CNOOC launched IPO to purchase "three barrels of oil" and gathered in the A-share market

On April 12, China National Offshore Oil Co.

According to calculations, the 2021 diluted price-to-earnings ratio and price-to-book ratio corresponding to CNOOC's issue price are 7.

According to the prospectus for the initial public offering (A shares) published on March 31, CNOOC is China's largest offshore oil and gas production operator and natural gas producer, as well as the world's largest independent oil and gas explorer and producer.

CNOOC said that unlike PetroChina and Sinopec, which have a large number of mid-stream and downstream businesses, CNOOC's business focuses on upstream exploration and exploitation, and is currently a pure upstream oil and gas company that is scarce in the A-share market

In 2021, benefiting from rising international oil prices and good cost control, CNOOC's profitability will be the best in history

Industry insiders believe that under the background of high oil prices and CNOOC's strengthened cost control, CNOOC's profitability is expected to further improve, and the listing of A-shares is expected to create super-good returns for investors

It is expected to benefit from the high prosperity of the industry

Liu Jingcai

After the three major telecom operators gathered in A shares, on April 12, "Three Barrels of Oil" also met in A shares

As the world's largest pure upstream oil and gas company, CNOOC actively responds to the policy requirements of "increasing reserves and increasing production", increasing exploration and development efforts, and the scale of oil and gas assets has grown steadily

　　It is worth noting that since CNOOC's main business is concentrated in the upstream, its performance is greatly affected by international crude oil prices

　　At the same time, in the oil price cycle from 2010 to 2020, CNOOC has consistently maintained profitability, and its asset quality exceeds that of other domestic and foreign peers, but its valuation is far lower than that of upstream oil and gas companies in the industry such as ConocoPhillips and Western Petroleum

　　In addition, CNOOC has maintained a large dividend distribution for a long time

　　With the acceleration of China's offshore oil and gas exploration and development in the future, CNOOC's production growth is optimistic, coupled with the company's excellent cost control capabilities, for ordinary investors, in the current volatile A-share market, CNOOC can expect growth.