Enter the Middle East, see China Petroleum to build strong overseas business fulcrum!


Article source: China Petroleum News

On October 8, at petrochina's largest overseas operator project, the Halfaya Oil Field, a modern natural gas processing plant, the Halfaya Oil Field Gas Processing Plant (GPP), is carrying out a steady trial operation with a green mission.

The project is a livelihood project focused on by the Iraqi government, with an annual processing capacity of 3 billion cubic meters of associated gas and 1 million tons of condensate, which can reduce sulfur dioxide emissions by nearly 30,000 tons per year and provide 2.25 billion cubic meters of natural gas for downstream power stations. Other products from the gas processing plant, such as LPG, C5+, sulfur, etc., will further enhance the economic and social benefits of the Halfaya field.

Petrochina's energy cooperation in the Middle East began with the signing of the Ahdab oil field project in 1977. In the past 26 years, especially in the journey of deep participation in the construction of the "Belt and Road", CNPC adhering to the principle of extensive consultation, joint contribution and shared benefits, with cooperation projects as a link, and established a solid and reliable partnership with many countries in the Middle East. The footsteps of oil and gas cooperation spread across Iraq, Oman, the United Arab Emirates and other five countries in the Middle East, 15 oil and gas cooperation projects have been launched, and the production capacity has exceeded 100 million tons. It has become the "ballast stone" of the "Belt and Road" oil and gas cooperation, and is also a model of high-quality and efficient overseas development of Chinese petroleum.


Share opportunities

Build a broad platform for energy cooperation with oil and gas projects as the starting point

In the Middle East, CNPC has continued to optimize its asset portfolio, promoted the construction of key projects in an orderly manner, and expanded its oil and gas cooperation from exploration and development to trade, engineering technology and engineering construction. This has not only accelerated the pace of oil and gas revitalization and economic development in the host country, but also created a new pattern of multi-win for investors, host countries and partners, and delivered a mutually beneficial and win-win outcome of energy cooperation.

In Iraq

Petrochina and bp have jointly developed Iraq's largest oil field, Rumaila Oil field, with an annual output of over 70 million tons, accounting for one-third of Iraq's total output, which has not only achieved good economic benefits, but also withstood the test of the highest standards in the international oil and gas industry, winning the recognition of the host country and partners. The Khafaya Project is the first large-scale project that CNPC has cooperated with a major Western oil company as an operator, and the first, second and third phases of the project have all achieved efficient construction and production, which is praised as the "fastest and best executed project" in the international bidding projects in Iraq. As the first foreign oil cooperation project in Iraq's post-war reconstruction, the Ahdab oil field has achieved the peak production target stipulated in the contract three years ahead of schedule, creating stable and considerable economic income for Iraq. In the West Qurna oil field, petrochina has worked with ExxonMobil and other international partners in good faith, and the construction of the oil field has continued.

In the UAE

The cooperation between petrochina and ABU Dhabi National Oil Company (ADNOC) has been steadily advanced, and the company has fully participated in the exploration, development and operation management of four projects in ABU Dhabi: onshore, onshore, offshore Unna and Xiaza.

In Oman

The Oman Area 5 oilfield project, developed jointly by CNPC and local enterprises, has become the third largest oil producing area in Oman.

In addition to upstream exploration and development projects, petrochina gives full play to the synergies between different business chains such as technical services and engineering construction, and the "circle of friends" of energy cooperation is getting larger and larger, and the road of open cooperation is getting wider and wider.

In 2018, petrochina Eastern Geophysical Exploration (BGP) won AdNOC1.6 billion US dollars in the global geophysical exploration industry, and in 2023, it made another major breakthrough - successfully winning 5 large land and sea seismic exploration contracts awarded by the world's top oil companies in the Middle East, with the total contract amount reaching a new high in the history of global geophysical exploration.

The Bab oilfield complex project, undertaken by the Engineering Construction Company (CPECC), became the only project ADNOC delivered on schedule during the epidemic period, and after the project was put into operation, ADNOC achieved an increase of nearly 100,000 barrels of crude oil per day, and also had a far-reaching impact on the UAE's "development strategy for the next 50 years" and the sustainable development of China-Arab energy cooperation.

Seek common development

We will take scientific and technological innovation as the engine to boost energy cooperation for mutual benefit

In the face of a new round of scientific and technological revolution and industrial change, China Petroleum deploys an innovation chain around the industrial chain, relies on the innovation chain to enhance the value chain, and realizes the leap from chasing to catching up, from following to leading in the high-end market in the Middle East. While contributing wisdom, let scientific and technological innovation benefit the local people of partner countries, and let technological advantages carry more humanistic care.

