HONG KONG (Standard & Poor's) Aug. 3, 2005--Standard & Poor's Ratings Services said today that it had affirmed its 'BBB+' corporate credit ratings on CNOOC Ltd. (CNOOC), CNOOC Finance Corp. Ltd., and China National Offshore Oil Corp. and removed them from CreditWatch, where they were placed with negative implications on June 23, following an announcement by CNOOC that it had withdrawn a US$18.5 billion bid for Unocal Corp. The outlook on the ratings is positive. The ratings are constrained by uncertainty associated with future acquisitions. However, if CNOOC can continue to expand its operating income, extend its performance record, and demonstrate a conservative policy with regard to debt-financed acquisitions, the ratings could be raised over the short to medium term.
