Yanchang Petroleum Group (Hong Kong) Co., Ltd.
( Referred To As "Yanchang Hong Kong") Was Established In Hong Kong In May 2010. It Is A Wholly-Owned Subsidiary Of Shaanxi Yanchang Petroleum (Group) Co., Ltd. (Referred To As "Yanchang Petroleum").
Company Profile
Shaanxi Yanchang Petroleum (Group) Co., Ltd. is a large state-owned energy and chemical enterprise in Shaanxi Province. Our company was founded in 1905 and we have made important contributions to the Chinese revolution and its petroleum industry. In 2022, our company ranked 257th among the top 500 companies in the world. Yanchang Petroleum’s main businesses include exploration, processing, storage, transportation and sales of oil and gas, comprehensive chemical industry of oil, gas and coal, coal and electricity, new energy, new materials, technology R&D, financial, logistics and trade, etc. Annually, we produce 11.4 million tons of crude oil, 17.4 million tons of refined oil, 8 billion cubic meters of natural gas (1.5 million tons of LNG), 23 million tons of coal and 7.5 million tons of chemical products. In 2022, our operating income was 370 billion yuan, total profits and taxes were 61 billion yuan, total assets at the end of the year were 476 billion yuan and we have 102,000 employees.
Yanchang Hong Kong is responsible for the overseas investment and international trade business of Yanchang Petroleum. Yanchang Hong Kong currently holds 57% of the shares of Yanchang Petroleum International (stock code: HK00346) and 98.5% of the equity in cooperation projects with the US KKR private equity fund, and we have completed a total investment of US$760 million. In terms of international trade, we mainly carry out crude oil bulk commodity trade. The trade volume in 2019 was 8.7 billion yuan and the trade volume in 2020 was 11.2 billion yuan. In 2021 and 2022, the trade volume declined significantly due to the epidemic, but since 2023, we have increased our trade volume.
The History of Yanchang Petroleum (Group) Co., Ltd.
YCPC has a long history and can be traced back to 1905. At that time, the YCPC Factory was established in Yanchang County of Shaanxi Province with the approval of the government of Qing Dynasty (1636 AD – 1912 AD). The year of 1907 saw the foundation of the first oil well in mainland China, marking the end of history of no oil production in mainland China. In addition, YCPC is also titled as "Meritorious Oil Field", owing to its important contributions to China's revolution and economic construction. In 1944, Mao Zedong (1893 AD - 1976 AD), Founder of the People's Republic of China, inscribed the YCPC with “Be Engrossed in Work” to encourage YCPC to make further development. Since the implementation of reform and open policy in China, especially after two restructurings in 1998 and 2005, YCPC has stepped onto the fast track of sustainable development and borne fruitful results. In 2007, its crude oil output exceeded 10 million tons; in 2010, its sales revenue was registered RMB100 billion; in 2013, it was listed as Fortune Global Top 500; in 2021, it completed the production of 11.33 million tons of oil, processed 13.22 million tons of crude oil, sold 6.782 billion cubic meters of natural gas and produced 6.76 million tons of chemical products. These accomplishments make the YCPC rank the first in Shaanxi Province and the top in China in terms of business income and financial contribution for years. What’s more, YCPC has won the 3rd China Industrial Award, the National May Day Award, advanced enterprises in fulfilling social responsibility in Shaanxi Province and other prizes and titles.
Future Prospect
We will devote more efforts to the domestic and overseas oil products trading, nurturing new profit drivers.
We will seek opportunities to introduce new energy, new technology, new strategic cooperation partners and new investors, expand the business scale and diversify financing channels, in order to enhance profitability and seek maximum benefit for our shareholders.
The Milestone of Yanchang Petroleum (Group) Co., Ltd.
