News Release

CNOOC Limited Announces Key Operational Statistics for Q1 2017

HONG KONG, April 27, 2017 /PRNewswire/ -- CNOOC Limited (the "Company", SEHK: 00883, NYSE: CEO, TSX: CNU) today announced its key operational statistics for the first quarter of 2017.

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For the first quarter of the year, the Company achieved total net production of 119.1 million barrels of oil equivalent ("BOE"), representing a decrease of 4.2% year-on-year ("YoY"), mainly due to the natural decline of the producing oil and gas fields.

During the period, the Company made four new discoveries and successfully drilled five appraisal wells in offshore China. Among them, the newly discovered Bozhong 29-6 and Bozhong 29-6S in the mature area of Bohai demonstrated favorable exploration potential of this area. The successfully appraised Penglai 7-6 proved to be a mid-size oil and gas structure. The Company also made one new discoveries and successfully drilled one appraisal wells overseas.

To date, for the projects planned to commence production this year, Penglai 19-9 oil field comprehensive adjustment project and the Enping 23-1 oil fields have already come on stream, and the other projects are moving smoothly.

For the first quarter of the year, the unaudited oil and gas sales revenue of the Company reached approximately RMB38.39 billion, representing an increase of 55.8% YoY, mainly attributable to the significant rebound in international oil prices. During the period, the Company's average realized oil price increased by 58.7% YoY to US$51.64 per barrel, which was on par with the trend of the international oil prices, while the average realized gas price was US$6 per thousand cubic feet, up 5.4% YoY.

For the first quarter of the year, the Company's capital expenditure amounted to approximately RMB 8.67 billion, representing a decrease of 10.6% YoY, mainly due to the YoY decrease in investment on development according to the work schedule arrangement.

Mr. Yuan Guangyu, CEO of the Company, said, "Despite the continued challenging market conditions, the Company has maintained smooth production and operations during the first quarter of the year. We will continue to enhance quality and efficiency, pursue quality growth, and increase profitability-oriented production volume."

Notes to Editors:

More information about the Company is available at http://www.cnoocltd.com.

This press release includes "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995, including statements regarding expected future events, business prospectus or financial results. The words "expect", "anticipate", "continue", "estimate", "objective", "ongoing", "may", "will", "project", "should", "believe", "plans", "intends" and similar expressions are intended to identify such forward-looking statements. These statements are based on assumptions and analyses made by the Company in light of its experience and its perception of historical trends, current conditions and expected future developments, as well as other factors the Company believes are appropriate under the circumstances. However, whether actual results and developments will meet the expectations and predictions of the Company depends on a number of risks and uncertainties which could cause the actual results, performance and financial condition to differ materially from the Company's expectations, including but not limited to those associated with fluctuations in crude oil and natural gas prices, the exploration or development activities, the capital expenditure requirements, the business strategy, whether the transactions entered into by the Group can complete on schedule pursuant to their terms and timetable or at all, the highly competitive nature of the oil and natural gas industries, the foreign operations, environmental liabilities and compliance requirements, and economic and political conditions in the People's Republic of China. For a description of these and other risks and uncertainties, please see the documents the Company files from time to time with the United States Securities and Exchange Commission, including the Annual Report on Form 20-F filed in April of the latest fiscal year.

Consequently, all of the forward-looking statements made in this press release are qualified by these cautionary statements. The Company cannot assure that the results or developments anticipated will be realised or, even if substantially realised, that they will have the expected effect on the Company, its business or operations.

For further enquiries, please contact:
Mr. Yan Cao
Deputy General Manager, Investor Relations Department
CNOOC Limited
Tel: +86-10-8452-1417
Fax: +86-10-8452-1441
E-mail: caoyan@cnooc.com.cn

Ms. Iris Wong
Hill+Knowlton Strategies Asia
Tel: +852 2894 6263
Fax: +852-2576 1990
E-mail: HL.Wong@hkstrategies.com

SOURCE CNOOC Limited