PetroChina Plans 50 Percent Increase in Overseas Oil and Gas Output

The Wall Street Journal reported that PetroChina Company Ltd. (HKEX:0857) has set aside $15.7 billion for overseas oil and gas investments this year, and is on the hunt for acquisitions in Central Asia, East Africa, Australia and Canada.

As quoted in the market news:

The ambitious acquisition plan came after the Chinese oil giant posted a worse-than-expected 6% decline in first-half net profit, hit by losses in its refining business. Net profit for the six months to June fell to CNY62.03 billion from CNY66.01 billion a year earlier, according to international accounting standards. It is below the average CNY67.82 billion forecast of six analysts polled earlier by Dow Jones Newswires.

Vice Chairman and President Zhou Jiping told reporters in Hong Kong at the company’s results briefing that international oil companies are in the process of optimizing their world portfolios and there are “favorable opportunities for acquisitions” in different parts of the world.

He said the company plans to boost its overseas oil and gas output to 50% of its total output in five to eight years from 9% at present.

Click here to read the full report from The Wall Street Journal.