Analysts say it can generate as much as 5 percent of Britain's annual demand
The United Kingdom's oil and gas regulator has heaped praise on a Chinese energy company for locating one of the largest gas fields off the coast of the country.
The energy consortium, led by the China National Offshore Oil Corporation, or CNOOC, announced this week that it had hit upon the gas field in the Glengorm prospect in the North Sea and that it may hold the equivalent of 250 million barrels of oil.
Analysts estimate the field could generate as much as 5 percent of the UK's annual gas demand.
The Glengorm reservoir is the largest gas field discovered in the UK Continental Shelf, or UKCS, in more than a decade, and the 11th-largest find in the last 30 years. The UK Oil and Gas Authority, or OGA, welcomed the discovery.
"This is very exciting news," said OGA Chief Executive Andy Samuel. "Glengorm was first mapped as a prospect around 20 years ago and it is great to see CNOOC taking up the exploration opportunity and completing a difficult high-pressure, high-temperature exploration well. Initial results show that Glengorm could be one of the biggest finds in the UKCS in recent years, possibly the biggest since the Culzean gas field was discovered 11 years ago."
CNOOC Petroleum Europe, a subsidiary of CNOOC, owns 50 percent of the Glengorm project. French company Total owns 25 percent, and EurOil, a subsidiary of Italian company Edison Esplorazione e Produzione SpA, holds the remaining 25 percent.
"The Glengorm discovery demonstrates the great exploration potential of (the prospect)," said Xie Yuhong, executive vice-president of CNOOC.
"We are looking forward to further appraisal."
The prospect is located in the middle of the North Sea, around 190 kilometers east of Aberdeen, Scotland. Engineers discovered the field after drilling down 5,000 meters into the Upper Jurassic reservoir, which is known for producing gas of high quality.
"Glengorm is another great success for Total in the North Sea, with results at the top end of expectations," said Kevin McLachlan, senior vice-president of exploration at Total. "Our strong position in the region will enable us to leverage existing infrastructures nearby and optimize the development of this discovery."
The OAG said the discovery proved that the British gas industry is alive and well. "This underlines the considerable potential of the UKCS," said Samuel. "Our official estimate is that there still remains between 10 billion and 20 billion barrels-plus to be recovered, so there is every chance of yet more significant finds, provided industry can increase exploration drilling and capitalize on the real value to be had here in the UK."
Scotland's Energy Minister Paul Wheelhouse said the discovery highlights the great potential of oil and gas trapped beneath the Scottish seabed.
However, environmental organization Friends of the Earth condemned the continued practice of drilling in the North Sea, citing a recent report from the UN Intergovernmental Panel on Climate Change, or IPCC, that strongly urged governments to ramp down fossil fuel usage in light of global warming.
Editor:Yaling
