CNOOC, Husky to Explore Oil in Deepwater South China Sea

China’s largest offshore oil producer CNOOC Ltd. (CEO) said its unlisted parent plans to start deepwater oil and gas exploration in the South China Sea with Canada’s Husky Energy Inc. (HSE.T) in first-half 2006.

If the scheduled exploration next year finds sizable reserves in a bloc in the South China Sea about 300 kilometers south of Hong Kong, it will be China’s first deepwater oil and gas field.