
CNOOC Ltd. has reported CNY 36.56 billion ($4.89 billion) in net income attributable to shareholders for the first quarter, down from CNY 39.7 billion for the same three-month period in 2024 as weaker oil prices offset higher production.
The oil and gas explorer and producer, majority-owned by China National Offshore Oil Corp., produced 188.8 million barrels of oil equivalent (MMboe) in the January-March 2025 period, up 4.8 percent year-on-year. Chinese output rose 6.2 percent by prior-year comparison to 130.8 MMboe. Overseas production grew 1.9 percent to 58 MMboe, it said in an online statement.
CNOOC Ltd., which calls itself the biggest producer of oil and gas offshore China, announced five upstream start-ups in Chinese waters in the first quarter. Three of the projects are in the South China Sea: the Dongfang 29-1 field, the Panyu 11-12/10-1/10-2 Oilfield Adjustment Joint Development Project and the Wenchang 19-1 Oilfield Phase 2 Project. The other two are in the Bohai Sea: the Bozhong 26-6 and Luda 5-2 North fields.
Abroad, the sixth development in the Buzios oilfield in Brazil’s offshore Santos Basin came online. CNOOC Ltd. holds a 7.34 percent stake in the field through CNOOC Petroleum Brasil Ltda.
“The Company made 2 new discoveries and successfully appraised 14 oil and gas structures”, CNOOC Ltd. said. “Among them, the proved in-place volume of Huizhou 19-6 oilfield has exceeded a hundred million tons of oil equivalent. Weizhou 10-5 demonstrated vast exploration prospects of the buried hills in Beibu Gulf Basin. Suizhong 36-1 South has been successfully appraised and is expected to become a medium-sized oilfield”.
While production increased, benchmark Brent oil prices fell 8.3 percent year-on-year, CNOOC Ltd. said.
CNOOC Ltd. confirmed its parent “plans to increase its shareholdings in A shares and Hong Kong shares of the Company, by an amount of not less than RMB2 billion and not more than RMB4 billion within 12 months”.
CNOOC Ltd. president Yan Hongtao said, “Company will deepen lean management, strengthen the Company’s performance resilience and strive to meet the annual production and operation targets”.
CNOOC Ltd. aims to increase its net production to over 2 MMboe a day this year while keeping capital expenditure at last year’s level. The total volume goal for 2025 is 760-780 MMboe, of which 69 percent is to come from China. For 2026, it will aim for 780-800 MMboe. For 2027, the target is 810-830 MMboe.
For 2025, production has been allotted about 20 percent of CNOOC Ltd.’s planned capex of CNY 125-135 billion. Development activities have been earmarked around 61 percent, while exploration would get approximately 16 percent.
“The company endeavors to search for large and medium-sized oil and gas fields, to strengthen the resource base for reserves and production growth”, it said January 22 announcing the targets. “In 2025, the capital expenditure for exploration in China will mainly be directed to sustain crude oil reserves while expand [sic] natural gas reserves, led by the construction of the three trillion-cubic-meters-level gas regions [in the South China Sea].
“For overseas exploration, the Company will continue to focus on the Atlantic Ocean rim and the ‘Belt and Road’ countries. Drilling will continue in Guyana and rolling exploration is planned in Nigeria. Seismic survey will be conducted in Mozambique and Iraq. At the same time, the company will continue to seek for high-quality acreage, especially operating assets”.
To contact the author, email [email protected]
What do you think? We’d love to hear from you, join the conversation on the
Rigzone Energy Network.
The Rigzone Energy Network is a new social experience created for you and all energy professionals to Speak Up about our industry, share knowledge, connect with peers and industry insiders and engage in a professional community that will empower your career in energy.
MORE FROM THIS AUTHOR