PetroChina Company Limited: In-Depth Company Profile

Quick Facts / Company Snapshot

• Founded: 1999
• Latest Revenue: 2,937,981 million RMB
• Operating Profit: 233,954 million RMB
• Net Profit: 183,755 million RMB
• Cash Flow from Operations: 406,532 million RMB
• Employees: 370,799
• Total Assets: 2,752,751 million RMB
• Total Liabilities: 1,043,128 million RMB
• Equity Attributable to Owners of the Company: 1,515,132 million RMB
• Proved Reserves (Crude Oil and Condensate): 6,183 million barrels
• Proved Reserves (Natural Gas): 72,814 billion cubic feet
• Headquarters: No. 9 Dongzhimen North Street, Dongcheng District, Beijing, PRC
• Stock Exchanges Listed: Shanghai Stock Exchange (A Shares, code: 601857), The Stock Exchange of Hong Kong Limited (H Shares, code: 857)
• Parent Company: China National Petroleum Corporation (CNPC)

Company Overview

PetroChina Company Limited is a joint stock company with limited liability established under the Company Law of the People’s Republic of China. The company was formed on November 5, 1999, as part of the restructuring of China National Petroleum Corporation, abbreviated as CNPC before and after its name change.

The Group is the largest oil and gas producer and seller in the People’s Republic of China, holding a leading position in the domestic oil and gas industry. It is one of the largest companies in the PRC in terms of revenue and one of the largest oil companies in the world.

• The principal activities include the exploration, development, production, transportation, and marketing of crude oil and natural gas, as well as new energy business.
• Refining of crude oil and petroleum products, production and marketing of primary petrochemical products, derivative petrochemical products, and other chemical products, along with new materials business.
• Marketing of refined products and non-oil products, and trading business.
• Transportation and sale of natural gas business.

The company’s H shares were listed on The Stock Exchange of Hong Kong Limited on April 7, 2000, and A shares on the Shanghai Stock Exchange on November 5, 2007.

The legal representative is Dai Houliang. The secretary to the Board is Wang Hua. The address is No. 9 Dongzhimen North Street, Dongcheng District, Beijing, PRC.

The representative on securities matters is Liang Gang, at the same address.

The chief representative of the Hong Kong representative office is Zhang Lei, at Suite 3705, Tower 2, Lippo Center, 89 Queensway, Hong Kong, PRC.

The legal address of the company is 16 Andelu, Dongcheng District, Beijing, PRC. The principal place of business is No. 9 Dongzhimen North Street, Dongcheng District, Beijing, PRC. The registered address is 16 Andelu, Dongcheng District, Beijing, PRC.

The internet website is http://www.petrochina.com.cn. The company’s email address is ir@petrochina.com.cn.

Copies of this annual report are available at No. 9 Dongzhimen North Street, Dongcheng District, Beijing, PRC.

Places of listing for A shares are Shanghai Stock Exchange, stock name PetroChina, stock code 601857. For H shares, The Stock Exchange of Hong Kong Limited, stock name PETROCHINA, stock code 857.

Domestic auditors are KPMG Huazhen LLP, at 8th Floor, KPMG Tower, Oriental Plaza, 1 East Chang An Avenue, Beijing, PRC, signing accountants Duan Yuhua, CPA, Zou Jun, CPA.

Overseas auditors are KPMG, Public Interest Entity Auditor registered in accordance with the Accounting and Financial Reporting Council Ordinance, at 8th Floor, Prince’s Building, 10 Chater Road, Central, Hong Kong.

The company has a strong focus on integrated operations across the oil and gas value chain, positioning it as a key player in energy supply in the PRC and globally.

• The Group’s scale and operations enable it to contribute significantly to energy security and economic development in the PRC.

Business Segments and Revenue Breakup %

PetroChina organizes its operations into four main segments: Oil, Gas and New Energy, Refining, Chemicals and New Materials, Marketing, and Natural Gas Sales.

Each segment contributes to the Group’s integrated business model, from upstream exploration to downstream sales.

