CHINA'S top offshore oil producer CNOOC posted a 61.8-percent jump in quarterly revenue on high oil prices, in line with market expectations.
Unaudited total revenue rose to 24.03 billion yuan (US$3.4 billion) in the first three months, Hong Kong-listed CNOOC said after the market closed yesterday. Figures on costs and profit were not released.
CNOOC produced 5 percent more crude oil and gas from a year earlier to 496,753 barrels of oil equivalent per day during the quarter.
"This is not a negative surprise because most of CNOOC's promised 15-18 percent output rise will take place toward the second half of the year, with all remaining 2008 projects progressing smoothly," CLSA analyst Gordon Kwan said.
Crude output rose 3.7 percent to 392,722 barrels a day while gas production jumped 9.3 percent to 601 million cubic feet per day during the period. Its realized oil price rose 69.2 percent to US$88.76 per barrel and average realized gas price hit US$3.65 per thousand cubic feet, up 14.3 percent.
"CNOOC Ltd's first quarter is characterized by steady output growth, strong revenue rise and exploration discoveries," Chairman and CEO Fu Chengyu said.
In the quarter, the firm made four new discoveries off China and successfully appraised two discoveries.
CNOOC's capital expenditure remained flat at 6.1 billion yuan in the quarter. Exploration expenditure rose 42.3 percent to 1.37 billion yuan. CNOOC has budgeted for a 44-percent rise in overall 2008 capital expenditure and Chief Financial Officer Yang Hua said yesterday the target remained, as most of the spending will be in the second half.
CNOOC rose 4.98 percent to HK$13.92 (US$1.79) yesterday. The company climbed 4.8 percent this year, versus a 7.7-percent drop in the Hang Seng Index.