Press Releases

CNOOC Ltd. Announces the Startup of SES Gas Project PhaseⅠ

Time：2006-06-14: Size：[ Large Medium Small ]

(Hong Kong, June 14, 2006) - CNOOC Limited (NYSE: CEO, SEHK: 883, “the Company") announced today that PhaseⅠof Southeast Sumatra (SES) Gas Project was successfully brought on stream. The contractual gas delivery rate of PhaseⅠis 55 million cubic feet per day via 4 wells.

The gas project is located about 120 kilometers offshore West Java in Indonesia, with an average water depth of 30 meters. The development facilities in PhaseⅠinclude one processing platform, three sub-sea pipelines and one sub-sea cable. The natural gas produced will mainly be supplied to state utility company PT Perusahaan Listrik Negara (PLN) power plants.

The SES Gas Project consists of two phases, and Phase Ⅱis expected to start gas delivery in early 2007.

Mr. Liu Jian, Executive Vice President of the Company, expressed his congratulations: “The successful production commencement of SES gas project indicates that we are able to accomplish development of overseas oil and gas fields in a safe and effective manner. We’re glad to supply gas in Indonesia and contribute to the local economy as a foreign investor. "

CNOOC Ltd. holds 65.5% interest of Southeast Sumatra PSC and acts as the Operator. The PSC partners include Inpex Sumatra Ltd., KNOC Sumatra Ltd., Orchard Energy Sumatra BV, Fortuna Resources (Sunda) Ltd., Talisman UK (Southeast Sumatra) Ltd. and Talisman Resources (Bahamas) Ltd.

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Notes to Editors:

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

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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 “believe”, “intend”, “expect”, “anticipate”, “project”, “estimate”, “plan”, “predict” and similar expressions are intended to identify such forward-looking statements. These statements are based on assumptions and analyses made by us that we believe are reasonable under the circumstances. However, whether actual results and developments will meet our expectations and predictions depend on a number of risks and uncertainties which could cause our actual results, performance and financial condition to differ materially from our expectations. For a description of these and other risks and uncertainties, please see the documents we file from time to time with the United States Securities and Exchange Commission, including our 2005 Annual Report on Form 20-F filed on June 27, 2006.

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For further enquiries, please contact:

Mr. Xiao Zongwei
Joint Company Secretary and General Manager of
Investor Relations Department
CNOOC Limited
Tel: +86-10-8452-1646
Fax: +86-10-8452-1441
E-mail: xiaozw@cnooc.com.cn

Ms. Sharon Fung
Ketchum Newscan Public Relations Ltd
Tel: +852-3141-8082
Fax: +852-2510-8199
E-mail: sharon.fung@knprhk.com

About Us

CNOOC Limited is a listed company on the Shanghai Stock Exchange and the Hong Kong Stock Exchange with stock codes of 600938 and 00883, respectively. The Company is the largest producer of offshore crude oil and natural gas in China and one of the largest independent oil and gas exploration and production companies in the world. The Company mainly engages in exploration, development, production and sale of crude oil and natural gas.

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Beijing office:
No.25 Chaoyangmenbei Dajie,
Dongcheng District, Beijing,
100010, P.R. China
Website: www.cnoocltd.com
Registered office:
65/F, Bank of China Tower, 1
Garden Road, Hong Kong