Currently, crude is imported by four state-owned firms: Chinaoil, Unipec, Sinochem and Zhuhai Zhenrong.
In a statement CNOOC said, “The new joint venture is able to import 12 million tons of crude oil a year. This represents 14.3% of the total 91 million tons of oil imported by China last year.”
“The first batch of oil is scheduled for delivery to China in the third quarter of this year,” added CNOOC. CNOOC has a 60% stake in the JV with Sinopec holding the balance.
In related news, both CNOOC and Sinopec have signed a deal which would see the latter importing and refining CNOOC’s equity oil from foreign investments.
In a statement CNOOC President Fu Chengyu said, “The joint venture provides access to the domestic market for our products in foreign countries. It is especially important for the security of China’s energy supply.”
CNOOC brings in around five million tons a year of equity oil. The majority of the equity crude is re-sold on the international market.
