Cnooc Ltd (CEO), China's
largest offshore oil producer, said Friday its wholly owned unit signed an
agreement with China United Coalbed Methane Corporation Ltd, or CUCBM, on
exploration, development, production and sale of coalbed methane, a type of
clean energy source.
Cnooc China
expects to incur total budget expenses of about 9.93 billion yuan ($1.56
billion) for exploration costs, the statement said.
CUCBM engages business include exploration, development, production and
transportation of coalbed methane in China, Cnooc Ltd. said in the statement,
adding the agreement offers an opportunity for the oil producer to develop its
business in the clean energy and onshore China sectors.