CNOOC Limited signs a Heads of Agreement with JSC Novatek for the Arctic LNG 2 Project

CNOOC Limited (the “Company”) announced on April 25 that the Company has signed a Heads of Agreement with JSC Novatek, a Russian gas producer, for the acquisition of 10% interest of the Arctic LNG 2 project.

The Arctic LNG 2 Project is located on the Gydan Peninsula, Russia and the second large onshore conventional natural gas project led by JSC Novatek, which contains the development and production of Utrenneye gas field and the construction and operation of three LNG trains.

The completion of the transaction is subject to the conclusions of due diligence, signing of the Sales and Purchase Agreement, and approval by the Company’s Board of Directors as well as that by Chinese and Russian authorities (if needed).