• Oil, Gas and New Energy segment: This segment involves the exploration, development, production of crude oil and natural gas, and new energy initiatives. Revenue for 2024 was RMB906.813 billion, representing approximately 17.6% of total segment revenues before intersegment elimination. This segment saw a 1.3% increase from RMB894.847 billion in 2023, driven by higher sales volumes of crude oil and natural gas and increased natural gas prices.
• Refining, Chemicals and New Materials segment: This segment handles the refining of crude oil into petroleum products, production of petrochemicals, derivative chemicals, and new materials. Revenue for 2024 was RMB1,192.589 billion, representing approximately 23.2% of total segment revenues before elimination. It decreased 2.3% from RMB1,221.161 billion in 2023, mainly due to lower output and prices of refined oil products.
• Marketing segment: This segment manages the marketing, sale, and trading of refined products and non-oil products. Revenue for 2024 was RMB2,454.546 billion, representing approximately 47.7% of total segment revenues before elimination. It decreased 2.9% from RMB2,527.059 billion in 2023, primarily due to lower sales volumes and prices of refined oil products and international trading revenue.
• Natural Gas Sales segment: This segment deals with the transportation and sale of natural gas. Revenue for 2024 was RMB592.690 billion, representing approximately 11.5% of total segment revenues before elimination. It increased 5.6% from RMB561.191 billion in 2023, owing to higher sales volumes and prices of domestic natural gas.

The operational scope of the Oil, Gas and New Energy segment includes geological surveys, drilling, production from fields like Daqing, Changqing, Tarim, and Xinjiang, and emerging new energy projects.

The Refining, Chemicals and New Materials segment operates refineries such as Dalian, Lanzhou, and Dushanzi, processing crude into gasoline, diesel, kerosene, and chemicals like polyethylene and polypropylene.

The Marketing segment oversees wholesale and retail networks, fuel stations, and international trading, ensuring product distribution to consumers and industries.

The Natural Gas Sales segment manages pipeline infrastructure for natural gas, crude oil, and refined products transportation, supporting energy delivery across the PRC.

The total revenue before intersegment elimination is approximately RMB5,146.638 billion, with consolidated revenue of RMB2,937.981 billion after eliminations for internal transactions.

These segments allow PetroChina to capture value across the supply chain, mitigating risks from price fluctuations in individual areas.

• The Oil, Gas and New Energy segment’s focus on high-efficient exploration and profitable development helps in reserves growth and cost control.
• The Refining, Chemicals and New Materials segment optimizes feedstocks and products to improve efficiency.
• The Marketing segment adapts to market competition by expanding sales and reducing inventories.
• The Natural Gas Sales segment benefits from growing domestic demand for natural gas.

History and Evolution

PetroChina Company Limited was established on November 5, 1999, as a joint stock company with limited liability under the Company Law of the People’s Republic of China. This formation was part of the restructuring of China National Petroleum Corporation (CNPC), which involved separating the core petroleum and natural gas businesses into a new entity.

The restructuring aimed to create a market-oriented company capable of competing globally, while CNPC retained non-core assets.

• The company took over CNPC’s principal assets, liabilities, and businesses related to oil and gas exploration, production, refining, chemicals, and marketing.

The name “PetroChina Company Limited” was adopted following the restructuring.

The evolution continued with the listing of H shares on The Stock Exchange of Hong Kong Limited on April 7, 2000, raising capital for expansion.

On November 5, 2007, A shares were listed on the Shanghai Stock Exchange, further strengthening the company’s capital base and visibility in the domestic market.

Since its establishment, PetroChina has grown to become the largest oil and gas producer and seller in the PRC, occupying a leading position in the industry.

• The company has expanded its operations internationally, engaging in exploration and development in regions like the Middle East, Central Asia, the Americas, Africa, and Asia-Pacific.

The evolution has included a focus on new energy business, new materials, and digital transformation to adapt to changing energy landscapes.

The company has maintained its position as one of the largest companies in the PRC by revenue and one of the largest oil companies in the world.

• Over the years, PetroChina has invested in technology to enhance exploration success rates and production efficiency.

The history reflects a transition from a state-owned entity component to a publicly listed global energy giant, with ongoing commitment to high-quality development.

• The company’s evolution is marked by strategic acquisitions, such as the acquisition of CNPC Electric Energy in October 2024, treated as a business combination under common control, leading to retrospective adjustments in financial data.

This history underscores PetroChina’s role in supporting China’s energy needs and contributing to global energy supply.

Products and Services with Revenue Breakup %

PetroChina offers a comprehensive range of products and services across the oil and gas value chain.

Products include crude oil, natural gas, gasoline, diesel, kerosene, polyethylene, polypropylene, lubricant, and other refined and chemical products.

