CNOOC Sees Higher Production In FY24, Years Ahead

(RTTNews) - CNOOC Limited (CEO, CNU.TO) on Thursday announced its business strategy and development plan for the year 2024, expecting increased production.

The company said it continues to increase reserves and production, and maintains strong growth of production volume as global oil and gas demands grow steadily.

In 2024, net production target is 700 million to 720 million barrels of oil equivalent or BOE, of which, production from China and overseas accounts for approximately 69 percent and 31 percent, respectively.

In 2023, net production is estimated to be around 675 million BOE.

Further ahead, net production target is 780 million to 800 million BOE in 2025, and 810 million to 830 million BOE in 2026.

According to the firm, the production growth is attributable to strong pipeline of new projects and sufficient capital investment.

Total capital expenditure for 2024 is budgeted at RMB 125 billion to RMB 135 billion. In this, capital expenditures for exploration, development and production will account for approximately 16 percent, 63 percent and 19 percent of the total, respectively.

In 2023, the Company is expected to record capital expenditures at approximately RMB 128 billion.

In 2024, the exploration workload will remain at a high level, and multiple high-quality projects will be brought on stream.

Green power substitution will be expedited and green electricity consumption is expected to exceed 700 million kWh in 2024.

Further, subject to the approval by the general meeting of shareholders on the proposed dividends for each year, from 2022 to 2024, the annual payout ratio will be no less than 40 percent and the absolute dividend is expected to be no less than HK$ 0.70/share.

Zhou Xinhuai, CEO and President of the Company, said, "We will implement the three key programs of increasing reserves and production, technological innovation and green development, and press ahead with the initiative of quality and efficiency enhancement..."

In Hong Kong, CNOOC shares closed today's regular trading at HK$14.44, up 4.8 percent.