Shang Hai Zheng Quan Bao·2025-08-28 23:17Core Viewpoint - China National Petroleum Corporation (CNPC) is the sole subscriber for the private placement of shares by China Oilfield Services Limited (COSL), aiming to raise 5.913 billion yuan for oil and gas transportation projects and to supplement working capital [2][3]. Fundraising Details - COSL plans to issue up to 1.675 billion shares at a price of 3.53 yuan per share, with total fundraising not exceeding 5.913 billion yuan [4]. - The net proceeds will be allocated to oil and gas transportation engineering projects and working capital [4][7]. Project Allocation - The total contract amount for the projects is 23.493 billion yuan, with 5.913 billion yuan allocated from the fundraising [6]. - Key projects include: - Iraq Basra Oil Company's seawater pipeline project with a contract amount of 18.032 billion yuan, using 3.7 billion yuan from the fundraising [6]. - Abu Dhabi Gas Company's pipeline projects with a contract amount of 3.688 billion yuan, using 440 million yuan from the fundraising [6]. - Remaining funds of 1.773 billion yuan will be used to supplement working capital [6]. Strategic Importance - The projects are located in Iraq and the UAE, both rich in oil and gas resources, aligning with the Belt and Road Initiative [7]. - This investment is expected to enhance COSL's international project experience and improve its global presence in the oil and gas engineering sector [7]. Recent Achievements - COSL has been actively expanding its overseas market, securing significant contracts ranging from 2 billion yuan to 12 billion yuan [9]. - Notable contracts include a 25.24 billion USD (approximately 180.32 billion yuan) project in Iraq, awarded on August 1 [9][10]. - COSL has also strengthened its collaboration with TotalEnergies, signing multiple contracts in Iraq with significant contract values [10]. Financial Performance - In the first half of 2025, COSL reported revenue of 36.287 billion yuan, a year-on-year increase of 12.18%, while net profit decreased by 10.87% to 470 million yuan [14].