CNOOC Limited is maintaining a multibillion-dollar capital expenditure program to support its growth strategy, targeting a production of 780 million to 800 million barrels of oil equivalent in 2026. This represents a moderate increase from the 777 million boe produced in 2025.

2025 Performance and Reserves

The company achieved an average daily production of 2.13 million boe in 2025, a 7% year-over-year increase, supported by 16 new projects. Total crude production grew 5.8% to 599.7 million barrels, while natural gas output rose 11.6% to approximately 29 billion cubic metres. Net proven reserves reached a record high of 777.3 million boe, bolstered by international projects like the Lukanani and Ranger oilfields offshore Guyana and domestic success at the Qinhuangdao 29-6 field. Six new discoveries were made in 2025, contributing to a five-year total of 48 domestic and 18 international discoveries.

International Project Pipeline

Significant development pipelines are in place internationally. On the Stabroek block in Guyana, eight projects are planned to be operating by 2030; the Longtail field is progressing with an FEED contract awarded and likely sanctioning this year. In Brazil's Buzios oilfield, 11 projects are expected by 2027, with Petrobras tendering for a 12th FPSO.

Financial Results and Strategy

Despite a 13.4% drop in realised oil prices to US$66.47 per barrel, which reduced 2025 net profit by 11.5% to 122.1 billion yuan, the company highlighted its financial resilience. This resilience is attributed to a focus on upstream production, efficiency improvements, and technological breakthroughs like deepwater exploration. The leadership acknowledged market volatility and is finalising its corporate strategy for China's 15th Five Year Plan period.

Capital Expenditure and Forward Outlook

Capital expenditure for oil and gas was 120.5 billion yuan in 2025, with a planned 2026 capex of 112 billion to 122 billion yuan. Management affirmed that production and reserves will continue an upward trend, with expenditures guided by the internal five-year strategy and the macroeconomic environment. Over the next five years, annual natural gas production is expected to exceed 40 Bcm, supported by two large gas projects coming online soon.