CNOOC Limited Unveils Early Production Start for Yellowtail Oil Project

CNOOC Limited Launches Production at Yellowtail Project

CNOOC Limited announced a significant milestone on August 8, 2025, as the company successfully commenced production at its Yellowtail Project, surpassing initial projections. Located in the Stabroek Block off the coast of Guyana, this groundbreaking project promises to make a substantial impact on the region's oil production capabilities.

The Yellowtail Project is positioned in deep waters ranging from 1,600 to 2,000 meters, making it a considerable engineering achievement. The main facilities include the largest Floating Production, Storage and Offloading unit (FPSO) in the Stabroek Block, designed with a staggering storage capacity of 2 million barrels. The comprehensive operational plan includes 26 production wells and 25 injection wells, establishing a robust infrastructure for sustainable oil extraction.

With this launch, the Yellowtail Project is anticipated to produce approximately 250,000 barrels of crude oil per day. This remarkable addition will elevate the overall production capacity of the Stabroek Block to an impressive 900,000 barrels per day. This surge in capacity comes on the heels of the successful production commencement of previous projects in the block, including Liza Phase 1, Liza Phase 2, and the Payara Project—a testament to the rapid development pace within this sector.

CNOOC Petroleum Guyana Limited, a wholly owned subsidiary of CNOOC Limited, plays a vital role in this endeavor, holding a 25% stake in the Stabroek Block. The project's operational dynamics are further complemented by ExxonMobil Guyana Limited, the operator with a 45% interest, and Hess Guyana Exploration Ltd., holding the remaining 30%. This collaborative approach ensures that the project benefits from a wealth of expertise and resources in the oil and gas sector.

The significance of the Yellowtail Project extends beyond its immediate production capabilities. It represents CNOOC's strategic commitment to expanding its footprint in the global oil market while responding to the rising demand for energy amidst the ongoing economic recovery worldwide. With the ever-evolving energy landscape, the project's timely initiation positions CNOOC as a key player in sustainable oil production.

Moreover, this project aligns with the industry's broader goals of innovation and efficiency, as CNOOC continues to explore advancements in technology to optimize production while adhering to environmental safety standards. The company's forward-looking approach, coupled with its ambitious production plans, aims to create lasting value for stakeholders while navigating the complex challenges of the global oil market.

Looking ahead, CNOOC remains focused on balancing its operational objectives with its commitment to environmental sustainability. The successful launch of the Yellowtail Project marks a significant chapter in CNOOC's growth story, underscoring its resilience and adaptability in a competitive energy sector. As production ramps up, the industry will undoubtedly keep a close eye on CNOOC's progress and strategies in the months and years to come.

In conclusion, the commencement of production at the Yellowtail Project heralds a new era for CNOOC Limited, reinforcing its position in the offshore oil domain. With ambitious production targets and a commitment to operational excellence, the company is poised to make significant contributions to the global oil supply, ensuring that it meets the demands of today's energy consumers while safeguarding the environment.