“The plunge in international crude oil prices has led to significant reductions in profits by central oil and petrochemical companies.” Peng Huagang, member of the Party Committee, Secretary General and press spokesperson of the State-owned Assets Supervision and Administration Commission of the State Council, held a conference on the economic operation of central enterprises in the first quarter on April 20 It is said that although the low oil price is beneficial to reduce the operating cost of China’s economy, it has a greater impact on the production, operation and efficiency of the central oil and petrochemical enterprises, resulting in an overall loss of oil and petrochemical enterprises in the first quarter.
Peng Huagang disclosed at the press conference that central enterprises achieved operating income of 6 trillion yuan in the first quarter, a year-on-year decrease of 11.8%, and operating income of more than 80% of enterprises declined; net profit was achieved At 130.4 billion yuan, a year-on-year decrease of 58.8%, the net profit of 57 companies declined year-on-year, and 26 companies had a net operating loss. Although the monthly net profit in March rebounded significantly from February, there was still a large gap compared with the same period last year.
He further explained that the production and operation of central enterprises in the first quarter were not only severely impacted by the epidemic, but also greatly affected by the steep decline in international oil prices. At the same time, in the course of fighting the epidemic, some central government policies have reduced profits, so there has been a substantial drop in efficiency.
Specific to the petroleum and petrochemical industry, international crude oil prices plummeted in the first quarter, and Brent crude oil prices fell from US $ 68 per barrel in early January to 23 per barrel at the end of March. US dollar, during which a barrel fell more than 40 dollars. “In the first quarter, domestic demand declined, sales of refined oil products also fell by more than 20%, revenues from exploration, refining, and other businesses were upside down, and the overall loss of oil and petrochemical companies affected the growth rate of the central enterprise’s efficiency, affecting 30 points.” br>
In just a few years, the price of oil is coming again in winter. The Party Secretary and Chairman Dai Houliang of CNPC also recently talked about the “bitter waters”. He said at PetroChina’s promotion meeting for mobilization of quality and efficiency that despite the overall smooth operation of the company, the new crown pneumonia epidemic and the plunge of oil prices “two black swans” superimposed, causing double crowding on the supply and demand sides of the oil and gas market Pressure, the production company’s production and operation have been hit unprecedentedly.
As of press time, the May contract of American Oil Futures has fallen to nearly $ 13 / barrel, and the June Brent crude oil futures contract has fallen to $ 27 / barrel. According to Peng Mei News, the break-even point for crude oil extraction in most oil fields in China is US $ 50-60 per barrel. In the last round of oil price plunge a few years ago, the performance of the domestic “three barrels of oil” was hit to varying degrees.
Among them, China National Petroleum Corporation (CNPC, 601857.SH), a listed company of PetroChina