UGANDA: CNOOC’s Most Advanced LR8001 Land Rig Enroute to the Kingfisher Oilfield

The most advanced Chinese oil drilling equipment in the oil and gas Industry exploration and development sector which was represented by the ‘Drilog and Welleader’ system and the land rig ‘LR8001’ is being shipped to Uganda. This marked CNOOC’s great increase of technical resource investment in oilfield exploration and development in Uganda and that a new landscape of oil and gas supply as well as social and economic development would be formed in Uganda and even East Africa.

“LR8001” is a deluxe land rig customized for the KingFisher project in Uganda. As the
first 8km fully automated silent rig in Africa, it is equipped with industry-leading
technologies such as well site de-noising control, zero discharge system, and pipe
column automation system. The whole set of equipment supports the integrated
operation of various wellbore and well types, and during the operation effectively
protects the regional ecological environment. As a landmark achievement of Chinese
oil equipment to transition to environmental friendliness, low carbon and
intellectualization, it is a key project of ‘The Belt and Road’ Initiative.

Mr. Chen Zhuobiao, President of CNOOC Uganda Limited, expressed that KingFisher
Oilfield is the first commercial oilfield discovered in Uganda and this oil drilling
equipment will support Uganda to become an important crude oil producer in East
Africa. Will provide some localization job opportunities for Uganda people during the
well drilling and completion process, train more localized talents for oilfield
development and bring tangible changes to local economic development and
livelihood to make the ‘Pearl of Africa’ brighter. The mobilization of the drilling rig marks
that the cooperation between CNOOC and Uganda in the energy field continues to
deepen and solidify.

The deepest well in KingFisher Oilfield is nearly 8000 meters, which has the highest
well control standards, construction difficulties, operational risks, and technical
requirements in Africa. CNOOC Oil Service Limited (COSL) provides professional
technical services for the entire life cycle of the oilfield has overall coordinated and
refined the integrated well drilling and completion service plan to concentrate superior
resources, organize technical equipment including the land rig “LR8001”, the ‘Drilog
and Welleader’ system, ELIS system, logging and cementing integrated construction
system, and more than 1,000 pieces of ancillary facility and tools, and equips an
excellent management and operation team to ensure the smooth operation and
transfer technology through the ‘mentoring’ mode. The ‘Drilog and Welleader’ system
is a world-leading LWD rotary steering drilling system independently developed by
China and honored as the ‘Pearl in the Crown’ of drilling equipment. CNOOC shows
its determination to promote the high-quality development of ‘The Belt and Road’
Initiative and build a China-Africa community with a shared future.

Mr. Zhao Shunqiang, COSL President and CEO, said that COSL will unwaveringly
strengthen international oil and gas cooperation and strive to build the Uganda project
into a high-quality project as well as a benchmark project. Adhering to the principle of
extensive consultation, joint contribution and shared benefits, COSL will continue to
increase resource investment in countries along the ‘The Belt and Road’ and will build
a ‘drilling, workover, completion, and stimulation” integrated service base in Uganda
to promote the African market. Besides, COSL will make more contributions to the win-win cooperative landscape with mutual promotion and mutual benefits.