Speculation mounts that Dalian Exploration is seeking further development capital in order to build on its South China Sea operations.
China., April 21, 2014 - (PressReleasePoint) - Dalian Exploration, an independent oil exploration and production company concentrating on the discovery, production and refinement of crude oil and natural gas resources on the Chinese mainland and offshore, is rumored to be in talks with its principal financiers to secure a further injection of funding to develop interests located at the once-disputed Scarborough Shoal in the South China Sea.
The firm has said that it will not be drawn into commenting on the conjecture but, if substantiated, it could be particularly bullish for the junior explorer.
Separately, Dalian Exploration, which has emerged as one of China’s star performers in terms of discoveries and production increases in recent years, is engaged in an acquisitive drive with regard to disused properties elsewhere on the mainland citing the greater production their more efficient technologies can deliver.
A spokeswoman for the company said, “Our predictions for a return to record crude oil prices have proven prescient with crude oil remaining over $100 a barrel albeit partly on heightened tensions over Russia’s annexation of the Crimean peninsula.
We are ahead of the curve with regard to operational efficiency at many of our wells in order to take advantage of this dynamic and have committed funds to the deployment of resources that can further maximize production.”
Dalian Exploration has yet to confirm that it intends to accelerate production at any of its existing wells with a view to selling them on to larger operators and or oil majors but industry commentators believe that the company will be loath to deploy further resources given the significant production increases their efficiency drives have already fostered.