ConocoPhillips, PetroChina announce joint deal

ConocoPhllips and PetroChina have established a joint study agreement to develop unconventional resources in China’s Sichuan Basin, and the Chinese oil production and distribution  company is acquiring interests in offshore and onshore exploration projects in Australia.

The deal will give PetroChina a 20 percent working interest in the Poseidon offshore discovery in the Browse Basin, and a 29 percent interest in the Goldwyer Shale in the onshore Canning Basin. Both are in western Australia.

The Canning Basin project is a joint venture of ConocoPhillips and New Standard Onshore. Karoon Gas and ConocoPhillips are partners on the Poseidon project.

Under the joint study agreement, Houston-based ConocoPhillips and PetroChina will study the potential for development in the 500,000 acre Neijiang-Dazu Shale Block in the Sichuan Basin.

The companies did not disclose terms of the deals, which are subject to regulatory approval.