Services include transportation of crude oil, natural gas, and refined products, marketing, trading, and new energy solutions.

• Crude oil: Sales volume 155,569 ‘000 tons in 2024, average realized price RMB3,876 per ton, revenue approximately RMB603,185 million (calculated as volume * price). This represents a key upstream product, with sales volume up 3.8% from 149,936 ‘000 tons in 2023, but price down 3.8% from RMB4,030 per ton.
• Natural gas: Sales volume 2,877.53 hundred million cubic meters in 2024, average realized price RMB2,277 per ‘000 cubic meter, revenue approximately RMB655,000 million (approximate calculation). Sales volume up 5.2% from 2,735.48 hundred million cubic meters in 2023, price down 2.5% from RMB2,336 per ‘000 cubic meter, mainly due to lower international trade prices.
• Gasoline: Sales volume 64,147 ‘000 tons in 2024, average realized price RMB8,155 per ton, revenue approximately RMB523,199 million. Volume down 4.5% from 67,136 ‘000 tons in 2023, price down 0.6% from RMB8,205 per ton.
• Diesel: Sales volume 74,191 ‘000 tons in 2024, average realized price RMB6,632 per ton, revenue approximately 492,115 million. Volume down 6.9% from 79,700 ‘000 tons in 2023, price down 6.1% from RMB7,064 per ton.
• Kerosene: Sales volume 20,662 ‘000 tons in 2024, average realized price RMB5,554 per ton, revenue approximately 114,755 million. Volume up 9.0% from 18,962 ‘000 tons in 2023, price down 7.2% from RMB5,982 per ton.
• Polyethylene: Sales volume 6,377 ‘000 tons in 2024, average realized price RMB7,448 per ton, revenue approximately 47,496 million. Volume up 6.3% from 6,001 ‘000 tons in 2023, price up 0.7% from RMB7,398 per ton.
• Polypropylene: Sales volume 3,783 ‘000 tons in 2024, average realized price RMB6,827 per ton, revenue approximately 25,827 million. Volume up 2.2% from 3,700 ‘000 tons in 2023, price down 0.2% from RMB6,838 per ton.
• Lubricant: Sales volume 1,890 ‘000 tons in 2024, average realized price RMB8,330 per ton, revenue approximately 15,744 million. Volume up 13.9% from 1,659 ‘000 tons in 2023, price down 5.9% from RMB8,853 per ton.

These products contribute to the Group’s revenue, with refined oil products like gasoline, diesel, and kerosene forming a significant portion of marketing revenue.

The revenue breakup by products reflects the Group’s diversified portfolio, with crude oil and natural gas from upstream, refined products from midstream, and chemicals from the chemicals arm.

Services such as pipeline transportation for natural gas, crude oil, and refined products are integral to the Natural Gas Sales segment, ensuring efficient delivery.

Trading services for refined and petrochemical products extend to international markets, adding to marketing revenue.

New energy products are emerging, included in the Oil, Gas and New Energy segment, though specific revenue breakups are not disclosed.

The total revenue from products and services is RMB2,937,981 million for 2024, with the listed products accounting for a substantial part.

The numbers indicate a mixed performance, with volume increases in natural gas, kerosene, polyethylene, polypropylene, and lubricant offsetting decreases in gasoline and diesel, amid price declines in most categories.

This product mix allows PetroChina to balance volatility in oil prices by diversifying into chemicals and new energy.

Brand Portfolio with Revenue %

PetroChina operates under the unified PetroChina brand, which encompasses all its products and services.

The brand is positioned as a reliable, quality-focused provider in the oil and gas industry, emphasizing innovation, sustainability, and leadership in the PRC market.

• The PetroChina brand for crude oil and natural gas contributes to the Oil, Gas and New Energy segment revenue of RMB906.813 billion.
• Refined products like gasoline, diesel, and kerosene under the PetroChina brand drive the Marketing segment revenue of RMB2,454.546 billion.
• Chemical products such as polyethylene, polypropylene, and lubricant carry the PetroChina branding, supporting the Refining, Chemicals and New Materials segment revenue of RMB1,192.589 billion.
• Pipeline and natural gas sales services are branded PetroChina, linked to the Natural Gas Sales segment revenue of RMB592.690 billion.

No separate brand-wise revenue is disclosed, as the company uses a monolithic brand strategy.

The brand’s positioning as the largest in the PRC enhances market share in domestic sales, with strong association with energy security and large-scale operations.

