2020-08-31 22:44Production and Exploration - In the first half of 2020, CNOOC achieved a net production of 257.9 million barrels of oil equivalent, representing a year-on-year increase of 6.1%[5] - Domestic net production reached 173.9 million barrels of oil equivalent, up 11.4% year-on-year, primarily due to the commissioning of new projects such as Bozhong 34-9 and Dongfang 13-2[15] - CNOOC made five exploration discoveries and successfully evaluated 20 oil and gas structures in the first half of 2020, including significant finds in Bohai and the Stabroek block in Guyana[4] - The company made four new discoveries in China's offshore areas, with a self-operated exploration well success rate of 45%-65%[13] - The Uaru discovery in the Stabroek block in Guyana is the sixteenth exploration discovery in the area, increasing the recoverable resource amount to over 8 billion barrels of oil equivalent[13] - The company completed 111 exploration wells in the first half of 2020, maintaining the exploration workload domestically[12] - The average drilling time improved by 4.9% year-on-year, resulting in savings of RMB 2.25 billion in drilling and completion costs[17] Financial Performance - Oil and gas sales revenue reached RMB 66.34 billion, while net profit was RMB 10.38 billion, down from RMB 30.29 billion in the same period last year[7] - The total revenue from oil and gas sales was RMB 66.34 billion, a decrease from RMB 94.69 billion in the previous year[22] - The company reported a total of 139.4 million barrels of oil and 204.2 billion cubic feet of natural gas produced in China during the first half of 2020[16] - The segment profit for exploration and production was RMB 10,485 million, down 66% from RMB 30,795 million in the previous year[47] - The company reported a 24.6% decline in investment income, totaling RMB 1.79 billion, down from RMB 2.37 billion year-on-year[20] - The diluted earnings per share for the first half of the year was RMB 0.23, down from RMB 0.68 in the same period last year[23] - The company reported a net profit for the first half of 2020 was RMB 30,288 million, down from RMB 58,181 million in the first half of 2019, reflecting a decrease of approximately 48.0%[26] Capital Expenditure and Investment - The company adjusted its full-year capital expenditure plan from RMB 85-95 billion to RMB 75-85 billion, and revised its production target from 520-530 million barrels of oil equivalent to 505-515 million barrels of oil equivalent[10] - Capital expenditures for the first half of the year amounted to RMB 35.6 billion, a year-on-year increase of 5.6%[19] - The group invested approximately RMB 33,627 million in property, plant, and equipment during the first half of 2020, compared to RMB 32,506 million in the same period of 2019[56] - Exploration expenses decreased by 59.1% to RMB 2.56 billion compared to RMB 6.26 billion in the same period last year[20] Cost Management - The average cost per barrel of oil decreased to $25.72, and operating costs fell to $6.50 per barrel, marking a ten-year low[4] - The company achieved a significant reduction in operating costs, with operating expenses totaling RMB 58.98 billion, down from RMB 65.90 billion year-on-year[22] - The company plans to enhance domestic oil and gas exploration efforts and continue to focus on cost control in response to oil price fluctuations[7] Health and Safety - CNOOC reported zero infections among offshore platform and vessel personnel during the pandemic, demonstrating effective health and safety measures[4] - The company has established a comprehensive epidemic prevention mechanism, ensuring zero infections among offshore personnel[11] Dividends and Shareholder Information - The company declared an interim dividend of HKD 0.20 per share, down from HKD 0.33 per share in the previous year[8] - The interim dividend will be distributed on or around October 16, 2020, to shareholders registered on the company's register as of September 11, 2020[123] Corporate Governance and Compliance - The company has complied with the Corporate Governance Code, except for a deviation regarding the appointment of non-executive directors[116] - The audit committee has reviewed the interim results for the six months ending June 30, 2020, which are unaudited[114] - The company has adopted a code of conduct for directors and senior management, confirming compliance during the reporting period[118] Future Outlook - The company plans to continue its focus on oil and gas exploration and production, aiming for strategic market expansion and technological advancements in the upcoming quarters[29] - The company emphasizes that actual results may differ significantly from forward-looking statements due to various risks and uncertainties, including fluctuations in oil and gas prices[127]