Petroleum Developments in Far East in 1974

Abstract

In the Far East, during 1974, more than 290 exploration wells were drilled and 34 new oil and gas fields were discovered; 29 new fields and 176 wells were drilled in Indonesia accounting for 61% of the drilling activity in the Far East. Production of 1,739,230 BOPD was reported, excluding an estimated 1,000,000 BOPD reportedly produced in the People's Republic of China. This is down 4% from 1973 when 2,855,226 BOPD were reported including 1,000,000 BOPD from the People's Republic of China. Indonesia accounts for 51% of the crude oil produced, and is followed by China, 37%; Brunei 8%; and East Malaysia 3%. Gas production figures are incomplete. Bangladesh, Burma, and India granted exploration rights to several international oil companies thereby joining the other Far East ountries in the search for black gold. Sri Lanka and South Vietnam both had significant oil discoveries within their territorial waters. Petronas, the Malaysia State Oil Company, was formed and existing contracts in Malaysia are being renegotiated. Increases in offshore-seismic activity and offshore production, the high cash bonuses paid for exploration rights in the deep-water Andaman Sea tract, and settlement of boundary disputes by India-Indonesia and Japan-Korea indicate that exploration activity will increase in 1975.