0637 GMT - Cnooc's oil production will likely remain robust despite its recently lowered output guidance, Chokwai Lee of Morningstar writes in a note. The recent cut in production targets for 2025-2026 was due to its disposal of the oil-and-gas business in the U.S. Gulf of Mexico, which mainly comprised nonoperating interests in projects, Lee writes. This will help Cnooc reduce political risks while maintaining competitive production costs, Lee adds. Given Cnooc's strong track record and project pipeline, it will likely be able to meet current production targets through 2027, which still reflect a robust growth rate, Lee says. Morningstar retains its fair value estimate of HK$23.00. Shares are 0.75% lower at HK$18.48. (kimberley.kao@wsj.com)
(END) Dow Jones Newswires
January 24, 2025 01:37 ET (06:37 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.