In 2024, CNOOC Ltd. aims to increase reserves and production targets while promoting integrating new energy into the oil and gas business, the company announced Jan. 25.

In 2023, CNOOC produced 675 MMboe. The company has pegged its 2024 net production target at between 700 MMboe and 720 MMboe, with nearly 70% of that coming from China. For 2025, CNOOC is setting its net production target at 780 MMboe to 800 MMboe, and between 810 MMboe to 830 MMboe for 2026.

CNOOC attributes the growth to a strong pipeline of new projects and capital investment.

CNOOC said it will increase its efforts in natural gas exploration and push forward the construction of Tcm-level gas regions in the South China Sea, the Bohai Sea and onshore China.

In 2024, China expects to bring onstream several projects in the country, including Suizhong 36-1/Luda 5-2 oilfield secondary adjustment and development project, Bozhong 19-2 oilfield development project, Shenhai-1 Phase II natural gas development project, Huizhou 26-6 oilfield development project and Shenfu deep-play coalbed methane exploration and development demonstration project. CNOOC said overseas developments such as the Petrobras-operated Mero 3 project offshore Brazil will also support production growth.

For 2024, CNOOC has budgeted capex at $17.5 billion (RMB 125 billion) to $18.9 billion (RMB 135 billion). Of that, 16% is earmarked for exploration, 63% for development and 19% for production.

Mero Field Brazil
Petrobras operates the Mero field offshore Brazil on behalf of partners TotalEnergies, Shell Brasil, CNPC, CNOOC and Pré-Sal Petróleo. (Source: TotalEnergies)

Carbon and green development

CNOOC said it is also exploring the industrialization of CCS/CCUS technologies. The company has carried out a comprehensive assessment of storage potential offshore China and has planned an offshore CCUS demonstration center in northern China, relying on Bozhong 19-6 gas field.

The company also aims to develop differentiated advantages in deep-sea wind power generation and promote the integrated development of offshore wind power and oil and gas production. The company said it will expedite green power substitution and that green electricity consumption is expected to exceed 700 MMkWh in 2024.

2023 lookback

CNOOC’s expected capex for 2023 was about $18 billion (RMB 128 billion), with money invested in engineering standardization, accelerated capacity construction and expedited project approvals. In January 2023, CNOOC announced a plan to bring nine fields into production. Offshore China, Bozhong 19-6 started production in November 2023, Enping 18-6 and Penglai 19-3 fields started production in October 2023 and Lufeng 12-3 started production in September 2023. The Exxon Mobil-operated Payara project offshore Guyana started production in November 2023, and the Petrobras-operated Buzios 5 offshore Brazil started production in May 2023.

In 2023, CNOOC said it discovered fields with proved in-place volume exceeding 100 MMton of boe in the Bohai Sea and deepwater South China Sea.