partners, EnQuest, and Agra, CNOOC is getting access to the Gaea and Gaea II exploration blocks, located both onshore and offshore in southern Papua Barat Province, in proximity to the Tangguh LNG project.
Covering an area of approximately 12,000 square kilometers, the two blocks come with a three-year first stage of the exploration period, based on the terms of the PSCs. The Indonesian government confirmed the winning bidders for these exploration blocks in April 2025.
The Tangguh partners, encompassing BP, MI Berau, ENEOS Xplora, CNOOC Southeast Asia, Indonesia Natural Gas Resources Muturi, and KG Wiriagar Petroleum, jointly hold 40% non-operating interests, of which the wholly owned subsidiaries of the company hold 5.56% interests in the two blocks.
While EnQuest holds a 40% operating interest in each of these blocks, Agra holds 20% non-operating interests. Saipem confirmed the first steel-cutting ceremony a few days ago for the BP-operated Tangguh UCC project at its fabrication yard in Indonesia. This project entails the production of natural gas resources from Ubadari and transportation to an onshore LNG plant for a CO2 separation process.
Meanwhile, CNOOC is set on boosting its oil and gas reserves both at home and abroad, as illustrated by its recent hydrocarbon discovery in the Beibu Gulf of the South China Sea.
The Chinese player already earmarked up to $19 billion to expand its oil and gas production in 2025 and harness more offshore wind and onshore solar, alongside other low-emission developments and technologies to optimize its hydrocarbon business.