COSL COSL941 Successfully Commenced Drilling in Beibu Gulf

(18 September, 2006) China Oilfield Services Limited ( COSL or the Company , stock code: 2883HK) announced today that its jack-up drilling rig COSL941 has recently been towed to Beibu Gulf, South China Sea and has successfully started its first well drilling operation there. This marked the official commencement of operations of COSL941 , the first advanced drilling rig constructed in China.

COSL941 is the Company s first 400 feet jack-up drilling rig, which was delivered on 31 May 2006. Its successful commencement of drilling is an important milestone to the Company s drilling history.

Mr. Yuan Guangyu, CEO and President of COSL, said, The construction project of COSL941 is the biggest project the Company ever invested in since our public offering. Its delivery greatly enhanced our integrated equipment capacity. COSL941 s successful commencement of drilling is only the beginning of success, under such favorable market conditions, we are confident and determined in achieving better results.

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Background Information about COSL

China Oilfield Services Limited ( COSL , stock code: 2883) is the leading integrated oilfield services provider in the offshore China market. Its services cover each phase of offshore oil and gas exploration, development and production.Its four business segments are drilling services, well services, marine support and transportation services and geophysical services.COSL has been listed on the Main Board of the Stock Exchange of Hong Kong Limited since November 20, 2002.Since March 26, 2004, COSL's stocks can be traded by means of Level I unlisted American Depositary Receipts at OTC (over-the-counter) market in the United States.The ticker symbol is CHOLY.

As at June 30 2006, COSL operated 15 drilling rigs, including 11 jack-ups and three semi-submersibles while operating one leased jack-up rig. In addition, COSL owns and operates the largest and most diverse fleets in offshore China, including 68 support vessels and five oil tankers, one chemical vessel, seven seismic vessels, and four geotech survey vessels.It also has a vast array of modern facilities and equipment for logging, drilling fluids, directional drilling, cementing, well completion and well work-over services.

The majority of COSL s business activities are conducted offshore China, with the other activities extending to different regions of the world such as North and South America, the Middle East, offshore Africa and offshore Europe.COSL and its worldwide employees are dedicated to providing premier quality services, while adhering to the highest health, safety and environmental standards.COSL has obtained the ISO 9000 and ISM (International Safety Management) certifications.COSL also plans to obtain certifications under the ISO 14000 environmental management standard as well as the OSHA 18000 occupational health and safety standards.

For further enquires, please contact:

Mr. Chen Weidong

Tel: 86-10-84521686

Email: chenwd@cnooc.com.cn

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