China is set to reach record oil production levels as it ramps up investment in domestic resources.
Boost Local Production
Currently, China produces around 4.3 million barrels of oil per day and is projected to increase this to 4.5 million barrels by 2025, according to the International Energy Agency.
Although China consumes far more oil than it produces — about 15 million barrels per day — the push to boost local production is a strategic move toward energy security.
A standout example of China’s oil expansion is the Bohai oil field, its largest offshore site.
Despite being over 60 years old, Bohai recently reached a new peak, producing over 733,000 barrels per day in 2023, around a sixth of China’s total daily production, according to El Economista.
Advanced technology and significant investments have kept the field active, with more than 450 new wells drilled this year alone.
Bohai overtook the Daqing oil field as China’s leading producer in 2022. While Daqing had historically been the top contributor, the increased capacity and modernization of Bohai have reshaped China’s domestic oil landscape.
Busiest Maritime Corridors
Located in the Bohai Sea near Beijing, the field spans around 78,000 square kilometers. It is one of the busiest maritime corridors in the world, with extensive oil and gas deposits, making it strategically important for China’s energy independence.
China National Offshore Oil Corporation (CNOOC), the field’s primary operator, views Bohai as a key contributor not only to energy security but also to China’s economic growth.
The journey to Bohai’s prominence hasn’t been easy. Originally seen as a challenging project due to geological complexities and high costs, the field has transformed over the past two decades.
CNOOC’s enhanced drilling techniques have reduced drilling time from 57 days to under 10, leading to major finds such as Kenli 10-2 and Bozhong 19-6.
In 2022, CNOOC also discovered Bozhong 26-6, the largest oil field in metamorphic rock, with over 1.3 billion barrels in reserves. Bozhong 26-6 has undergone a swift environmental review, allowing it to enter production soon.
