April 29, 2026 [Reuters]- China’s CNOOC Ltd posted a 7.1% rise in first-quarter net profit on Tuesday as the Iran war pushed up global ​oil prices and the offshore oil and gas major increased its ‌production.

Net income for the January-to-March period was 39.14 billion yuan ($5.73 billion), compared with 36.56 billion yuan a year earlier, according to a filing with the Hong Kong Stock Exchange ​on Tuesday.

CNOOC Ltd, the listed arm ​of China National Offshore Oil Company, reported total net production at ⁠205.1 million barrels of oil equivalent (boe) in the first quarter, up 8.6% ​from a year earlier, with production increasing from both domestic and overseas operations.

Domestic ​net production was 140 million boe, up 7% year-on-year, with projects including Kenli 10-2 in the Bohai Basin off north China contributing.

Overseas net production was 65.1 million boe, up 12.3% year-on-year, ​mainly due to contributions from projects such as Yellowtail in Guyana.

The company’s unaudited ​oil and gas sales revenue was 97 billion yuan, up 9.9% year-on-year.

CNOOC, as one of ‌the ⁠world’s lowest-cost offshore producers, reported all-in production costs of $28.41 per barrel in the first quarter, up from 2025 whole-year cost at $27.

First-quarter capital spending came in at 33.02 billion yuan, up 19.1% year-on-year, due to the accelerated deployment of exploration ​and adjustment wells and ​faster capacity construction.

CNOOC’s ⁠share price is likely to be supported in the short term by geopolitical tensions and global supply disruptions, while ​the Iran conflict is unlikely to affect its production, according ​to Fitch ⁠Ratings.

“CNOOC’s overseas business accounts for about 35% of its oil and gas assets and 31% of sales volume, with Canada the largest contributor and limited Middle East ⁠exposure,” ​said Betsy Guo, Associate Director at Fitch Ratings.

CNOOC’s ​Hong Kong-listed shares have risen 36.06% year-to-date, outperforming the Hang Seng Index, which has gained 0.19%.