The portfolio relies on the core PetroChina brand to unify offerings, building trust in quality and reliability across segments.

• The brand equity supports the company’s leading position, aiding in international expansion and new energy transitions.

Geographical Presence and Region-wise Revenue %

PetroChina has a dominant presence in the People’s Republic of China, with operations spanning multiple regions including Heilongjiang, Shaanxi, Gansu, Xinjiang, Sichuan, Liaoning, and other provinces.

Major domestic locations include the Daqing Oilfield in Heilongjiang Province, Changqing Oilfield in Shaanxi and Gansu Provinces, Tarim Oilfield in Xinjiang, refineries in Dalian (Liaoning), Lanzhou (Gansu), and Dushanzi (Xinjiang), and marketing networks across the country.

• Offices in Beijing at No. 9 Dongzhimen North Street, Dongcheng District.

International presence includes exploration and development in the Middle East, Central Asia, the Americas, Africa, and Asia-Pacific, with offices in Hong Kong and other locations.

Region-wise revenue breakdown shows the PRC as the primary market.

• Revenue from external customers in the PRC: 2,629,295 million RMB, representing 87.0% of total revenue.
• Revenue from other countries: 394,996 million RMB, representing 13.0% of total revenue.

The domestic focus aligns with the company’s role in PRC energy supply, with manufacturing, offices, and operational footprint concentrated in key Chinese provinces.

International revenue comes from overseas sales and operations, diversifying the company’s exposure.

• The geographical spread provides access to diverse resources and markets, enhancing supply chain resilience.

The manufacturing facilities, such as refineries and chemical plants, are primarily in China, supporting the domestic revenue dominance.

The company’s pipeline networks connect production sites to markets across the PRC, facilitating efficient distribution.

Overseas properties in project sites like Kazakhstan and Iraq add to the global footprint.

The revenue contribution from domestic operations underscores the company’s leading position in the PRC market, while overseas contributions reflect growing international activities.

Financial Performance Analysis

PetroChina’s consolidated financial performance under IFRS Accounting Standards shows revenue fluctuations over the years, reflecting market conditions in oil prices and demand.

Revenue in 2024: 2,937,981 million RMB, down 2.5% from 3,012,812 million RMB in 2023 (adjusted).

• Revenue in 2022 (adjusted): 3,240,951 million RMB.
• Revenue in 2021 (adjusted): 2,615,967 million RMB.
• Revenue in 2020 (adjusted): 1,935,523 million RMB.

The 2024 decrease is primarily due to lower prices of oil and gas products like crude oil, natural gas, and refined oil products, along with lower sales volumes of gasoline and diesel.

This impacts business performance by reducing top-line growth, but the company mitigated through cost controls.

Profit from operations in 2024: 233,954 million RMB, down 0.8% from 235,862 million RMB in 2023.

• Profit from operations in 2022: 216,888 million RMB.
• Profit from operations in 2021: 161,241 million RMB.
• Profit from operations in 2020: 76,138 million RMB.

The slight decrease indicates resilient operational efficiency despite revenue decline.

Net profit in 2024: 183,755 million RMB, up 1.8% from 180,563 million RMB in 2023.

• Net profit in 2022: 163,493 million RMB.
• Net profit in 2021: 114,658 million RMB.
• Net profit in 2020: 33,669 million RMB.

The increase in net profit reflects effective cost management and higher other income.

Profit attributable to owners of the company in 2024: 164,684 million RMB, up 2.0% from 161,416 million RMB in 2023.

• Attributable in 2022: 148,888 million RMB.
• Attributable in 2021: 92,129 million RMB.
• Attributable in 2020: 19,190 million RMB.

This metric highlights improved returns for equity holders.

Basic and diluted earnings per share in 2024: 0.90 RMB, up from 0.88 RMB in 2023.

• Earnings per share in 2022: 0.81 RMB.
• Earnings per share in 2021: 0.50 RMB.
• Earnings per share in 2020: 0.10 RMB.

The rise benefits shareholders, indicating better per share performance.

Return on net assets in 2024: 10.9%, down from 11.1% in 2023.

• Return on net assets in 2022: 10.9%.
• Return on net assets in 2021: 7.3%.
• Return on net assets in 2020: 1.6%.

The metric shows efficient use of assets, with the slight decline due to asset growth.

No standalone performance is disclosed; all data is consolidated.

