The COSL's ERP System Commence Operation(33192)

[10 August 2007 Hong Kong] China Oilfield Services Limited ( COSL or the Company , stock code: 2883.HK) announced the COSL ERP System commence operation. Mr. Yuan Guangyu, CEO and President of COSL, gave the speech entitled Declaration on the operation of the COSL ERP System and announced the commencement of operation at 8:30 a.m. on 6 August 2007. This marked the first application of the COSL ERP system technology.

The implementation project of COSL ERP started on 17 October 2006 and lasted for 10 months. The design and application of the system covered Financial Accounting & Controlling (FICO), Human Resources Management (HR), Plant Maintenance (PM), Project System (PS) and Sales and Distribution (SD) and all the stages have been completed successfully.

Mr. Yuan Guangyu remarked, Our modern management mechanism of high efficiency and low cost will be further regulated by the ERP System. Instead of being the end of a project, the commencement of operation is in fact a new starting point. We should make great efforts to ensure the ERP system s smooth operation so as to enhance our working status on this new modern management platform.

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Background Information about the Company

COSL ( 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 March 31, 2007, 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 70 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 ISM (International Safety Management) certifications, and has established and executed QHSE management system according to the ISO 9000, ISO 14000 and OHSAS management standards.

For further enquires, please contact:

Mr. Chen Weidong

Tel: 86-10-84521686

Email: chenwd@cnooc.com.cn

iPR Ogilvy Ltd.

Natalie Tam / Antonia Au / Kent Lau / Mavis Tsoi

Tel: 2136 6182/ 2136 6176/ 2136 8059 / 3170 6751

Fax:3170 6606

Email: natalie.tam@iprogilvy.com/ antonia.au@iprogilvy.com/ kent.lau@iprogilvy.com / mavis.tsoi@iprogilvy.com