COSL ERP Implementation Project First Phase Gained Acceptance

(6 December 2006) China Oilfield Services Limited ( COSL or the Company , stock code: 2883.HK) announced the first phase of its ERP implementation project gained acceptance. The Company s ERP project team together with ERP consultants from CCAFM (China Consultants of Accounting and Financial management, Co. Ltd.) had a thorough examination to the work of the first phase. The result showed that COSL ERP implementation project met the requirements completely and was validated thereby.

Mr. Yuan Guangyu, CEO and President of COSL, said, To implement ERP project is a milestone for the Company s development. The project can systematically upgrade our management ability thus improve our comprehensive competitiveness in technology, finance, personnel and management in the industry. Therefore, the ERP project is of great importance and strategic significance to COSL s development.