CNOOC Ltd. Signs Loan Agreement with China EXIM Bank

CNOOC Limited (NYSE: CEO; SEHK: 883) reports that its wholly owned subsidiary, CNOOC China Limited, has signed a loan agreement with Export and Import Bank of China (China EXIM Bank).

The total amount of the loan is RMB 12.8 billion with a tenor of 10 years. The interest rate of the loan is fixed at 4.05%. The Company has the right of pre-repayment without any penalty. After funding, the Company's debt to capitalization ratio will still be under 25%. The proceeds will be used for the Company's ongoing capital needs in Nigeria and to meet general capital expenditure requirement of other projects.

Mr. Yang Hua, Executive Vice President and CFO of the Company commented, "We're glad to obtain the loan from China EXIM Bank, which offered us attractive terms. Prudent financial discipline is what we have always pursued. We believe this financing activity will further optimize our capital structure and potentially enhance the return to our shareholders."