“Participating in the exploration of this prospective deep water basin furthers our strategy to grow our business in China and the Asia Pacific region,” Chevron Vice Chairman George Kirkland said to press.

The blocks cover approximately 8,100 square miles. The company will be the exploration operator during this phase under agreements with China National Offshore Oil Corporation under their production sharing contract.

Jim Blackwell, president, Chevron Asia Pacific Exploration and Production, said to press, “We welcome the opportunity to partner with CNOOC and apply our industry-leading drilling technology, expertise, and safety practices to explore the South China Sea’s deep water areas.”