Super-expansion for the Chinese oil multinational
The Chinese offshore oil multinational CNOOC plans to increase production by 12% over the next two years, to reach 730-740 million barrels of oil equivalent.
By comparison, CNOOC expects production of between 650 and 660 million barrels of oil equivalent this year, Upstream reported.
The news comes on the heels of CNOOC's latest financial report , which showed the company doubled its net profit in 2022, boasting an average realized price for its oil of $96.59 a barrel. This is a price 42.3% higher than the average price achieved in the previous year.
CNOOC was not the only Chinese energy major to report strong financial results for 2022. Like Western Big Oils, the Chinese majors also performed well in the context of last year's rising oil prices. According to Chinese media, the combined profits of CNOOC, CNPC and Sinopec neared $52 billion, a record.
At the same time, domestic production from all three companies also increased last year, with Sinopec posting record production in both oil and gas and CNPC doing the same.
The Chinese government has actively encouraged the energy industry to increase local production of crude oil and natural gas to reduce the country's heavy dependence on imports.
Meanwhile, Saudi Arabia closed two investment deals with Chinese refineries and CNOOC completed the first purchase of LNG settled in yuan instead of dollars or euros.
The first news demonstrates Saudi Arabia's firm commitment to China as an oil supplier and partner for its refining into fuels and chemicals. Simultaneously with this news, news also broke that the Saudis would invest in a new $10 billion refinery in China.
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The article Super-expansion for the Chinese oil multinational comes from Economic Scenarios .
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/super-espansione-per-la-multinazionale-cinese-del-petrolio/ on Fri, 31 Mar 2023 09:00:15 +0000.