CNOOC Q1 profits down 7.9% due to lower oil prices but production grows

CNOOC Ltd, the Chinese offshore oil company, saw its first-quarter profit fall 7.9% due to lower oil prices. However, higher production helped offset this decline.

According to the filing made by the company on Tuesday at the Hong Kong Stock Exchange, the net income for the period January-March was 36.56 billion Yuan ($5.03billion), down from 39.7 billion Yuan during the same time last year.

A higher production led to a revenue drop of 4.1% to 106.85 bn yuan for the first quarter.

CNOOC Ltd.'s total net output during the period reached 188.8 millions barrels of oil-equivalent (boe), an increase of 4.8% over the previous year.

The company's domestic net output increased by 6.2%, boosted by major oilfields like Bozhong 19, 6 in Bohai Bay. Meanwhile, the output of the international operations rose by 1.9 percent, boosted mainly due to the growth at Brazil's Mero-2.

CNOOC set its net production goal for 2025 at a record of between 760 and 780 millions boe or 5,6% to 8,3% higher than 2024 levels.

All-in production costs were $27.03 per barrel for the first three months of this year, compared to $27.59 during the same period last.

The first-quarter capital expenditures totaled 27.7 billion Yuan, a decrease of 4.5% compared to the previous year.

(source: Reuters)