Other financial ratios include the asset-liability ratio, but not in summary. The multi-year trend shows recovery from 2020 low, with steady growth in profit metrics from 2021 onward, demonstrating resilience in a volatile industry.

The performance analysis reveals a company that has navigated price declines through volume increases in some areas and cost reductions, maintaining profit growth.

Profit and Loss Analysis

The profit and loss statement under IFRS shows the Group’s revenue and expense dynamics.

Revenue in 2024: 2,937,981 million RMB, down 2.5% from 3,012,812 million RMB in 2023.

The decline is due to lower prices of crude oil, natural gas, and refined products, and reduced sales volumes of gasoline and diesel.

• Multi-year revenue trend: Up from 1,935,523 million RMB in 2020 to peak at 3,240,951 million RMB in 2022, then declines in 2023 and 2024 due to market prices.

Operating profit in 2024: 233,954 million RMB, down 0.8% from 235,862 million RMB in 2023.

Operating margin: approximately 8.0% in 2024 (calculated as operating profit / revenue), slightly down from 7.8% in 2023.

• Margin improvement in earlier years from 3.9% in 2020 to 6.7% in 2022, reflecting better efficiency.

Net profit in 2024: 183,755 million RMB, up 1.8% from 180,563 million RMB in 2023.

The growth is due to lower net interest expense and higher other income.

Expense structure includes purchases, services and other: 1,938,093 million RMB in 2024, down 1.7% from 1,972,238 million RMB in 2023, due to lower oil and gas purchasing and trading expenses.

• Employee compensation costs: 179,257 million RMB, up 2.9% from 174,248 million RMB, linked to operating results.
• Exploration expenses: 20,862 million RMB, up 0.5% from 20,764 million RMB, due to increased exploration efforts.
• Depreciation, depletion, and amortization: 243,209 million RMB, down 1.8% from 247,756 million RMB, due to lower impairment in long-term assets.
• Selling, general and administrative expenses: 59,749 million RMB, down 6.9% from 64,211 million RMB, from cost reduction in non-production expenses.
• Taxes other than income taxes: 267,261 million RMB, down 9.8% from 296,317 million RMB, with consumption tax 177,024 million RMB down 3.5%, resource tax 30,188 million RMB up 1.7%, crude oil special gain levy 14,318 million RMB down 16.3%, mineral rights concessions 4,602 million RMB down significantly from 23,685 million RMB.

Other income net: 4,404 million RMB, up from expense of 1,416 million RMB, due to lower asset disposal losses and derivative gains.

Net exchange gain: 0,842 million RMB, up from loss of 0,744 million RMB, from USD/RMB fluctuations.

Net interest expense: 11,932 million RMB, down 24.4% from 15,775 million RMB, from reduced debt and optimized structure.

Income tax expense: 57,753 million RMB, up 0.8% from 57,318 million RMB, from higher pre-tax profit.

Margin movements show operating margin stable, net margin up to 6.3% from 6.0%, indicating better bottom-line efficiency.

The expense structure highlights cost control in purchases and administrative expenses, offsetting increases in employee costs.

No additional disclosed financial ratios in the summary.

[Image: Screenshot of the Financial Summary table showing multi-year data for revenue, profits, assets, and cash flows]

Balance Sheet Analysis

The balance sheet under IFRS shows the Group’s asset and liability positions.

Total assets in 2024: 2,752,751 million RMB, down 0.2% from 2,758,975 million RMB in 2023.

• Assets in 2022: 2,676,845 million RMB.
• Assets in 2021: 2,508,762 million RMB.
• Assets in 2020: 2,494,086 million RMB.

The slight decrease reflects changes in current assets.

Total liabilities in 2024: 1,043,128 million RMB, down 7.2% from 1,123,679 million RMB in 2023.

• Liabilities in 2022: 1,137,764 million RMB.
• Liabilities in 2021: 1,098,181 million RMB.
• Liabilities in 2020: 1,122,737 million RMB.

The reduction improves the financial position, reducing leverage.

Equity attributable to owners: 1,515,132 million RMB in 2024, up 4.4% from 1,451,086 million RMB in 2023.

• Equity in 2022: 1,370,532 million RMB.
• Equity in 2021: 1,265,253 million RMB.
• Equity in 2020: 1,219,886 million RMB.

Growth is from retained earnings and profit.

