We present the first systematic search for extended metal-line [OII]{lambda}{lambda}3726,3729 nebulae, or [OII] blobs (OIIBs), at z=1.2 using deep narrowband imaging with a survey volume of 1.9x10^5 Mpc^3 on the 0.62 deg^2 sky of Subaru-XMM Deep Survey (SXDS) field. We discover a giant OIIB, dubbed OIIB 1, with a spatial extent over ~75 kpc at a spectroscopic redshift of z=1.18, and also identify a total of twelve OIIBs with a size of >30 kpc. Our optical spectrum of OIIB 1 presents [NeV]{lambda}3426 line at the 6{sigma} level, indicating that this object harbors an obscured type-2 AGN. The presence of gas outflows in this object is suggested by two marginal detections of FeII{lambda}2587 absorption and FeII*{lambda}2613 emission lines both of which are blueshifted at as large as 500-600 km/s, indicating that the heating source of OIIB 1 is AGN or associated shock excitation rather than supernovae produced by starbursts. The number density of OIIB 1-type giant blobs is estimated to be ~5x10^{-6} Mpc^{-3} at z~1.2, which is comparable with that of AGNs driving outflow at a similar redshift, suggesting that giant OIIBs are produced only by AGN activity. On the other hand, the number density of small OIIBs, 6x10^{-5} Mpc^{-3}, compared to that of z~1 galaxies in the blue cloud in the same M_B range, may imply that 3% of star-forming galaxies at z~1 are quenching star formation through outflows involving extended [OII] emission.