Milestones in China

Our partnership with China has grown from when we became the first international operator to assist in making an offshore discovery in the early 1980s to our involvement in the development of the Xijiang oilfield in the South China Sea and the discovery of the Peng Lai oilfields in Bohai Bay in the late 1990s.

Milestones in China by year

Please select a year range to view ConocoPhillips China milestones.

1970-1990

In 1973, China extends invitation to Phillips to assist with oil exploration.
In 1981, Phillips was awarded offshore block in South Sea Pearl River Basin.
Opened Guangzhou office in 1982, opened representative office in Beijing in 1983.
In 1983, Phillips was the first foreign operator to assist in making an offshore discovery in China post-1949.

1991-2000

Opened Shekou, Guangdong office in 1991 to undertake offshore operations.
On November 16, 1994, South Sea Xijiang oilfield started up production.
Opened Shanghai office in 1995 to develop downstream chemical plastics business.
On June 24, 1997, set world record for horizontal completion of well in the Xijiang oilfield.
Acquired acreage in 1996 in Shanxi province to explore and develop coal bed methane gas.
Started up ethylene (HDPE) plant in Jinshanwei, Shanghai in 1997 (100,000 MTA).
In 1997, Phillips was the first foreign operator to make a discovery in Bohai Bay.
In 1999, determined Bohai area's commercial significance and proceeded with development plans.

2001-2010

Phillips China Beijing Headquarters moved to new Millenium Tower in Summer 2001.
Phillips held inaugural ceremony for Badaling Great Wall International Friendship Forest environmental conservation interpretive park on May 31, 2001.
In February 2002, PCI Xijiang Operations and Beijing Office were awarded China's first ISO 14001 Environmental Management System Certification.
Began commercial drilling of 19-3 offshore area in Penglai, Bohai Bay, on April 5, 2002.
On August 30, 2002, Conoco Inc. and Phillips Petroleum Company were merged to form ConocoPhillips.
PL19-3 field had its first production on December 31, 2002.
On September 26, 2003, COPC reached 1 million employee hours worked without a lost workday or any type of recordable injury or illness.
On July 2, 2004, ConocoPhillips launched Hydroclear Lubricants in China.
On July 13, 2004, the Xijiang production team reached a record of 90,745 BOPD.
On July 28, 2004, ConocoPhillips China was awarded Grade A Taxpayer Award by the Sate Administration for Tax.
On December 3, 2004, Xijiang team celebrated 10-year Anniversary of first oil.
In December 2004, ConocoPhillips China Bohai Operation achieved ISO14001 EMS (Environmental Management System) certification.
On January 4, 2005, ConocoPhillips China and CNOOC Engineering (COOEC) held a signing ceremony for the Peng Lai 19-3 Wellhead Platform (WHP) C Fabrication Contract.
On January 17, 2005, ConocoPhillips received government approval for the Peng Lai 19-3 Phase II and Peng Lai 25-6 Overall Development Program (ODP) and Supplemental Development Agreement (SDA).
On January 18, 2005, Tanggu employees moved into the new office located in Tanggu Economic Development Area (TEDA).
On March 1, 2005, ConocoPhillips China signed a contract with Shanghai Waigaoqiao Shipbuilding (SWS), a subsidiary of China Stated Shipbuilding Corporation (CSSC), for the design, partial procurement and construction of the 280,000 DWT (Dead, Weight, Tonne) floating, production, storage and offloading (FPSO) vessel hull for the Penglai oil fields in China’s Bohai Bay.
On March 26, 2005, the Chinese tanker ‘Da Qing 76” completed the 100th lifting of crude oil from the Peng Lai 19-3 oilfield.
The Xijiang FPSO Nanhai Kaituo underwent a major refitting in early 2005.
On March 31, 2006, ConocoPhillips completed acquisition of Burlington Resources to become a leading producer and marketer of natural gas in North America.
In May 2007, Peng Bo, one of the largest Floating, Production, Storage and Offloading (FPSO) vessel in the world, was moved to Singapore for integration and commissioning.
In June 2007, the Wellhead Platform (WHP) C of Phase II development of the Peng Lai (PL) 19-3 oilfield in China’s Bohai Bay started production.
On June 18, 2008, the cumulative production from Xijiang oilfields reached a milestone of 366 Million barrels.
In May, 2008, ConocoPhillips donated RMB2million (USD285,000) right after the earthquake occurred in Sichuan. Special programs were developed for ConocoPhillips employees as well as contractors to make donations and the company matched the individual donations. A total of RMB246, 736 (USD36, 216) were donated by ConocoPhillips China employees and RMB559,740 (USD82,160) by ConocoPhillips China matching fund. All the donations are made through the China Red Cross Society.
On June 18, 2008, the cumulative production from Xijiang oilfields reached a milestone of 366 Million barrels.
In October, 2008, ConocoPhillips China was awarded Vanguard for Chinese People's Livelihood 2008 by China Foundation for Poverty Alleviation and China Fortune Magazine for ConocoPhillips charity contribution in China.
On May 26, 2009, China’s largest FPSO, Bohai Pengbo FPSO (also named Hai Yang Shi You 117) went into production.
In January 2010, ConocoPhillips’ ownership rights in the Xijiang 24-3 and 24-1 fields ended.
In May 2010, ConocoPhillips donated RMB 500,000 (USD73, 200) to China Red Cross for the April 14, 2010 Qinghai Yushu earthquake disaster relief fund.
In November 2010, a major expansion project of the Panyu block 15/34 in the South China Sea was approved by the co-venturers. It will add two additional drilling and production platforms; construction is underway.
In November 2010, ConocoPhillips’ ownership rights in the Xijiang 30-2 Field ended.
On December 15, 2010, ConocoPhillips China donated RMB 2.51million (US$375 thousand) to fund facility development for the Light & Love School, a school for children of migrant workers.

