Guyana’s oil helped CNOOC to bag US$17.2B profits last year

Mar 23, 2024 ExxonMobil, News, Oil & Gas

Kaieteur News – China’s CNOOC Limited had recorded US$17.2 billion (124 billion Yuan) in net income 2023, a dip in profits compared to 142 billion Yuan in 2022 – with earnings included from profits made from Guyana’s Stabroek Block.

ExxonMobil Guyana is the operator of the Stabroek Block with a 45% interest, while Hess Guyana Exploration Ltd. holds 30% interest and CNOOC Petroleum Guyana Limited holds 25% interest.

On Thursday, CNOOC said, “In 2023, despite the slowdown in global economic growth and the decline in international crude oil prices, CNOOC Limited pressed ahead with high-quality development, set new records in both reserves and production and generated bountiful profit.”

The Chinese Government-backed company reported total annual revenue of 416.6 billion Yuan, slightly lower than the 422.23 billion Yuan in 2022. Despite the dip, the company noted, “Profit-making capabilities remain strong.”

CNOOC disclosed that the Bohai oilfields offshore China remained the largest crude oil production base in China, while Guyana and Brazil continued to serve as the main drivers of the company’s overseas production growth.

In his remark, CNOOC Chairman Wang Dongjin, said, “In 2023, we worked diligently to meet our targets. We have successfully completed all the tasks for the year and achieved new highs on reserves and production. Looking ahead, CNOOC Limited will continue to enhance our energy supply capacity, technological innovation and value creation capabilities, and strive for high-quality development. With our best efforts, we will set new milestones on our way to build a world-class energy company.”

ExxonMobil Guyana announced the discovery of oil in 2015 and swiftly moved to commence production activities by December 2019. Production from the Stabroek Block developments sits above 600,000 barrels per day (bdp) – with Exxon having the Liza 1, Liza 2 and the Payara projects online.

The oil companies have embarked on an aggressive drilling campaign in the Stabroek Block targeting three other developments: Yellowtail, Uaru and Whiptail projects. It should be noted that Yellowtail and Uaru have already been approved, while Whiptail is under review awaiting government approval any day now.