1. Characteristics of China's petroleum industry 1. Oil and gas reserves and production continue to grow. In recent years, Chinese petroleum companies have increased their efforts in exploration and development, and oil and gas reserves and production have increased steadily, and a number of large oil and gas production bases have been born.

China National Petroleum Corporation’s new proven oil and gas geological reserves have exceeded 500 million tons for three consecutive years, and its new third-level natural gas reserves have exceeded 300 billion cubic meters; four major oil and gas reserve target areas have been discovered in the Ordos and other basins, and have been implemented

There are 7 oil reserves of more than 100 million tons in the northwest edge of the Junggar Basin and 3 natural gas reserves of hundreds of billions of cubic meters in the surrounding areas of Sulige.

According to independent reserve assessment, China National Petroleum Corporation (hereinafter referred to as "PetroChina") achieved an oil reserve replacement rate of 1.097 and a natural gas reserve replacement rate of 4.37 in 2006, both exceeding the expected targets and providing a resource base and stable growth for oil and gas production.

At the same time, PetroChina has successively put into development a number of larger oil and gas fields, and its oil and gas business has continued to grow.

The crude oil output of Changqing Oilfield exceeded 10 million tons in one fell swoop, marking the birth of another 10-million-ton large oil field of PetroChina.

China's low-permeability Sulige gas field, which has the largest reserves and the largest scale in the Ordos Basin, has been put into development and has become the focus of world attention.

The natural gas output of the Tarim Oilfield has exceeded 10 billion cubic meters, and the resource support capacity of the West-East Gas Pipeline has been enhanced.

The annual oil and gas production of the Southwest Oil and Gas Field has exceeded 10 million tons, making it my country's first 10-million-ton gas-based oil and gas field and the sixth large oil and gas field in China to reach the 10-million-ton level.

In 2006, PetroChina added 12.22 million tons of crude oil production capacity and 9.1 billion cubic meters of natural gas production capacity.

China Petroleum & Chemical Corporation has made a number of important discoveries in oil and gas exploration in the Puguang Peripheral, Shengli Deep, and Northeast Deep.

The newly added proven oil reserves throughout the year were 230 million tons, the proven natural gas reserves were about 160 billion cubic meters, the newly added recoverable oil reserves were about 45 million tons, and the recoverable natural gas reserves were about 73.9 billion cubic meters.

On April 3, 2006, China Petrochemical Corporation (hereinafter referred to as "Sinopec") officially announced the discovery of the Puguang Gas Field, the largest and most abundant ultra-large integrated marine gas field in China to date.

extensive attention.

Approved by the Ministry of Land and Resources, the cumulative proven recoverable reserves of the Puguang Gas Field by the end of 2005 were 251.1 billion cubic meters, and the technically recoverable reserves were 188.304 billion cubic meters. According to the appraisal results, the gas field has met the conditions for commercial development and is planned to be realized by 2008.

The commercial gas volume is more than 4 billion cubic meters, and in 2010, the commercial gas volume was 8 billion cubic meters.

In 2006, China National Offshore Oil Corporation made 10 oil and gas discoveries for the first time in Chinese waters, including the first deepwater discovery in Chinese waters - Liwan 3-1, and 6 oil and gas-bearing structures were successfully evaluated.

The company achieved a reserve replacement rate of 199% in 2006 and added 46.76 million tons of net proven reserves during the year.

As of the end of 2006, CNOOC *** had net proven reserves of approximately 356 million tons of oil equivalent.

In 2006, the country produced 184 million tons of crude oil, a year-on-year increase of 1.7%; produced 58.55 billion cubic meters of natural gas, a year-on-year increase of 19.2%. Among them, PetroChina produced 107 million tons of crude oil, another record high; and produced 44.2 billion cubic meters of natural gas.

The growth rate has exceeded 20% for two consecutive years; PetroChina’s oil and gas production accounts for 58% and 76% of the total domestic oil and gas production respectively.

Including overseas equity oil, PetroChina's total oil and gas production reached 149 million tons of oil equivalent that year, a year-on-year increase of 4.9%.

Sinopec's crude oil production exceeded 40 million tons, a year-on-year increase of 2.28%; its natural gas production exceeded 7 billion cubic meters, a year-on-year increase of 15.6%.

Sinopec’s “going out” strategy has made important progress.

Overseas equity oil production is expected to reach 4.5 million tons, an increase of 1.2 times.

As CNOOC's Weizhou 6-1 Oilfield, Caofeidian Oilfield Group, Huizhou 19-1 Oilfield, Bozhong 34-5, Qikou 17-2 East, Huizhou 21-1 and other oil and gas fields have been put into production, the annual

The company's total oil and gas production reached 40.33 million tons of oil equivalent, an increase of 3.4% from the previous year and an increase of 21% from three years ago.

2. Progress in economic efficiency indicators In recent years, international oil prices have continued to rise, reaching close to US$100/barrel at the end of 2007.

Driven by high oil prices, the oil and gas exploration and development situation of China's petroleum industry is good and the harvest has been fruitful.

In 2006, China's petroleum industry (including crude oil and natural gas mining industry, petroleum processing industry) achieved a total industrial output value of 2,013.2 billion yuan at current prices, industrial added value of 637.1 billion yuan, product sales revenue of 1,998.2 billion yuan, profit of 322.7 billion yuan, and profits and taxes of 47.13 billion yuan.

billion, an increase of 26.3%, 35.8%, 27.8%, 18.2% and 22.2% respectively over the previous year. In 2006, the three major national oil companies focused on the development of their main businesses and created

With good operating performance, various major economic indicators have reached new highs, and the economic strength has been significantly enhanced.

However, affected by various factors such as falling oil prices, the profit growth rate of each company has dropped significantly.