2011-2014

On June 4, 2011, oil sheens were observed on the water’s surface near Peng Lai 19-3 Wellhead Platform B (the B-Event). ConocoPhillips China (COPC) immediately deployed skimmers, absorbent booms and other clean-up equipment. Relevant Chinese government authorities and the China National Offshore Oil Company (CNOOC), our co-venturer, were notified immediately. Once the source was determined to be an existing geological fault that opened slightly due to pressure from water injection into a subsurface reservoir during production activities, COPC began reducing reservoir pressure to seal the source.
On June 17, 2011, an unanticipated high-pressure zone was encountered at a water injection well at Peng Lai 19-3 Wellhead Platform C (the C-Event). The C-Event was separate and unrelated to the B-Event. The well was immediately shut-in to ensure no danger to the personnel or the platform, but the pressure caused reservoir fluids and mineral oil-based drilling mud to flow to the seabed. COPC was immediately engaged with relevant Chinese government authorities and CNOOC.
On June 19, 2011, within 48 hours of the C-Event, a cementing procedure stopped the release at Peng Lai 19-3 Wellhead Platform C. From June 18 to June 19 approximately 600 barrels (97 cubic meters) of oil and about 2,620 barrels (416 cubic meters) of mineral oil-based mud were released onto the seabed.
On June 21, 2011, the reservoir pressure reduction plan at the location of the B-Event successfully closed the fault thereby isolating the reservoir from the surface and stopping the seepage. From the start of the B-Event on June 4 to June 21 approximately 100 barrels (18 cubic meters) of oil seeped from the previously inactive fault.
On September 2, 2011, COPC suspended all production, water injection and drilling operations in the Peng Lai 19-3 Field in accordance with SOA Order 582. In compliance with Order 582 COPC continued clean-up efforts, focused on ensuring oil seep sources were sealed, prepared a new marine environmental impact report for the oil field, and developed a plan for further reducing reservoir pressure.
On September 14, 2011, COPC concluded the clean-up of mineral oil-based drilling mud (MOBM) from the seabed. More than 100 divers completed 1,463 dives since the program began at the start of July.
On October 12, 2011, Shoreline surveillance teams demobilized. In total, the teams covered nearly 155,000 kilometers of shoreline by vehicle and 8,500 kilometers on foot. A total of 83 oily samples were identified during the shoreline surveillance process; quantitative fingerprinting conducted by the most advanced testing laboratories in the world revealed that only three samples contained similar chemistry to the source oil at Peng Lai 19-3 (these were found on the northeast coastline near Suizhong and Qinhuangdao). The remaining samples were unrelated to Peng Lai 19-3.
On January 24, 2012, ConocoPhillips, together with CNOOC, announced an agreement with the Ministry of Agriculture to settle public and private claims of potentially affected fishermen in relevant Bohai Bay communities. Under this agreement, RMB 1 billion (approximately USD 160 million) was paid to the MOA. The MOA is administering the disbursement of these funds to ensure potentially affected fishermen receive compensation. ConocoPhillips also designated RMB 100 million (approximately USD 16 million) to help improve fishery resources – this is being administered by the MOA.
