CNPC

CNPC to focus on Sudan
Date: 25/07/2008 
   
China National Petroleum Corporation (CNPC) plans to set up two independent
units to spearhead investment in oil and gas exploration and development in
Sudan and South America.
Company officials said Sudan and South America are emerging areas that are
poised to contribute the bulk of CNPC's overseas production in the future.
The company plans to separate its operations in Sudan and Venezuela from
those in the rest of the world because they are politically sensitive areas
where foreign investment has drawn international criticism.
Currently, the E&P investment in the two areas comes under the jurisdiction
of CNPC's overseas outfit China National Oil & Gas Exploration & Development
Corporation.
CNPC hopes the new structure will help ease the international row over its
E&P involvement in Sudan.
The company hopes to produce 600,000 barrels per day of crude from Sudan by
2010, despite the fact that it has reduced activities in Sudan's Darfur
region due to unrest.
It is now operating at Sudan's blocks 1, 2, 6, 3/7, 12/4, 13 and 15. The
latest addition is the 20-year production sharing contract for Block 13 that
covers 38,200 square kilometres, stretching from Sudan's north-east coast to
the Red Sea.
CNPC has a 40% interest in the project, with the rest split between
Indonesian state-owned oil company Pertamina, Sudanese state oil company
Sudapet, Sudan's Dindir Petroleum International and Nigeria's Express
Petroleum & Gas and Africa Energy.
The South American unit will look after E&P in Peru and Venezuela. The
latter is increasingly becoming important in CNPC's overseas profile.
Two months ago, CNPC signed a deal with Venezuelan state oil company PDVSA
to form a joint venture to develop the Junin 4 Block in Venezuela's Orinoco
heavy oil region.
In the deal, CNPC will have a 40% stake. PDVSA and CNPC plan to produce
about 20 million tons of oil per annum from the block.
The companies have also signed a deal to jointly build a refinery in China
to process heavy crude from the Orinoco field as part of Venezuelan
President Hugo Chavez's plans to boost exports.
PDVSA has also signed a memorandum of understanding with a Chinese shipyard
to build large crude carriers to move the fuel to China.
Venezuela said earlier that it will boost oil supplies to China to 1 million
bpd by 2012, up from the 500,000 bpd expected in 2010. The current volume is
250,000 bpd.
Source :Upstream 25 Jul 2008 
   

TOTAL PREPARES FOR OIL EXPLORATION

Total preparing for Sudan exploration operations
Date: 14/07/2008

Total revealed yesterday that it is preparing to commence a new exploration
effort in southern Sudan almost 30 years since it concluded the licensing
agreement.

Jean Francois Lassalle, vice president at Total for public affairs, said the
company is in the initial stages of exploration, which was halted more than
20 years ago by the Sudanese civil war. He said prospective acreage has been
identified in the area near Bor, capital of Jonglei, and that participants
have been determined for a new consortium for the exploration and production
effort.

Lassalle said Total is still waiting for drilling equipment to arrive at its
base camp in Juba, but that the anticipation is that exploratory drilling
will commence before yearend. "We're going to hunt for elephants in Sudan,
not for mosquitoes," he said.

MUTTON MASALA

Mathur (orange coverall) is an Indian food specialist. On the 11 July 08, he prepares for us mutton masala. Everybody eats more than one plate of rice!!! I heard that he owns a restaurant in India and used to be chief cook for one of India oil company. Thank you very much for your kindness.

UNSUCCESSFUL DAY

Tuan Daing and his little "kerapu". He says the tug positions affect his catches on 11 July, 08. Due to changing in wind and sea current, the tug and barges move to several locations. I can buy his reasoning!!!

THE HEAT IS ON

High concentration!!!! The heat is on...47 C!!!

TOUR PROGRAM AT RED SEA

As usual, this is part of the weekend tour program at the floating hotel.

CATCH OF THE DAY

First catch of the day, 11 July 2008.

THE ARABIAN KINGS

The capati is ready and we had a group photos before proceed with the dinner. It is indeed a wonderful weekend at the floating hotel. We talk about past experiences, cooking, traveling, fishing and many more.

