China Oilfield Services Limited ('COSL' or the 'Group'), announced its unaudited performance for the first three months of 2017 ended 31 March (the 'period') today.

During the first quarter of 2017, although the operating environment was still full of challenges, the Group was dedicated to consolidating and developing domestic and overseas markets. During the period, the operation volume and service prices of some business lines of semi-submersible drilling rigs and marine support and well services showed certain degrees of growth. As such, the Group achieved operating revenue of RMB3,057.7 million for the first quarter of 2017, while the net profit amounted to RMB-533.2 million, representing a decrease of loss of 42.3% year-on-year.

In the drilling services segment, due to factors such as seasonal factors and contractual arrangements, the operating days of jack-up drilling rigs during the period reduced, while the operating days of semi-submersible drilling rigs still achieved a year-on-year growth of 22.1%.

In the well services segment, as the operation volume of some business lines increased, overall income increased correspondingly.

In the marine support services segment, the operation was stable during the period. The operating days of the Group's self-owned fleet increased year-on-year, while the calendar day utilization rate also increased 7.1% year-on-year.

In the geophysical and surveying services segment, the Group actively expanded overseas markets. 'HYSY 720' and 'HYSY 721' performed 3D data acquisition in Gabon. As a result, the 3D data acquisition volume achieved significant year-on-year growth during the period.

Mr. Qi Meisheng, CEO and President of COSL, said that, 'During the first quarter of 2017, international oil prices rebounded slowly to around USD50 per barrel, and the oilfield service industry was still in slow recovery. Nevertheless, the Group was still active in dealing with changes in the industry and markets, and achieved certain results. According to the seasonal characteristics of the Group's operation, the operation volume of the Group's segments will increase during the second quarter. To this end, the Group will further leverage on its own advantages and promote its integrated services. While putting more efforts in expanding international markets, the Group will strictly control the cost and focus on lifting the utilization rate of existing equipment, in order to achieve better performance through unremitting efforts.'

COSL - China Oilfield Services Limited published this content on 27 April 2017 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 27 April 2017 12:17:16 UTC.

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