Chinese oil & gas giant CNOOC earmarks billions for green power spending spree
State-controlled player looks to build up to 15GW of on- and offshore renewables capacity by 2025
Chinese offshore oil & gas giant CNOOC is poised to acquire large-scale onshore and sea-based wind power assets as it looks to gear up its green development portfolio.
CNOOC said it intends to secure offshore acreage with the potential to house 5-10GW of wind generation, with the company targeting to have 1.5GW installed and commissioned by 2025.
It is also looking to build an onshore portfolio with the potential for 5GW of onshore wind and solar, with plans to have 500MW-1GW commissioned by mid-decade.
Until 2025 the company will allocate 5%-10% of capital expenses to develop its green business and low-carbon portfolio, CNOOC said. Based on the group's estimated investment budget of 100bn yuan ($15.4bn) this year, that will mean an outlay of up to 10bn yuan.
Other schemes include providing electricity for offshore exploration and production via the grid instead of installing power units on offshore platforms. CNOOC states this will facilitate energy saving and emission reductions for its offshore operations.
The company is already developing two shallow-water oilfields – Kenli 6-1 and Bozhong 29-6 in China's Bohai Bay – that will feature onshore power facilities providing electricity to the fields' offshore platforms.
The state-controlled player has just won government approval to develop a wind project offshore Shantou city in southern China’s Guangdong province, the second of its kind for CNOOC.
In September 2020, the company started operations at its first offshore wind project in Jiangsu province.
The 300MW H2 project has 50 4-MW turbines and 17 6-MW turbines. Forty-seven of the turbines are installed in shallow waters and the rest in deep water.
- This article was published first by Upstream