OIL PRICE

Despite rocketing prices, outlook is bleak for oil majors
Date: 07/07/2008

Despite record crude prices, the major oil companies are struggling to
access resources that are being jealously guarded by national companies with
whom they are forced to establish partnerships.As paradoxical as it may seem, high oil prices do not mean a golden age for the likes of ExxonMobil, Chevron, Total or BP. Of course, with a barrel of oil at more than 140 dollars, they are seeing major profits, but the future has never seemed so uncertain.The problem is access to reserves. The oil majors now control less than 10 percent of world resources of gas and oil, against 70 percent in the 1970s, according to figures released by the office of Ernst and Young at the World Petroleum Congress in Madrid. As a result they are being forced to explore in increasingly extreme conditions."Oil in deep water or in regions that are difficult to access (such the Arctic) are what are left for international companies," said Christophe de Margerie, the head of French group Total. The majors are also competing with the national oil companies, which are not content to just enjoy direct access to the resources of their respective countries but are making inroads elsewhere. "National hydrocarbon companies are no longer confined to within their borders," OPEC president Chekib Khelil said, citing the examples of China's Sinoc and CNPC, Malaysia's Petronas or Algeria's Sonatrach. "A lot of international companies were previously national companies, such as BP and Total," said Khelil. "It's more and more difficult now to know which are national companies and which are majors because the majority of the nationals are becoming internationals," said Linda Cook, head of gas and electricity at Anglo-Dutch Shell. Even their superior technology is not enough, as national oil companies can can appeal to service firms such as Schlumberger or Technip. Of course, some like Saudi Aramco, have no problems in that respect. The Saudi company is developing "nanorobots" with a diameter of less than the size of a human hair to look for deep resources in rocks. But the majors still hold some aces, such as their expertise in more
ambitious projects or their financial bases. "The increasingly massive size of oil and gas projects and their complexity ensure that oil companies continue to play a key role," as they have the
advantage over service industries of being the sole representative throughout the project, Ernst and Young said. "In most of the cases, we (Shell) will continue establishing alliances with state companies, in their and our countries, specially with gas, which needs big investments," said Linda Cook. But the majors can longer appear to be preying on the countries where they are operating. "We can do a lot of things more than our regular work, such as education and training," said de Margerie. "It is essential for Total to go beyond its traditional role."
Source : AFP 07 Jul 2008

WHY PEOPLE CALL IT RED SEA ?

I guess this is how the Red Sea get it's name. Whenever there is a sand storm, the visibility is so poor and the sun light that reach the sea and the land become reddish. Subhanallah.

SITI SPECIES

Daing manage to fish this medium size "Siti Nurhaliza" species. All of us enjoy steam fish during yesterday dinner. It's really taste like fish...... I mean fresh fish. Ummhhh!!! The satisfaction increases our desire to fish again this weekend, InsyaAllah.

THE PRO STYLE

Every professional fisherman has a unique fishing style!!!

THE UNLUCKY FISH

We feel sorry for the fishes. Allah has ordained that all of you become our provision.

LAKSA MANA? DAING

Laksa Mana Daing looking at the ship bow to ensure the ship is steered safely and avoided collusion with floating iceberg. He wishes to be the "Dina Star" hero!!!

AIR FILTER

See his "janggut". He has collected plenty of dust from the air. I don't know how much that goes into his nose and finally to his lung. It won't stop him from fishing!!!

KERAPU MERAH ?

This is not a gold fish lahhh!!! "Kerapu Merah lah"

FISHING LOVERS

This floating resort provides beach bench for fishing lovers.

DON'T MISS THE BOAT

He is sleepy either because of eating too much "mutton pulau" or fishing till late night !!! I hope he is happy with this fishing trip. The guy with the red shirt arrived from Malaysia on 3rd July and without hesitation joining us two hours after check in to the shore hotel. Fishing at the Red Sea is his main hobby.

ALWAYS BRING BACK GOOD MEMORIES

The Malay proverb says "Never refuse provision given by Allah". The host never let us go back with empty stomach or without special meal. These two gentlemen are having "Mutton Pulau" before leaving the floating hotel for Friday prayer. Indeed, they go back to shore with good memories.

DINNER ON THE FLOATING HOTEL

It is nice to see Babuji back to the floating hotel. We have a lot of things to catch up and hear from him. We go to sleep at night with our stomach full of "capati". We never refuse others kindness. Alhamdulillah and Allah Karim.

FISHING TRIP - 4TH JULY, 08

During morning of 4th July, 08, strong wind blows from South towards North direction and carry along dust particles from nearby bare land or desert. The dust suspends in the air for many hours before the easterly wind bring it to inland in late afternoon. Bad air quality and visibility do not deter my friends from fishing. Their hair turns into brown color. The dust blocks the sunlight and heat and make the day a little pleasant but humid. Alhamdulillah, we are blessed with some small fishes and receive several large fishes from the Dina Star chief officer too. Later in the evening, we cook sweat and sour and soy sauce fish for dinner. It is not easy to live by our home standard in this part of the world!!!