Financial Highlights (Unaudited):

(Hong Kong, [21] August 2011) China BlueChemical Ltd. (“China BlueChem” or the “Company”, stock code: 3983), a leading chemical fertiliser producer in China, announced its unaudited interim results for the six months ended 30 June 2012.

During the first half, the global demand on fertilisers were strong attributable to the increase of farming acreage and favorable climatic condition. In China, in order to secure food supply, the government announced to increase continuously its annual investment in “agriculture, rural areas and farmers” to RMB RMB one trillion two hundred twenty nine billion, representing an increase of 18% over last year. In addition, the minimum grain purchase prices were raised to support agricultural development.

Total revenue and gross profit amounted to RMB5,001 million and RMB1,520 million, respectively. Net profit attributable to equity holders of the parent amounted to RMB908 millions and basic earnings per share were RMB0.20.

Mr Yang Yexin, CEO and President of the Company, said, “During the period, our company achieved good interim result with solid production management, sever cost control and stable sales network, despite impacts of no sufficient gas supply in Inner Mongolia and scheduled overhauls for three major production facilities in Hainan. In April this year, our new DAP Expansion Project in Hubei province started its trial production, made our company one of the largest DAP producers with production capacity of one million tones. Furthermore, the construction of the coal-based urea project in Heilongjiang has also provided new momentum to the Company’s sustainable development in the long term.”

During the period under review, demand for urea in the domestic market maintained robust. Due to the overhauls of major urea production facilities, the sales volume of urea of the Company decreased 12.4% year-on-year, to a total of 853,282 tons. Total revenue from the Company’s urea business amounted to RMB1,856 million, a slight decrease of 3.4% from the same period of 2011.

Total sales volume of phosphate fertilizers of the Company during the first half were 215,906 tons. Revenue from phosphate fertilizers remained stable year-on-year, which amounted to RMB660 million.

Although the slowdown of domestic economic growth affected demand on methanol from traditional downstream, the rapid development of alternative energy and methanol-to-olefin has boosted methanol demand. Domestic methanol consumption raised 19% comparing to the same period of last year. During the period under review, although the sales volume of methanol decreased 5% to 739,017 tons due to the overhaul of Hainan Phase II methanol facility, the Company’s methanol business achieved a revenue of RMB1,666 million, a slight decrease of 1.0% year-on-year.

Mr. Yang concluded, “Looking to the second half of the year, strong grain prices will drive overseas demands of fertilizers. And the development of alternative energy and methanol-to-olefin will stabilize the methanol market in China. With the favorable market conditions and competitive advantages, the Company will strive to strengthen our safety and production management and advance new projects in line with schedule, in order to fulfill our annual business objectives and generate satisfactory returns for our shareholders.”

　　　　　　　　　　　　　　　　　　　　　　~ End ~

About China BlueChemical Ltd.

China BlueChem is one of the largest producers of urea, phosphate and methanol in China in terms of production volume. It is a listed company under China National Offshore Oil Corp. that specializes in the production of chemical fertilizers and synthetic chemical products. Currently, China BlueChem’s production facilities are located in Hainan, Inner Mongolia and Hubei, China, with a total designed annual production capacity of 1,840,000 tonnes of urea, 1,000,000 tonnes of phosphate fertilizer (DAP/MAP), 1,600,000 tonnes of methanol and 60,000 tonnes of POM.

For more information of the Company, please visit the Company’s website 
www.chinabluchem.com.cn.

For press enquiries：

China BlueChemical Ltd. 
Ms. Wendy Zhang Tel: (852) 2213 2502   zhangxw1@cnooc.com.cn

Strategic Financial Relations (China) Limited
Ms. Anita Cheung Tel: (852) 2864 4827   anita.cheung@sprg.com.hk
Ms. Nan Dong Tel: (852) 2864 4811   nan.dong@sprg.com.hk
Ms. Sophie Zhang Tel: (852) 2114 4960   sophie.zhang@sprg.com.hk
Ms. Pinky Li Tel: (852) 2864 4830   pinky.li@sprg.com.hk
Mr. Jason Liang Tel: (852) 2864 4899   jason.liang@sprg.com.hk
Ms. Eva Liu Tel: (852) 2114 4941   eva.liu@sprg.com.hk