Beijing sends four more oil rigs to South China Sea

• 2014-06-23

The Haiyang Shiyou 981 oil rig in the South China Sea. (Photo/Xinhua)

Little progress was made during Chinese state councilor Yang Jiechi's meeting with Phan Binh Minh, the Vietnamese deputy foreign minister, in Hanoi on June 19, and China looks set to inflame tensions between the two countries as its Maritime Safety Administration has sent four more oil rigs to the disputed waters of South China Sea, according to Duowei News, an outlet run by overseas Chinese.

China has already deployed the new oil rigs — the Nanhai IV, Nanhai II and Nanhai V, while Beijing has demanded that all foreign vessels navigating through the South China Sea to maintain at least one kilometer away from the rigs, Duowei said. The move has already sparked another anti-Chinese rally in Hanoi, according to the Associated Press, adding that the rally was suppressed by the Vietnamese government and at least two activists were arrested.

Anti-China riots previously erupted in Vietnam last month after China deployed its first oil platform Haiyang Shiyou 981 off the disputed Paracel islands claimed jointly by China and Vietnam and currently under Chinese administration.

The Haiyang Shiyou 981 was in fact only the first step of China's grand strategy regarding the South China Sea, Duowei said, as the country plans to establish more oil rigs in the region to exploit natural resources beneath the ocean. Referred as the Second Persian Gulf, the oil equivalent in the south-central part of the South China Sea is about 55%, while 66% of the natural resources can be extracted by the oil rigs, Duowei added.

Various state-run giants including China National Offshore Oil Corp (CNOOC Group), Dalian Huarui Heavy Industry Group, Qingdao McDermott Wuchuan Offshore Engineering, and Shanghai Zhenhua Heavy Industries Company Limited are ready to begin their exploration of the South China Sea as well.

Meanwhile, China deployed around 120 vessels on June 8 to keep Vietnamese boats from getting close to its controversial oil rig, while both countries have accused each other of ramming ships in the area.

Duowei said that the People's Liberation Army Navy has the capability of providing protection to the new oil rigs. Chinese defense ministry spokesperson Geng Yansheng has also stated that the PLA's determination to defend Chinese territorial waters should not be underestimated.