CNOOC's Subsidiary Funds Oil Project In Nigeria

China National Offshore Oil Company Limited' subsidiary CNOOC China Limited has signed a loan agreement with Export and Import Bank of China to fund an oil project in Nigeria.

The 12.8 billion yuan (1.6 billion U.S. dollars) loan will be used for the company's operations in Nigeria and for general capital expenditure for other projects, said CNOOC Ltd. in a statement.

According to CNOOC Ltd, the company has the right of pre-repayment without any penalty and its debt to capitalization ratio will still be under 25 percent.

CNOOC Ltd acquired a 45 percent working interest in an offshore oil mining license "OML 130" in a 2.6 billion U.S. dollar deal concluded in April.