eFinanceMarkets
8 years ago
Cnooc's wider disclosure about reserve base seen as positive, analysts say
Cnooc's (CEO +0.7%) more-detailed disclosure about its reserve base, released during yesterday's earnings presentation, is a positive sign for the company's long-term outlook even after reporting weak 2016 results, analysts say.
βThis new information will alleviate investorsβ concerns on Cnoocβs relatively low reserve life, which we see as a material long-term positive catalyst,β says Morgan Stanley's Andy Meng, adding that he also likes the βgenerous" dividend payout and impressive cost control.
The company previously took a conservative approach to reserves booking under SEC guidelines, but yesterday it provided the first look under Society of Petroleum Engineers standards, which shows reserves may be at least twice as large, Bernstein's Neil Beveridge says.
Timothy Smith
12 years ago
$CEO - CNOOC is after growth. It is investing from about $12 billion to $14 billion in 2013 in pursuit of an annual average growth rate of 6 percent to 10 percent from 2011 to 2015.
Further it has allocated 70 percent of its spending on development in order to bring 10 new oil and gas fields online offshore China.
In 2013, the company is also expecting to drill 140 exploration wells. CNOOC will also purchase 2-Dimensional (2D) and 3-Dimensional Data (3D) seismic data, which will boost deepwater exploration activities. Therefore, 2013 is going to be a year of exploration, development and construction for future growth.
A major recent achievement of CNOOC would be the acquisition of Nexen Inc. This means that CNOOC now gets hold of Nexen's substantial reserves in Canadian oil sands.
Nexen is also dynamic in natural gas exploration in shale rock formations and also owns approximately 300,000 acres of shale-gas blocks in the Horn River Basin in British Columbia.
The above mentioned measures to enhance production by CNOOC both by exploration and acquisition of additional assets around the world is in line with the increasing energy demand of the growing Chinese economy and that of ASEAN.
Timothy Smith
12 years ago
Operating Profit Margin 35.94%
Return on Assets 16.17%
1-Year Projected Earnings Per Share Growth Rate 36.26%
Short Interest 0.13%
CNOOC Limited, through its subsidiaries, engages in the exploration, development, production, and sale of crude oil, natural gas, and other petroleum products.
Its oil and natural gas properties are located in offshore China, which include Bohai Bay, western South China Sea, eastern South China Sea, and East China Sea, as well as in Indonesia, Iraq, other regions in Asia, Australia, Nigeria, Uganda, the United States of America, Canada, and Argentina.
The company is headquartered in Central, Hong Kong, and is considered a Red Chip company due to its listing on the Hong Kong Stock Exchange. CNOOC Limited is a subsidiary of China National Offshore Oil Corporation.
Timothy Smith
12 years ago
CNOOC Limited, through its subsidiaries, engages in the exploration, development, production, and sale of crude oil, natural gas, and other petroleum products.
Its oil and natural gas properties are located in offshore China, which include Bohai Bay, western South China Sea, eastern South China Sea, and East China Sea, as well as in Indonesia, Iraq, other regions in Asia, Australia, Nigeria, Uganda, the United States of America, Canada, and Argentina.
The company is headquartered in Central, Hong Kong, and is considered a Red Chip company due to its listing on the Hong Kong Stock Exchange. CNOOC Limited is a subsidiary of China National Offshore Oil Corporation.