Capital structure shows total non-current liabilities 405,811 million RMB in 2024, down from 433,082 million RMB.

Current liabilities 637,317 million RMB, down from 690,597 million RMB.

Liquidity position with current assets 590,844 million RMB, current liabilities 637,317 million RMB, ratio 0.93.

Net worth and reserves are included in equity, with steady growth indicating strong capital base.

The balance sheet analysis shows a solid position, with reduced liabilities and growing equity, supporting long-term stability and investment capacity.

Cash Flow Analysis

The cash flow statement under IFRS tracks cash movements.

Net cash flows from operating activities in 2024: 406,532 million RMB, down 11.0% from 456,847 million RMB in 2023.

• Operating cash in 2022: 393,246 million RMB.
• Operating cash in 2021: 341,424 million RMB.
• Operating cash in 2020: 318,898 million RMB.

The decrease is linked to lower revenue and changes in working capital.

Net cash flows used for investing activities in 2024: (307,347) million RMB, increased outflow from (255,750) million RMB in 2023.

• Investing in 2022: (232,447) million RMB.
• Investing in 2021: (212,972) million RMB.
• Investing in 2020: (182,309) million RMB.

Outflows are for capital expenditures and acquisitions, reflecting investment in growth.

Net cash flows used for financing activities in 2024: (178,876) million RMB, increased outflow from (146,862) million RMB in 2023.

• Financing in 2022: (113,775) million RMB.
• Financing in 2021: (107,986) million RMB.
• Financing in 2020: (99,400) million RMB.

Outflows are for debt repayment and dividends, indicating active financing management.

Free cash flow (operating cash minus capex) is positive, though not disclosed, supporting liquidity.

The cash flow analysis highlights strong operating cash generation, funding investments and financing, with overall liquidity supporting operations.

Board of Directors and Leadership Team

The Board of Directors consists of executive, non-executive, and independent non-executive directors, ensuring governance and oversight.

The board was approved at the eleventh meeting of the ninth session, with some members absent due to work arrangements: Mr. Hou Qijun, Mr. Zhang Daowei, and Mr. Yan, Andrew Y, who authorized proxies.

• Chairman: Dai Houliang, male, age 61, warrants the truthfulness of financial statements.
• Vice Chairman and non-executive Director: Hou Qijun, male, age 58.
• Non-executive Director: Duan Liangwei, male, age 57.

Executive leadership:

• Executive Director and President: Huang Yongzhang, male, age 58, warrants financial statements.
• Executive Director and Senior Vice President: Ren Lixin, male, 57.
• Executive Director and Senior Vice President: Zhang Daowei, male, 52.

Independent non-executive directors:

• Independent non-executive Director: Jiang, Simon X., male, 71.
• Independent non-executive Director: Zhang Laibin, male, 63.
• Independent non-executive Director: Ho Kevin King Lun, male, 49.
• Independent non-executive Director: Yan, Andrew Y, male, 67.
• Independent non-executive Director: Liu Xiaolei, female, 51.
• Independent non-executive Director: Xie Jun, male, 57.

Committees include Audit, Nomination, Investment and Development, Examination and Remuneration, and Sustainable Development.

• Audit Committee: 5 members, chairman Liu Xiaolei.
• Nomination Committee: 3 members, chairman Zhang Laibin.
• Investment and Development Committee: 5 members, chairman Dai Houliang.
• Examination and Remuneration Committee: 3 members, chairman Ho Kevin King Lun.
• Sustainable Development Committee: 5 members, chairman Hou Qijun.

The leadership team includes:

• Vice President: Zhu Guowen, male, 58.
• Vice President: Wan Jun, male, 59.
• Chief Financial Officer, secretary to the Board and Company Secretary: Wang Hua, male, 51, warrants financial statements.
• Vice President: Li Ruxin, male, 58.
• Vice President: He Jiangchuan, male, 59.
• Chief Geologist: Jiang Tongwen, male, 56.
• Chief Engineer: Yang Weisheng, male, 52.
• Chief Safety Officer: Shen Fuxiao, male, 55.

The team has extensive experience in the oil and gas industry, driving strategic and operational decisions.

[Image: Screenshot of Huang Yongzhang, Director and President]

Subsidiaries, Associates, Joint Ventures and Revenue %

PetroChina has a network of subsidiaries, associates, and joint ventures that support its operations.

Subsidiaries are fully owned or controlled, with 100% ownership in key entities.

