Major projects and production growth

The Group’s production growth depends on the delivery of its major development projects.

The Group’s targeted production growth relies heavily on the successful execution of major development projects that are increasingly complex and capital-intensive. These major projects are subject to a number of challenges, including:

– negotiations with partners, governments, suppliers, customers and others;
– cost overruns and delays related to the availability of skilled labor or delays in manufacturing and delivery of critical equipment, or shortages in the availability of such equipment;
– unforeseen technical difficulties that could delay project startup or cause unscheduled project downtime;
– the actual performance of the reservoir and natural field decline; and
– timely issuance or renewal of permits and licenses by government agencies.

Poor delivery of any major project that underpins production or production growth could adversely affect the Group’s financial performance.