COSL to drill two wells for Primeline offshore China
Primeline Energy has signed a letter of intent with China Oilfield Services Co. Ltd. for exploration drilling in block 33/07 in the East China Sea.
This allowed Primeline to finalize the well design and conclude discussions with drilling contractors, culminating in the LOI.
COSL will drill two wells; the first will be LS23-1-1, with the second to be determined following evaluation of the results.
Primeline anticipates total drilling costs for the wells at around $20 million, excluding testing in the event of a discovery.
This is the first step in the partners’ strategy to prove more hydrocarbons for swift development via production infrastructure serving the nearbyLS36-1 offshore gas field.