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August 27, 2011

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US oil firm finds new seeps in Bohai Bay

US-BASED oil firm ConocoPhillips says it has discovered seven new oil seeps in an area of China's Bohai Bay, where it faces a deadline to clean up spills from earlier this summer.

The State Oceanic Administration's North China Sea branch said yesterday that ConocoPhillips on Thursday admitted the discovery of the new leaks near the Platform C of the 19-3 Oilfield in the Bohai Bay.

The company last week reported nine leaks near the same platform.

Of the 16 seeps found in the Penglai 19-3 oilfield, each about the size of a small coin, only two were still visible and known to be sometimes active, the company said.

It said about 1 to 2 liters of oil and drilling mud were being released each day, but that they were remnants from a spill on June 17 that were shifting from a lower layer of sand to the sea bed. "The material is viscous and most of it tends to stay on the sea bed," the company said.

ConocoPhillips China, which holds a 49 percent stake in the oilfield and operates its wells in a venture with China's state-owned CNOOC, says it is containing and cleaning up any seeps.

Chinese maritime authorities say they'll sue the company if it does not meet an August 31 deadline for completing the cleanup and ending risks of new seeps.

Liu Cigui, head of the State Oceanic Administration, said on Thursday: "Any company that damages China's oceanic environment must pay for their actions." He called the spills the "worst oceanic environmental accident" in Chinese history.

Earlier this week, CNOOC acknowledged responsibility and apologized for the spills, which the government estimates have affected 5,500 square kilometers of the bay, an important fisheries region.

CNOOC said yesterday it will make its utmost efforts to assist ConocoPhillips China in cleaning up the oil spills.

CNOOC said it had invited experts to discuss solutions to the problem and propose ways to prevent future spills.

It said it had sent more than 100 personnel on inspection tours of the coastline, cleaning up large quantities of waste along the way.

CNOOC said it was willing to make efforts to investigate the deaths of fish and other fauna in connection to the oil spills, adding that it will make assessments of losses incurred by aquatic farmers.

The company will also enhance supervision of future joint ventures in order to prevent oil spills.

The oil spills were first reported in June. Oil spread to beaches in Hebei and Liaoning provinces and has been blamed for losses in the tourism and aquatic farming industries.

The SOA said patrols of Bohia's beaches had found no fresh contamination.



 

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