China has fully brought online the first phase of development at the Kenli 10-2 oilfield cluster, the country’s largest offshore shallow-lithologic oilfield, as Beijing continues to expand domestic energy production amid global supply chain and geopolitical uncertainties.
China National Offshore Oil Corporation (CNOOC) said daily crude output from the project has surpassed 2,800 tonnes, or roughly 20,000 barrels per day, following full operational deployment.
Located in the southern Bohai Sea at an average water depth of around 20 meters, the Kenli 10-2 oilfield contains proven geological reserves exceeding 100 million tonnes. The project is considered a major addition to the Bohai oilfield, China’s largest offshore crude production base.
The launch also reflects China’s broader push to strengthen domestic energy resilience as import-dependent economies face continued risks from shipping disruptions, sanctions disputes, and instability across global oil markets.
According to CGTN, the first phase of development includes one central processing platform, two unmanned wellhead platforms, and 79 development wells.
The field itself presents unusual geological challenges. Oil and gas resources at Kenli 10-2 are stored in narrow and winding sand bodies beneath the seabed that form branching, tree-like patterns. Chinese media described the structure as a dendritic, or “branch-like,” heavy-oil reservoir, the first offshore development of its kind in China.
Heavy crude extraction is generally more difficult than conventional oil production because the oil is denser and flows less easily through reservoir formations.
Industry reporting in the Society of Petroleum Engineers’ Journal of Petroleum Technology noted that the project employs advanced extraction techniques, including thermal recovery, steam flooding, and water injection, to improve production efficiency in heavy-oil environments.
Reuters previously reported that portions of the field had already begun heavy crude production in 2025, while the current milestone marks the first phase reaching full operational status.
CNOOC has increasingly emphasized unmanned infrastructure, digital monitoring systems, and offshore automation technologies across Bohai projects as China modernizes domestic offshore energy production.
The strategic importance of projects like Kenli 10-2 extends beyond production numbers. China remains the world’s largest crude oil importer, making domestic production growth a major national priority. Concerns surrounding maritime chokepoints, Red Sea shipping disruptions, and broader geopolitical tensions have reinforced Beijing’s focus on reducing vulnerability to external energy shocks.
Lin Boqiang, director of the China Center for Energy Economics Research at Xiamen University, told Global Times that continued offshore development supports China’s long-term energy security strategy by improving supply resilience.
According to China’s National Energy Administration, offshore crude production has accounted for more than 60% of the country’s newly added oil output for five consecutive years during the 14th Five-Year Plan period from 2021 to 2025.
CNOOC’s Energy Economics Institute projected China’s offshore crude oil production would reach approximately 68 million tonnes in 2025, accounting for roughly 80% of national crude production growth.
Reuters additionally reported that Bohai oilfield’s cumulative oil and gas equivalent output has now exceeded 40 million metric tonnes, underlining its growing importance within China’s domestic energy system.
The Kenli 10-2 project therefore represents more than a single offshore field. It highlights China’s accelerating investment in technologically complex offshore extraction as the country attempts to balance rising energy demand with concerns over external supply risks and long-term energy security.
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Kaif Shaikh is a journalist and writer passionate about turning complex information into clear, impactful stories. His writing covers technology, sustainability, geopolitics, and occasionally fiction. A graduate in Journalism and Mass Communication, his work has appeared in the Times of India and beyond. After a near-fatal experience, Kaif began seeing both stories and silences differently. Outside work, he juggles far too many projects and passions, but always makes time to read, reflect, and hold onto the thread of wonder.
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