Sinopec to step up oil search and development
(Xinhua)Updated: 2007-01-05 14:33
Sinopec acquired Russia's OAO Udmurtneft drilling venture by cooperating with
Roseneft, Russia's state-owned oil company in 2006. The year also saw the
company purchase interests in three offshore oil fields in Angola.
China
has opened crude and refined oil wholesale activities to foreign capital in 2007
in line with its commitment to the World Trade Organization.
The import
quota for non-state trading of crude oil and oil products will be 15 percent
higher than last year's quota, said Chen Tonghai. Meanwhile, import tariffs for some petrochemical products will decline as the
government seeks to increase the cost of resources by adding in environmental
and resource rarity costs.
Chen predicted more fierce competition in the
refined oil market.
The government gave China Petroleum and Chemical
Corporation (Sinopec), a listed subsidiary of Sinopec Corp., a one-off
compensation of five billion yuan (641 million US dollars) in 2006 to compensate
for losses caused by the gap between the domestic refined oil price -- kept low
by the government -- and its overseas equivalent which was pushed up by the
soaring international crude oil price.
The compensation will be included
in the company's total profits for 2006, Sinopec said in its announcement last
week.
 | 1 | 2 |
(For more biz stories, please visit Industry Updates)