CNOOC: Oil prices are difficult to control, but costs are manageable; domestic crude oil production is heading towards 65 to 70 million tons

CNOOC (00883.HK) Vice Chairman, CEO, and President Huang Yongzhang stated at the earnings release that the company will continue to increase exploration and development, set proactive production targets, and make reasonable, precise, and efficient investments. He pointed out that while oil prices cannot be controlled, costs can be managed, and the company will respond to market volatility with certainty.

Senior Vice President Yan Hongtao indicated that the current domestic crude oil production is 61 million tons, with a future target of 65 to 70 million tons. As for natural gas production, it is also expected to rise over the next five years, with at least two larger gas fields entering development and production, leading to an increase in natural gas output from over 30 billion cubic meters to 40 billion cubic meters.

When asked about the impact of high oil prices on this year's capital expenditure, Yan Hongtao mentioned that the current external situation is uncertain, and it remains to be seen how long oil prices will stay at high levels.

CNOOC's operational target for this year is a production goal of 780 to 800 million barrels of oil equivalent, with a capital expenditure budget of 112 to 122 billion RMB