HONG KONG Jan 20 Top Chinese offshore oil and
gas producer CNOOC Ltd said on Monday it is aiming for
an up to 4.3 percent increase in output this year, excluding
contributions from Canadian oil producer Nexen it acquired a
CNOOC also said it has earmarked 105 billion to 120 billion
yuan ($17.35 billion to $19.83 billion) in total capital
spending for exploration, development and production for this
year, with Nexen accounting for about 19 percent.
The state-run company plans to produce 353 million-366
million barrels of oil equivalent (boe) this year, excluding
Nexen output, compared with estimated output of 351 million boe
in 2013, it said in a filing with the Hong Kong stock exchange.
The 2013 output estimates were above the company's target of
338-348 million boe.
CNOOC acquired Nexen for $15.1 billion in March 2013 in
China's biggest foreign corporate takeover.
Including Nexen's output, CNOOC aimed to produce 422-435
million boe this year, up from 412 million boe estimated for
CNOOC, once an investor darling for its high-growth profile,
has struggled to boost its output the past few years as domestic
fields age. It has invested in deepwater technology to drill in
frontier areas off China's coast and expanded into
unconventional energy such as oil sands and shale in North
Shares of CNOOC ended up 0.72 percent on Monday ahead of the
announcement. The stock lost about 13 percent over the last 12
months due to worries about its production growth prospects and
the premium it paid to acquire Nexen, making it the worst
performer among the world's major exploration and production
companies in the period.
($1 = 6.0502 Chinese yuan)
(Reporting by Charlie Zhu; Editing by Tom Hogue)