In the face of the world's difficulties in the development of extremely thick and complex carbonate reservoirs in the Middle East, petrochina combined with project production practices, promoted key technological research, and innovated a series of technologies such as "hundred-ton capacity engineering and efficient development of extremely thick and complex carbonate reservoirs in the Middle East", which effectively guaranteed the efficient development and rapid production of investment projects. The Rumaila project has achieved the target of increasing production by 10% two years ahead of schedule, and the output has increased from 1.06 million barrels per day at the time of entry to about 1.4 million barrels per day at present. The Khafaya project took the lead in completing the construction of peak capacity and achieving peak output among the projects awarded in the same period in Iraq, making outstanding contributions to the post-war reconstruction and social and economic development of Iraq.

Technological innovation is also reflected in the use of technological support to improve people's well-being. Faced with the shortage of electricity and gas in Iraq and the import of natural gas from neighboring countries, CNPC overcame the difficulties of huge investment, long cycle and high technical difficulty in associated gas processing, and steadily promoted the construction of GPP project. After the completion of the project, the natural gas produced by the project can achieve 5 billion KWH of electricity generation, further improving the shortage of electricity in Iraq. The Al-Hadaib project actively responds to the challenges of complex technology and difficult construction of natural gas processing system, and puts into operation liquefied petroleum gas (LPG) plant ahead of schedule, becoming the first upstream oil and gas field development project in Iraq to produce LPG, making up for the shortage of LPG in the Iraqi market, especially in the province of Wahit, where the oil field is located.

Overcoming such challenges as tight deadlines, high technical requirements, complex geological conditions, and cross-regional operations, CNPC actively participated in the reconstruction of Iraq's energy infrastructure, completed a series of major projects such as the Ahdeb oil pipeline and the Misan crude oil Export Pipeline, and continued to promote the construction of the Al-Faya natural gas export pipeline. It is of great significance to optimize the layout of Iraq's national strategic pipeline network, improve the quality of crude oil and promote economic development.

Build friendship together

Promoting energy cooperation to benefit people's livelihood through cultural and people-to-people exchanges

The beauty of soup lies in the convergence of differences.

Along with the footsteps of energy cooperation, petrochina fulfills its social responsibilities by assisting infrastructure construction, providing employment opportunities, and training professionals, promoting exchanges and mutual learning between the two civilizations, promoting mutual understanding between the two peoples, and jointly joining the mighty stream of world civilization to move forward.

In Iraq, over the past decade, modern green oil fields have sprung up, and oil cities are full of life. The ring road built by the Ahdab project is called "the road leading to China-Iran friendship" by local people. The Khafaya project is the first in Iraq to use associated gas in oil fields to generate electricity, bringing light to thousands of households. The Rumaila and West Qurna Project oil zone construction plan has fully benefited local people.

In Oman, CNPC works in harmony with the local community to achieve mutual benefit and common development with the local community, and the Oman District 5 project won the "Best Unit in Oman to fulfill Social Responsibility Award" and other honors.

Uphold the concept of people-oriented, so that the local oil area people become the direct beneficiaries of the development of oil economy. Petrochina actively promotes the localization and diversification of employees, strengthens the training and incentive of employees, and the average localization rate of employees is more than 85%. Each project is committed to promoting multicultural integration, so that employees with different cultural backgrounds can understand and trust each other, appreciate and learn from each other, and constantly enhance the cohesion of the workforce.

In addition, CNPC provides more convenient and reliable medical services for local residents by organizing health visits and donating medical equipment. By building and renovating school buildings, donating cultural and educational materials, and carrying out charity activities, we will help the surrounding communities to improve their educational conditions and gradually improve the cultural and educational level of the surrounding communities.

From Basra to ABU Dhabi

From the banks of the Tigris to the shores of the peninsula

A camel bell on the ancient Silk Road

It is constantly turning into a good news for energy cooperation and mutual benefit

In the land of two oceans, three continents and five seas

The wind and rain, the spring and autumn

Stand in the Belt and Road Initiative

Proposed a new starting point for the 10th anniversary

Petrochina will continue to build

Energy flagship of "Belt and Road" oil and gas cooperation in the Middle East

Write a new chapter of win-win cooperation

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