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Daan Project

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Daan Project

Daan Project is located in Songliao Basin which in the city of DaanJilin Province, China, with a contract area of 62,518 acres. Gobi Energy, a wholly-owned subsidiary of MIE, is now a foreign contractor (owns 100% of the foreign contractor interest) and the operator of Daan PSC.

Daan Project started the commercial production in 2005 and signed a PSA with PetroChina with a production period of 20 years and a maximum contract period of 30 years. As of the end of 2017, the cumulative oil output of the oilfield was 64.55 million barrels. In 2017, the average daily oil output was 12,137 barrels/day, and the total number of wells reached 2,362; During this period, the output reached 6.8 million barrels in 2012, the highest annual output in history. Daan Project is the largest domestic foreign cooperation project for onshore oil product sharing.

The 2P original petroleum geological reserves of Daan Project were 1.27 billion barrels. According to the reserve report of Ryder Scott at the end of 2017, the remaining recoverable reserves of 2P owned by MIE were 12.49 million barrels. Daan Project also achieved good results by the technology of network fracturing and sidetrack horizontal well through old wells, which can improve the effect of the development of remaining reserves and resources. With its complete infrastructure, experienced operating team and excellent HSE records, Daan Project has developed into the most mature core project of the Group.