2013: A Year with More Startups and Full Construction Schedule

Jan 30, 2013, 03:28 ET from CNOOC Limited

HONG KONG, Jan. 30, 2013 /PRNewswire/ -- CNOOC Limited (the "Company", NYSE: CEO, SEHK: 00883) today announced a summary of the Company's business strategy and development plan for the year 2013.

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The Company's net production target of 2013 is in the range of 338 to 348 million barrels of oil equivalent (BOE), while the net production for 2012 is estimated to be 341 to 343 million BOE.

During the year, ten new oil and gas fields in offshore China are expected to come on stream, among which the Liwan 3-1 gas field will become the first large-sized deepwater gas field in offshore China. In addition, the startup of Suizhong 36-1 phase II adjustment will make another successful story of the comprehensive adjustment on producing fields, demonstrating the huge potential of the Company's producing fields in offshore China. The Company will embrace the construction peak in 2013, with 24 new projects under construction.

In 2013, the Company will drill around 140 exploration wells, acquire approximately 15,400 kilometers 2-Dimensional (2D) and 24,800 square kilometers 3-Dimensional (3D) seismic data, and continue to enhance the deepwater exploration activities. In addition, a reserve replacement ratio (RRR) of over 100% will be maintained in 2013.

During the year, in order to strengthen our exploration and development business and support a sustainable growth, the Company's total capital expenditure is expected to reach US$12 to 14 billion, among which the capital expenditures for exploration, development and production account for around 19%, 70%, and 11% respectively.

Mr. Zhong Hua, CFO of the Company commented, "While the operating cost for the energy sector keeps rising up, the Company will continue to execute stringent cost control and prudent financial policy. Meanwhile, we will maintain a robust capital expenditure plan to support our production and reserve growth in the future."

"We are confident to achieve 6% to 10% CAGR on production growth from 2011 to 2015. In 2013, the Company will continue to strengthen our exploration, development and construction activities to further facilitate the Company's growth in the future," said Mr. Li Fanrong, CEO of the Company.

Notes to Editors:

More information about the Company is available at http://www.cnoocltd.com.

This press release includes "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995, including statements regarding expected future events, business prospectus or financial results. The words  "expect", "anticipate", "continue", "estimate", "objective", "ongoing", "may", "will", "project", "should", "believe", "plans", "intends" and similar expressions are intended to identify such forward-looking statements. These statements are based on assumptions and analysis made by the Company in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors that the Company believes reasonable under the circumstances. However, whether actual results and developments will meet the Company's expectations and predictions depends on a number of risks and uncertainties which could cause the actual results, performance and financial conditions to differ materially from the Company's expectations, including those associated with fluctuations in crude oil and natural gas prices, the exploration or development activities, the capital expenditure requirements, the business strategy, the highly competitive nature of the oil and natural gas industries, the foreign operations, environmental liabilities and compliance requirements, and economic and political conditions in the People's Republic of China. For a description of these and other risks and uncertainties, please see the documents the Company has filed from time to time with the United States Securities and Exchange Commission, including 2011 Annual Report on Form 20-F filed on April 20, 2012.

Consequently, all of the forward-looking statements made in this press release are qualified by these cautionary statements. The Company cannot assure that the actual results or developments anticipated will be realized or, even if substantially realized, that they will have the expected effect on the Company, its business or operations.

For further enquiries, please contact:

Ms. Michelle Zhang Deputy Manager, Media / Public Relations CNOOC Limited Tel: +86-10-8452-6642 Fax: +86-10-8452-1441 E-mail: MR@cnooc.com.cn

Ms. Angela Hui Ketchum Newscan Public Relations Ltd. Tel: +852-3141-8091 Fax: +852-2510-8199 E-mail: angela.hui@knprhk.com