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Cablegate: Arrival of China Letter Advising Pogo Oil to Cease

VZCZCXRO1777
RR RUEHCHI RUEHCN RUEHDT RUEHGH RUEHHM RUEHNH RUEHVC
DE RUEHHI #1675 2621725
ZNR UUUUU ZZH
R 191725Z SEP 07
FM AMEMBASSY HANOI
TO RUEHC/SECSTATE WASHDC 6383
INFO RUEHHM/AMCONSUL HO CHI MINH 3713
RUCNASE/ASEAN MEMBER COLLECTIVE
RUEHOO/CHINA POSTS COLLECTIVE

UNCLAS HANOI 001675

SIPDIS

SENSITIVE
SIPDIS

STATE FOR EAP/MLS AND EEB
STATE PASS USTR BISBEE

E.O. 12958: N/A
TAGS: CN ECON EINV ENRG EPET MARR PREL VM
SUBJECT: ARRIVAL OF CHINA LETTER ADVISING POGO OIL TO CEASE
OPERATIONS IN SOUTH CHINA SEA.

THIS CABLE IS SENSITIVE BUT UNCLASSIFIED. NOT FOR INTERNET.

1. (SBU) On September 8, the Consulate General of the People's
Republic of China in Houston sent a letter to the U.S. oil firm,
Pogo Producing Company advising Pogo to cease exploration drilling
activities in Block 124 in the South China Sea. The Block 124 lies
along Vietnam's south central coastline, approximately 50 kilometers
south of Chevron's Block 122, also claimed by China. The Chinese
Consulate sent the letter to Mr. Paul G. Van Wagenen, Chairman,
President, and Chief Executive Officer of Pogo Producing Company.
The letter, signed by Yao Wenliang, Commercial Consul of the
Consulate General of the People's Republic of China in Houston, is
reproduced here in its entirety and with original errors.

2. (SBU) BEGIN TEXT OF LETTER

Dear Sir,

The facts and figures on your website show that Pogo Producing
Company currently has plans on Block 124 in South China Sea. It is
also reported that Pogo Producing Company conducted a 3D seismal
research with Vietnamese Gas and Oil Group in above said block in
2006, and the relevant data were transferred to Plains Exploration &
Production Company.

We shall be grateful if you could kindly clarify the above mentioned
report by a return fax.

We would also like to friendly remind that the block 124 belongs to
South China Sea, which is a disputed waters between China and
Vietnam. We would also like to ask your company not to conduct any
exploring and developing activities in this diputed waters between
China and Vietnam.

The Commerical Office of the Consulate General of the People's
Republic of China in Houston is responsible for the promotion of
business cooperation between China and the south of the US. Please
feel free to call us if we could be of any assistance.

We look forward to your response soon.

Best wishes.

Yao Wenliang
Head of the Commercial Office
Consulate General of the People's Republic of China

END TEXT OF NOTE

MICHALAK

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