China Petroleum & Chemical Corporation (600028)

Overview

China Petroleum & Chemical Corporation, commonly known as Sinopec, is a global leader in the energy and chemical industry with a broad operational base in Mainland China, Singapore, and other countries around the world. Incorporated in 2000 and headquartered in Beijing, China, Sinopec is a subsidiary of China Petrochemical Corporation. It engages comprehensively in the oil and gas as well as chemical operations through its five key segments: Exploration and Production, Refining, Marketing and Distribution, Chemicals, and Corporate and Others. The company’s diversified operations include the exploration and development of oil fields, production of natural gas, processing and trade of crude oil, manufacturing and trading of petroleum products, and the production and distribution of a wide range of chemical products.

Products and Services

Exploration and Production: This segment involves the exploration and development of oil fields along with the production of natural gas. Sinopec focuses on ensuring a steady supply of raw materials for its downstream operations and meeting the energy needs of its domestic and international markets.

Refining: In this area, Sinopec processes, purifies, imports, and trades crude oil. The segment is crucial for transforming crude oil into a variety of refined products that meet market demands.

Marketing and Distribution: This segment deals with the ownership and operation of oil depots and service stations, ensuring the distribution and retailing of refined petroleum products, including gasoline and diesel. It underscores Sinopec’s role in bridging the gap between production and end-user accessibility.

Chemicals: Sinopec manufactures, sells, and distributes a broad spectrum of petrochemicals and derivative petrochemical products as well as other chemical products. This includes basic organic chemicals, synthetic resins, synthetic fiber monomers and polymers, synthetic fibers, synthetic rubber, and chemical fertilizers. Moreover, the segment covers the production and sale of ethylene, highlighting Sinopec’s comprehensive involvement in the chemicals market.

Corporate and Others: Besides its core operations, Sinopec engages in a variety of additional services. These encompass the import and export of commodities and technologies; research, development, and application of technologies and information; as well as activities in the hydrogen energy business, including production, storage, transportation, and sales. The company also embarks on new energy ventures such as battery charging and swapping, solar energy, wind energy, and related services. These initiatives reflect Sinopec’s commitment to innovation and sustainable energy.