Sinopec Group



China’s state-owned petroleum and chemical giant held steady at No. 2 in this year’s ranking, even as its profits fell 16.2% to $6.8 billion. Sinopec bet big on expanding production capacity last year just as oil prices grew volatile, and 2020 has been even bumpier. China’s lockdown measures to counter the coronavirus pandemic clobbered energy demand as industrial activity paused. The result was a record quarterly loss in the first quarter for Sinopec, and cuts to capital spending. However, there were signs of a swift recovery: by April, the company said daily sales had returned to 90% of their pre-lockdown levels.

Company information

As of 8/10/20
Petroleum Refining
Zhang Yuzhuo
Company Type
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Government owned 50% or more. Excise taxes have been deducted.

Key Financials (Last Fiscal Year)

As of 8/10/20
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China Petroleum & Chemical Corporation (中国石油化工股份有限公司), or Sinopec (simplified Chinese中国石化traditional Chinese中國石化pinyinZhōngguó Shíhuà), is a Chinese oil and gas enterprise based in Beijing. It is listed in Hong Kong and also trades in Shanghai and New York.Sinopec Limited’s parent, Sinopec Group, is the world’s largest oil refininggas and petrochemical conglomerate, headquartered in Chaoyang DistrictBeijing.[5] Sinopec’s business includes oil and gas exploration, refining, and marketing; production and sales of petrochemicals, chemical fibers, chemical fertilizers, and other chemical products; storage and pipeline transportation of crude oil and natural gas; import, export and import/export agency business of crude oil, natural gas, refined oil products, petrochemicals, and other chemicals. It also produces ethanol and several biofuels such as biodiesel and green jet fuel, from waste vegetable oil.

China Petroleum & Chemical
Native name
Type Public
Industry Oil and gas
Founded BeijingChina
(25 February 2000; 21 years ago)
Headquarters Chaoyang District, Beijing, China
Area served
Key people
Zhao Dong (Chairman)[1]
Dai Houliang (Vice Chairman & President)[2]
Chang Zhenyong (Vice President)[3]
Products Fuelsnatural gaslubricantspetrochemicals
Revenue Increase CN¥2,124,901 million (US$314.4 billion) (2017)[4]
Increase CN¥86,965 million (2017)[4]
Increase CN¥70,294 million (2017)[4]
Total assets Increase CN¥1,595,504 million (2017)[4]
Total equity Increase CN¥854,070 million (2017)[4]
Number of employees
249,142 (2018)[4]
Parent China Petrochemical Corporation

Sinopec Limited was established as a joint stock entity under the China Petrochemical Corporation Group (Sinopec Group) in February 2000. The company was simultaneously listed in Hong Kong, New York, and London in October 2000. A Shanghai listing was completed in June 2001.

Given its legacy asset base from Sinopec Group, analysts have categorized it as a more downstream oil player than PetroChina.[10] Sinopec is the largest oil refiner in Asia by annual volume processed. Sinopec produces around 1/4 as much raw crude oil as PetroChina, but produces 60% more refined products per annum.

In December 2006, Sinopec acquired the assets of Shengli Petroleum, whose main asset was a maturing domestic oil field, in order to stabilize its crude inputs and raise the utilization rate of its existing refineries.

In March 2013, China Petroleum and Chemical Corp agreed to pay $1.5 billion for Sinopec Group’s overseas oil and gas-producing assets.[11]

In August 2013, Sinopec acquired a 33% stake in Apache Corporation’s oil and gas business in Egypt for $3.1 billion.[12]

In December 2013, MCC Holding Hong Kong Corp. Ltd. and MCC Oil & Gas Hong Kong Corp. Ltd., acquired an 18% stake of Sinopec in oil and gas business for $9.3 billion.[13]

Sinopec signed an evaluation deal with Gabon in 2004. During his African visit that year Chinese President Hu Jintao signed a series of bilateral trade accords with his Gabonese counterpart Omar Bongo, including a “memorandum of agreement aimed at showing the parties’ desire to develop exploration, exploitation, refining and export activities of oil products”. Three onshore fields were to be explored. One of the three blocks, LT2000, is some 200 kilometers (120 mi) southeast of Gabon’s economic hub, Port Gentil, which lies south of the capital, Libreville, on the Atlantic coast. The other two — DR200 and GT2000 – are around 100 kilometres (62 mi) northeast of Port Gentil, according to the Gabonese oil ministry.[14]

In November 2005, Sinopec Group announced plans to partner with CNPC to purchase an oil field in Sudan, and has reportedly indicated an interest in expanding its business in Sudan.[15] Sinopec Corporation is a partner in Petrodar Operating Company Ltd., a consortium whose partners also include China National Petroleum Corporation (CNPC, the 90 per cent owner of PetroChina) and Sudapet (the Sudanese state-owned oil company), among others. In August 2005, Petrodar commenced production of oil in blocks 3 and 7 in South-east Sudan. In December 2005, Petrodar announced that its first shipment of crude oil would be shipped from Sudan in January 2006. Petrodar’s operations represent a major increase in overall Sudanese oil production. Sinopec is also looking into other companies such as ERHC Energy which has multiple oil block assets in the Joint Development Zone.[16]

In 2007, in eastern Ethiopia’s Ogaden Desert, a raid by an ethnic Somali rebel group on a Sinopec drilling site left 74 dead including 9 Chinese oil workers, and 7 kidnapped on 24 April 2007. The rebels, the Ogaden National Liberation Front (ONLF), later released the seven abductees and warned foreign companies against working in the area. Sinopec said it had no plans to pull out of the resource-rich region despite the attack. Chinese Foreign Ministry spokesperson Liu Jianchao says that China strongly condemns the violent attack carried out by Somalian insurgents on the premises of the oil company Sinopec in Ethiopia.[17]

In August 2009, Sinopec completed a takeover of Geneva-based Addax Petroleum for $7.5 billion marking China’s biggest foreign takeover. On 31 October 2011 Addax acquired[18] Shell‘s 80% share of an exploration firm called Pecten that explores and drills in various offshore locations including the oil basin near DoualaCameroon in cooperation with Total.[19]

In June 2013, Sinopec agreed to acquire Marathon Oil Corp’s Angolan offshore oil and gas field for $1.52 billion.[20]


Sinopec Group
Sinopec Group





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