• 5 minutes Global Economy-Bad Days Are coming
  • 8 minutes IT IS FINISHED. OPEC Victorious
  • 14 minutes Venezuela continues to sink in misery
  • 17 minutes Could Tesla Buy GM?
  • 9 hours Paris Is Burning Over Climate Change Taxes -- Is America Next?
  • 38 mins OPEC Cuts Deep to Save Cartel
  • 7 hours What will the future hold for nations dependent on high oil prices.
  • 15 mins Price Decline in Chinese Solar Panels
  • 2 hours And the War on LNG is Now On
  • 2 hours Alberta Cuts Push Prices Too High
  • 22 hours Congrats: 4 journalists and a newspaper are Time’s Person of the Year
  • 23 hours How High Can Oil Prices Rise? (Part 2 of my previous thread)
  • 19 hours USGS Announces Largest Continuous Oil Assessment in Texas and New Mexico
  • 1 day Permian Suicide
  • 2 days Asian stocks down
  • 2 days GOODBYE FOREIGN OIL DEPENDENCE!!
Alt Text

Qatar’s Irrational Decision To Leave OPEC

Qatar’s exit from OPEC may…

Alt Text

Falling Rig Count Can’t Halt Oil Price Slide

Oil prices continued to fall…

Alt Text

Could Iraq Be The Next OPEC Member To Exit?

Just two days after Qatar’s…

Tsvetana Paraskova

Tsvetana Paraskova

Tsvetana is a writer for the U.S.-based Divergente LLC consulting firm with over a decade of experience writing for news outlets such as iNVEZZ and…

More Info

Trending Discussions

Is China Creating A $100 Billion Energy Giant?

As China wants to reduce the number of its state-held firms, the government plans to merge chemical groups Sinochem and ChemChina to create a global oil and chemicals giant worth around US$100 billion in annual revenues, Reuters reported on Friday, citing three people in the know.

ChemChina, which goes under the official name of China National Chemicals Corporation, is expected to boost Sinochem’s oil refining business with around 500,000 barrels per day of crude oil processing capacity.

Sinochem, on the other hand, has been facing a slowdown in its overseas oil and gas business with the lower-for-longer crude prices. Its energy business has also been stagnating amid growing Chinese competition from state oil trading company Unipec and from Chinaoil.

A ChemChina spokesperson has commented on the Reuters report of a potential merger, saying “there is no such thing”.

According to one of the Reuters’ sources, a possible merger would be beneficial to both companies, as Sinochem’s upstream oil and gas would supply ChemChina’s nine refineries. In addition, the two companies would complement each other’s rubber, chemicals, agri-chemicals, and fertilizer businesses.

A merger would create a major global giant and compete with domestic rivals PetroChina, Sinopec and CNOOC, Michal Meidan, an analyst on China at Energy Aspects, told Reuters.

Regarding the domestic rivals, state-owned oil companies PetroChina and Cnooc reported in August dismal first-half results, dragged down by low oil prices and stagnant demand at home. The companies’ outlook for the near term was not very bright either.

Commenting on the possible Sinochem-ChemChina merger deal for Bloomberg, Suresh Sivanandam, a senior manager of refining research at Wood Mackenzie in Singapore, said:

“This is probably part of the government’s energy reforms to consolidate smaller players and put them head to head with the bigger state refiners.”

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:




Back to homepage

Trending Discussions


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News