China Direct

Shell announce CNOOC global strategic alliance agreement

 

CBI member Shell and China National Offshore Oil Corporation (CNOOC) recently announced that they had signed a Global Strategic Alliance Agreement that reconfirms both parties' commitment to the existing strategic partnership in China and around the world.

Under the agreement, the companies also committed to exploring potential cooperation opportunities in upstream, midstream, and downstream.

Chinese Premier Li Keqiang and U.K. Prime Minister David Cameron both witnessed the signing of the agreement.

Shell and CNOOC have enjoyed an excellent partnership in and outside China in both upstream and downstream projects, including offshore Yinggehai off Hainan Island and a successful petrochemicals joint venture in Huizhou, Guangdong Province. The parties are also working together in liquefied natural gas projects and upstream deepwater projects, including in Gabon and Brazil among others.

CNOOC Chairman Wang Yilin said, "We are delighted to see our strategic partnership with Shell taking a step further under the Agreement. It is another milestone for our already fruitful, mutual-beneficial cooperation. I look forward to deeper and more extensive cooperation with Shell."

Ben van Beurden, Shell's CEO, said, "We are very happy to reconfirm our commitment to the Shell-CNOOC strategic partnership that has borne many fruits. We are committed to growing business together with CNOOC and other Chinese partners and cooperating with them internationally to bring more and cleaner energy to China."

Please click here to read the full press release by Shell.

UK Company BP continues to tap into China

 

[Image courtesy of www.bp.com]

CBI member BP recently received approval from China's Ministry of Commerce to explore for natural gas in the South China Sea in what will be the British energy giant's second deepwater project in China. BP now has permission to establish a presence in a gas field known as block 43/11, which is operated by China National Offshore Oil Corporation.

BP will hold a 40% stake in the project during exploration and later receive 20% of any production. BP and CNOOC first signed a cooperation agreement for the project during Chinese Vice-Premier Li Keqiang's visit to London in January.

BP has invested around $5 billion in China since its entry into the country in the late 1970s to the end of 2010.

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