COSL begins seismic survey in East China Sea

Primeline Energy Holdings Inc.  today announced that its contractor, China Oilfield Services Ltd. (COSL), has commenced the 3D seismic survey in Block 33/07, East China Sea.

As announced in December 2013, Primeline signed a turnkey contract with COSL for a 600sq km 3D seismic survey in Block 33/07 as part of its rolling development and exploration programme. Due to delays incurred in COSL’s preceding work, the 3D seismic survey vessel, Hai Yang Shiyan 718, arrived at Primeline’s location on March 30, 2014, later than anticipated, and the vessel started deploying the streamer for Survey on March 31, 2014.

The survey is estimated to last around 50 days, subject to weather and fishing activities in the area. A further announcement will be released when the survey is completed and processing starts.

Primeline has existing 3D seismic data covering the LS36-1 gas field development and its immediately surrounding prospects. The area now being surveyed is located to the north of and adjacent to this existing 3D seismic data area.

The survey is intended to provide better definition of the prospects and leads that have been identified in the survey area using 2D data, in order to generate more drillable prospects.
In the meantime, the LS36-1 gas field development is progressing well with CNOOC Limited, as operator, working on the final connection to allow the production to start soon. Based on current information from CNOOC, the target for first gas remains around mid-2014.