CNOOC Limited, a leading oil and gas exploration company, has reported strong operating results for the first quarter of 2024. Despite lower international oil prices, the company achieved significant growth in net production of oil and gas, as well as net profit attributable to equity shareholders.
During the quarter, CNOOC Limited recorded a total net production of 180.1 million barrels of oil equivalent (BOE), representing a 9.9% increase compared to the same period last year. The growth was driven by increased production from both China and overseas projects. Net production from China increased by 6.9% year-on-year (YoY) to 123.2 million BOE, while overseas net production rose by 16.9% YoY to 56.9 million BOE.
The company made two new discoveries and successfully appraised four oil and gas structures during the quarter. One notable achievement was the successful appraisal of Bozhong 8-3 South, opening up new possibilities for ultra-deep plays offshore China. Additionally, a new discovery, Bluefin, was made at the Stabroek block in Guyana, expanding the company’s resource base in the region.
Despite the challenging market conditions, CNOOC Limited generated a net profit attributable to equity shareholders of RMB39.7 billion, representing a YoY growth of 23.7%. The company’s all-in cost was US$27.59 per BOE, a decrease of 2.2% YoY. Capital expenditures amounted to approximately RMB29 billion, a 17.3% increase YoY.
Looking ahead, Mr. Zhou Xinhuai, CEO and President of CNOOC Limited, expressed confidence in the company’s future. He emphasized their focus on production and operation goals, increasing reserves and production, strengthening lean management, and ensuring high-quality development.
CNOOC Limited continues to make breakthroughs in exploration and remains committed to sustainable growth in the oil and gas industry. With a strong track record and a strategic approach, the company is well-positioned for success in the coming years.
CNOOC Limited’s strong growth in Q1 2024 is impressive considering the challenges posed by lower international oil prices. The company’s net production of oil and gas reached 180.1 million barrels of oil equivalent (BOE), a 9.9% increase compared to the same period last year. This growth can be attributed to increased production from both Chinese and overseas projects. Net production from China saw a 6.9% year-on-year (YoY) increase, reaching 123.2 million BOE, while overseas net production rose by 16.9% YoY, totaling 56.9 million BOE.
During this quarter, CNOOC Limited made two new discoveries and successfully appraised four oil and gas structures. The successful appraisal of Bozhong 8-3 South is particularly noteworthy as it opens up new possibilities for ultra-deep plays offshore China. Another significant achievement is the new discovery at the Stabroek block in Guyana, named Bluefin. This discovery expands the company’s resource base in the region.
Despite the challenging market conditions, CNOOC Limited generated a net profit attributable to equity shareholders of RMB39.7 billion, representing a YoY growth of 23.7%. The company’s ability to decrease their all-in cost to US$27.59 per BOE, a 2.2% decrease YoY, demonstrates their efficiency in managing costs. Capital expenditures also increased by 17.3% YoY, amounting to approximately RMB29 billion.
Looking to the future, Mr. Zhou Xinhuai, CEO and President of CNOOC Limited, expressed confidence in the company’s prospects. The company remains focused on production and operation goals, increasing reserves and production, strengthening lean management, and ensuring high-quality development. This strategic approach positions CNOOC Limited for continued success in the oil and gas industry.
Some of the key advantages of CNOOC Limited’s performance in Q1 2024 include their strong net production growth, successful appraisals and discoveries, and significant YoY increase in net profit. The company’s ability to manage costs effectively and their commitment to sustainable growth also contribute to their advantage.
However, there are also challenges and controversies associated with the subject. One key challenge is the volatile nature of international oil prices, which can impact the company’s profitability. Additionally, there may be environmental controversies surrounding offshore exploration and production activities.
For more information on CNOOC Limited and their operations, you can visit their official website: CNOOC Limited.