CNPC announces cooperation with BP on oil exploration

BP logo at a fuel station in St Petersburg, Russia, October 18, 2012. [Photo/Agencies]

BEIJING - Chinese oil giant China National Petroleum Corporation (CNPC) on Thursday announced that it has inked an agreement with British energy company BP to strengthen cooperation on global oil exploration.

The two companies will jointly seek opportunities in crude, refined oil, natural gas and carbon emissions trading, and exchange experience in technology and corporate governance, according to the framework agreement.

The cooperation agreement will aid BP's market expansion in China and also give a push to CNPC's global efforts.

BP said the agreement will speed up potential shale gas exploration and production in southwest China's Sichuan province, adding billions of US dollars in trade, while CNPC expects cooperation on the re-development of the Rumaila oilfield in Iraq to benefit from the agreement.

The two companies have been intensifying cooperation in domestic and global markets through joint ventures and exploring oil resources globally.