China, Philippines Team Up For Oil Exploration In South China Sea

[James Regan + 1,776]

https://oilprice.com/Latest-Energy-News/World-News/China-Philippines-Team-Up-For-Oil-Exploration-In-South-China-Sea.html

This would be good news for the Deepwater Exploration segment of the Industry, China currently heavily involved in building 7th Gen Drillships which are supplied with US Drilling equipment and Blow Out Prevention systems, previously dominated by the South Korean Shipyards. Three units currently under construction for farther afield, will be interesting to see how they cope with the demand and how the sanctions will affect this part of the Industry that the USA has dominated in supplying premium capital equipment historically.

Will Trump put sanctions on these major equipment companies such as GE/Hydril, Cameron, Maritime Hydraulics etc etc, who have suffered hugely over the past few years.

Chinese have copied BOPS in the past, but they are basically useless, if they start reverse engineering this technology we can expect some serious issues in the South China sea. or maybe its improved since the last time I worked on one.......

Very Interesting for the Deepwater Exploration Market.

Edited September 1, 2019 by James Regan

[Douglas Buckland + 6,308]

It is interesting that China would consider partnering with the Philippines in oil exploration and production while preventing Vietnam from developing oil production in the Vietnamese economic zone.

If the Philippines rejected this partnership would China send Chinese survey ships, escorted by armed Chinese coast guard vessels into Filipino waters which are also claimed by China under the 9 line map?