3 Chinese Oil Titans Progressing Overseas
BEIJING, Jul 19, 2012 (Menafn - SinoCast Daily Business Beat via COMTEX) --China's three largest oil and gas giants, China National Petroleum Corporation (CNPC), China Petrochemical Corporation (Sinopec Group) and China National Offshore Oil Corp. (CNOOC), have recently made new breakthroughs in their overseas expansion.
This week, CNPC's crude oil pipeline project in Abu Dhabi of the United Arab Emirates came into operation, with a designed transmitting capacity of 75 million tons a year. It has been the company's largest overseas project.
As of June 30, 2012, the oil and gas titan saw its oil and gas output reach 50.52 million tons of oil equivalents in overseas operation and equity oil output hit 25.3 million tons, separately rising by 3.5 and 4.6 percent year on year, said previous reports..
To be specific, the Rumaila project in Irap contributed an output of 12.06 million tons of crude oil in the first six months of 2012, surpassing the first-half plan by 1.93 million tons.
Moreover, the MPE3 project in Venezuela, the Ahdeb project in Irap, the SPC project in Singapore, the Oman Project, the PK project, the KAM project and the North Buzachi Oilfield in Kazakhstan, and the Andes project in Ecuador all gained far-more-than expected outputs.
Sinopec Group last week announced that it had completed delivery of taking over an additional 10 percent stake in APLNG.
The Chinese giant has finished the additional purchase in the Australian target at an evaluation of USD 110 million for every 1 percent shares, obtaining proven and probable recoverable reserves of 1.234 trillion cubic feet and proven and probable and possible reserves of 1.544 trillion cubic feet.
It has raised its holdings in APLNG from 15 to 25 percent while ConocoPhillips' and Origin's holdings have both declined from 42.5 to 37.5 percent.
In addition, China Petroleum & Chemical Corporation (sinopec corp. and shse:600028), a listed arm of Sinopec Group, promised to lift the annual LNG (liquefied natural gas) purchase by 3.30 million tons to 7.60 million tons from APLNG for 20 years starting from 2016.
CNOOC, the largest offshore oil and gas producer in the country, has made an actual investment of over USD 5 billion in the US so far.
The cooperation between CNOOC and US companies has extended from traditional oil and gas fields to more operations, such as non-conventional oil and gas resources as well as new energy, its chairman Wang Yilin aired at a Sino-US investment and cooperation forum.
In 2011, a total of 600 oil and gas acquisitions were done all over the world, estimated to involve USD 150 billion. Chinese oil and gas companies, headed by Sinopec Group, conducted overseas acquisitions worth nearly USD 20 billion, second only to that in 2010.
(USD 1 = CNY 6.36)
Source: www.hexun.com (July 19, 2012)
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