(Yicai Global) April 18 -- China National Offshore Oil Corp. had no comment to make on recent media reports that the Chinese offshore oil giant is contemplating offloading its operations in Canada, the UK and the US, online news outlet The Paper reported yesterday, citing the firm’s investor relationship department.

CNOOC is seeking to sell off its businesses in Canada, the UK and the US, media recently reported. At the same time, it is also looking to acquire new oil and gas projects in Latin America and Africa, particularly Brazil, Guyana and Uganda.

Now is the time to sell when oil prices are high, an insider at a Chinese state-owned oil company said.

CNOOC bought Canada’s Nexen, which owns some of the world’s biggest oil and gas producing resources, for USD15.1 billion in February 2013 when the Brent crude oil price was around USD110 per barrel. Oil prices since dipped and such expensive assets became a burden on oil companies, but they have returned to this height several times this year amid geopolitical tensions and tight supplies, giving CNOOC a better chance of getting a good return on its investment.

CNOOC, which is estimated to have raised USD4.4 billion in its Shanghai secondary listing last week, is projecting a yield of up to 610 million barrels of oil equivalent this year, a 6 percent jump from last year, and as much as 690 million by 2024, according to its latest earnings report released last month. Most of this growth will come from its assets in China’s Bohai Sea, the South China Sea and Guyana’s Stabroek Block.

CNOOC posted all-time-high profit of CNY70.3 billion (USD11 billion) for 2021, a more than two-and-a-half time surge from the year before, on record output and surging international oil prices, the report said. Revenue jumped 58.4 percent to CNY246.1 billion (USD38.7 billion).

The company produced 573 million barrels of oil equivalent last year, the most ever. The average price of oil surged 65.7 percent from a year earlier to USD67.89 per barrel and that of natural gas soared 12.6 percent to USD6.95 per kilo cubic feet.

CNOOC is the largest offshore crude oil and gas producer in China and one of the world’s biggest independent oil and gas exploration and production groups. As of the end of 2020, it had confirmed reserves of 5.37 million barrels of oil equivalent.

CNOOC’s share price [HKG:0883] closed up 0.87 percent at HKD11.56 (USD1.83) per share on April 14. The Hong Kong stock market is closed today for a public holiday.

Editor: Kim Taylor