CNOOC may produce 19 million BOE in RI in 2005

China National Offshore Oil Corporation (CNOOC) Limited said on Wednesday that its unit in Indonesia is expected to report a net entitlement volume of 19 million barrels of oil equivalent (BOE) in 2005, the Asia Pulse reported on Thursday.

The company didn't provide many details about its activities in Indonesia.

CNOOC also said that its budget net oil production volume offshore China in 2005 is about 141 to 146 million BOE, a 19 percent increase over the budget of 118 to 123 million BOE in 2004.

CNOOC said at a televised press conference that the year 2005 would be a significant year in its production growth. Sixteen development projects are expected to come on stream between 2005 and 2006, of which nine are expected to be completed in 2005.

The company's 2005 capital budget supports the growth as the development capital expenditure is budgeted at about $2.2 billion, a 33 percent increase. The exploration budget is expected to remain at the level of $260 million.

CEO of the company Yang Hua said at the press conference "we will continue to maintain our competitive cost structure and take all necessary measures to ease the upward pressure."

The company will further implement its natural gas strategy and be the leading gas supplier in China's coastal areas. (*)