On March 12, 2012, COPC signed another agreement with the TEDA International Cardiovascular Hospital in Tianjin, announcing COPC will donate a further RMB 525,000 to the Love & Hope Project to fund surgeries for underprivileged children suffering from congenital heart disease.
On April 27, 2012, ConocoPhillips, together with CNOOC, announced an agreement with the State Oceanic Administration. Based on the agreement, ConocoPhillips agreed to pay RMB 1.090 billion (approximately USD 173 million) to resolve claims related to the possible impact of the incidents on the Bohai Bay marine environment. ConocoPhillips also agreed to pay RMB 113 million (approximately USD 18 million) to the SOA to support initiatives that enhance marine ecological protection and reduce pollutants in the Bay – this is being administered by the SOA.
On June 4, 2012, ConocoPhillips announced two environmental sustainable initiatives independently supported by the company-- By-Product Synergy EcoPartnership Initiative and Conservation for the crane flyway from the Hulunbeier steppe to Bohai Sea.
On December 24, 2012 COPC signed another agreement with the Light & Love School in Beijing, announcing COPC will donate a further RMB 1,248,500 to the Light & Love School which provides free education and accommodation to for migrant workers’ children.
On December 28, 2012, COPC entered a Joint Study Agreement with Sinopec Southern Exploration Company for the Qijiang shale gas block.
On January 1, 2013, COPC signed another agreement with the TEDA International Cardiovascular Hospital in Tianjin, announcing COPC will donate a further RMB 1,050,000 to the Love & Hope Project in 2013 to fund surgeries for underprivileged children suffering from congenital heart disease.
On January 30, 2013, ConocoPhillips China signed a 3-year agreement with Roots & Shoots Beijing Office, under which COPC will donate RMB 3,045,000 to the Clear Water Project and Migrant Children Environment Education Project in China.
On February 17, 2013, COPC received approval for step by step resumption of production at the PL 19-3 Field.
On February 20, 2013, COPC announced that it has established a Joint Study Agreement (JSA) for unconventional resource development in Sichuan Basin in China with PetroChina Company Ltd. (PetroChina).
On June 24, 2013, COPC signed a 2-year agreement with the International Crane Foundation under which COPC will donate a total of RMB 797,000 to conduct Natural School Program which focuses on environment education for primary school students living in wetlands areas in northeast China.
On July 26, 2013, COPC signed a 3-year agreement with Institute of International Education under which COPC will donate a total of USD 600,000 to establish the China Environmental Stewardship Awards.
On October 9, 2013, COPC signed a 3-year agreement with the Children’s HeartLink under which COPC will donate a total of USD 305,000 to increase the capacity of the West China Hospital’s pediatric cardiac unit to treat and care for more children with congenital heart disease.
On Jul 1, 2014. ConocoPhillips handed over operatorship of the Penglai Oilfield to CNOOC.