• Daqing Oilfield Company Limited, 100% ownership, involved in oil and gas production, revenue contribution not separately disclosed.
• Changqing Oilfield Company, 100% ownership, major producer in low-permeability fields.
• Tarim Oilfield Company, 100% ownership, focusing on ultra-deep exploration.
• Dalian Petrochemical Company, 100% ownership, refining operations.
• Lanzhou Petrochemical Company, 100% ownership, petrochemical production.
• Dushanzi Petrochemical Company, 100% ownership, integrated refining and chemicals.
• Jiangsu Marketing Company, 100% ownership, regional marketing.

Associates and joint ventures include equity investments in overseas projects, with ownership 20% to 50% in some.

• Share of reserves from associates: 137.8 million barrels crude, 574.3 billion cubic feet gas in 2024.

Revenue from associates is not broken out separately.

The entities contribute to consolidated revenue, but specific % for each is not disclosed.

The portfolio allows for risk diversification and operational expansion.

• For example, CNPC Electric Energy acquisition in October 2024 added to the new energy business.

Physical Properties (Offices, Plants, Factories, etc.)

PetroChina owns extensive physical properties, including offices, oilfields, refineries, chemical plants, pipelines, and fuel stations.

The headquarters office is at No. 9 Dongzhimen North Street, Dongcheng District, Beijing, PRC.

• Hong Kong representative office at Suite 3705, Tower 2, Lippo Center, 89 Queensway, Hong Kong, PRC.

Oilfields include:

• Daqing Oilfield in Heilongjiang Province, a major production site.
• Changqing Oilfield in Shaanxi and Gansu Provinces, known for gas production.
• Tarim Oilfield in Xinjiang, with ultra-deep wells.

Refineries and factories:

• Dalian Petrochemical in Liaoning Province, processing crude into refined products.
• Lanzhou Petrochemical in Gansu Province, producing petrochemicals.
• Dushanzi Petrochemical in Xinjiang, integrated facility.

Chemical plants are co-located with refineries, manufacturing polyethylene, polypropylene, etc.

Pipeline networks span thousands of kilometers across China, transporting crude oil, natural gas, and refined products.

• Overseas properties in international project sites, such as oilfields in Kazakhstan and Iraq.

List of key physical properties:

• Beijing headquarters office.
• Daqing Oilfield production facilities.
• Changqing Oilfield wells and plants.
• Tarim Oilfield exploration sites.
• Dalian refinery complex.
• Lanzhou chemical plant.
• Dushanzi processing facilities.
• Hong Kong representative office.
• Xinjiang pipelines.
• Sichuan gas fields.

These properties enable efficient production, refining, and distribution, forming the foundation of the Group’s operations.

Segment-wise Performance

The segment-wise performance highlights varying trends across the Group’s operations.

Oil, Gas and New Energy segment: Crude oil production 941.8 million barrels in 2024, up from 937.1 in 2023. Natural gas production 5,133.8 billion cubic feet, up from 4,932.4.

• Operating profit 159,745 million RMB, up 7.1% from 149,091 million RMB, due to higher volumes and cost control.

Refining, Chemicals and New Materials segment: Crude processed 1,271.1 million barrels, up 1.8%. Gasoline output 150.2 million tons, up 4.2%.

• Operating profit 21,386 million RMB, down 42.1% from 36,936 million RMB, with refining down 49.7% to 18,230 million RMB, chemicals up to 3,156 million RMB from 0.684.

Marketing segment: Refined products sold 183.4 million tons, down 2.1%.

• Operating profit 16,494 million RMB, down 31.2% from 23,962 million RMB, due to lower volumes and gross profits.

Natural Gas Sales segment: Gas sold 255.4 billion cubic meters, up 2.1%.

• Operating profit not directly in snippet, but segment revenue up.

Year-on-year movements show growth in upstream and natural gas, declines in refining and marketing due to market conditions.

The performance demonstrates the integrated model’s ability to balance segment results.

Founders Details

PetroChina Company Limited was formed through the restructuring of China National Petroleum Corporation (CNPC) in 1999.

No individual founders are disclosed, as it was a corporate reorganization from a state-owned enterprise.

• The establishment involved separating CNPC’s core oil and gas businesses into the new company under PRC Company Law.

The process aimed to create a competitive, listed entity.

Shareholding Pattern

The shareholding pattern is dominated by CNPC as the promoter.

