HONG KONG - CNOOC, China's biggest offshore oil and gas producer, said on Tuesday its net profit soared 42 per cent last year on increased output and high oil prices in the first half.

But chairman and chief executive officer Fu Chengyu said the company faced a 'severe winter' in 2009, as oil prices remained weak.

Net profit for the 12 months ending December 31 was S$9.8 billion (44.38 billion yuan) up from 31.26 billion yuan a year earlier, the firm said in a statement to the Hong Kong Stock Exchange.

'In 2009, we continue to feel the pinch of a severe winter,' said Fu. 'The global economy is still in the dark night. Oil prices continue to wane. For the oil industry, the cold winter still prevails.'

Fu said that despite the downturn the firm would continue to increase capital expenditure and expand the company's exploration operations.

CNOOC's revenue rose 39 per cent to 125.98 billion yuan from 90.72 billion yuan in 2008, the statement added.

The firm's strong figures were boosted by extra output at new fields and the record global oil prices in the first half of the year. -- AFP