CNPC holds 150,923,565,570 A shares, 82.46% of total shares.

• CNPC holds 93.21% of A shares.

Institutional investors include China Securities Finance Corporation Limited with 1,020,165,128 shares, 0.56%.

• Central Huijin Asset Management Ltd. with 201,695,000 shares, 0.11%.
• ICBC – SSE 50 ETF with 212,946,963 shares, 0.12%.

Public shareholding includes HKSCC Nominees Limited with 20,919,164,608 H shares, 11.43%.

Hong Kong Securities Clearing Company Limited with 891,439,225 A shares, 0.49%.

No significant changes in shareholding during the period.

The pattern ensures control by CNPC, with public shares providing market liquidity.

Parent Company Details

The parent company is China National Petroleum Corporation (CNPC), holding 82.46% of PetroChina.

CNPC is a state-owned integrated energy corporation, established in 1998 from restructuring.

• CNPC’s businesses include oil and gas exploration, production, refining, marketing, and new energy.

The legal representative is Dai Houliang.

CNPC is the ultimate controlling shareholder, influencing strategy and providing resource support.

Investments and Capital Expenditure Plans

PetroChina’s capital expenditures in 2024: 275,849 million RMB, up slightly from 275,393 million RMB in 2023.

• Capex in 2022: 274,494 million RMB.
• Capex in 2021: 251,323 million RMB.
• Capex in 2020: 246,617 million RMB.

Allocation not detailed in summary, but supports exploration, production, refining upgrades.

Ongoing investments include Jilin Petrochemical transformation, total 33,945 million RMB, cumulative 16,614 million RMB.

• Guangxi Petrochemical integration, total 30,459 million RMB, cumulative 8,719 million RMB.
• Tarim low carbon photovoltaic, total 4,225 million RMB, cumulative 2,901 million RMB.

R&D spending: 31,115 million RMB, up 2.1%, 1.1% of operating income.

Strategic priorities include reserves expansion, new energy, technology, sustainability.

Capacity expansion in gas production, market focus on domestic and international.

The capex plans aim for long-term growth and green transition.

Future Strategy

The management emphasizes high-quality development, innovation, and green low-carbon transition.

Strategies include capacity expansion in natural gas to meet demand.

• Market focus on domestic sales and international expansion.

Technology initiatives for digital transformation and efficiency.

Sustainability efforts target low-carbon operations, new energy investments.

• Clean alternative and green development are priorities.

The company aims for global first-class status, with safety and environmental protection.

Long-term plans include reserves growth and integrated chain strengthening.

Competitive Landscape

PetroChina competes with domestic companies like Sinopec and CNOOC.

International competitors include ExxonMobil, BP, Shell, Chevron, TotalEnergies, Rosneft, Gazprom, Saudi Aramco.

The company positions as the largest in the PRC, with integrated operations providing a competitive edge.

• Leading in domestic sales volumes and reserves.

The landscape involves price competition, with PetroChina leveraging its scale and resources.

Key Strengths

Large proved reserves: crude oil 6,183 million barrels, natural gas 72,814 billion cubic feet.

Integrated value chain from exploration to marketing, reducing costs.

Leading position in PRC market, with high production: crude 941.8 million barrels.

• Strong pipeline network for distribution.

Technological capabilities in exploration, R&D 31,115 million RMB.

Global presence in overseas projects, diversifying revenue.

• Financial strength with net profit 183,755 million RMB.

Stable governance with experienced board.

Key Challenges and Risks

Price fluctuations in oil and gas products, impacting revenue.

Government regulations and tax policies affecting operations.

Foreign exchange rate risk from international transactions.

Market competition from domestic and foreign companies.

Uncertainty in oil and gas reserves estimates.

Overseas operations risks, including political and regulatory differences.

Climate change risks, with greenhouse gas emission regulations.

Force majeure and hidden hazards, such as accidents or natural disasters.

Forward-looking statements subject to risks and uncertainties.

Conclusion and Strategic Outlook

PetroChina’s 2024 performance shows resilience with net profit growth despite revenue decline, supported by cost controls and segment efficiencies.

The company’s large reserves, integrated operations, and leading PRC position position it for long-term growth.

Strategies focus on green development, innovation, and natural gas expansion.

Content is based on publicly available corporate filings, regulatory disclosures, annual reports, 10-K filings, Investor Relations materials, and direct mail communication with the company.