Total oil and gas production rose 1.7% in the first half to 748.2 million barrels of oil equivalent. Total production was dragged down by falling crude oil output at its aging domestic oil fields, where production fell 4.2%.
- The marginal cost of production at some China’s most expensive fields is now around $40 a barrel, well above the $30 mark at which oil has been selling in recent weeks.
PetroChina will now start up its 200,000-bpd Kunming refinery in the Yunnan province in 2016, two years behind the original schedule.
Operation of a 400,000-bpd joint venture refinery in Jieyang of Guangdong province will be delayed to 2017, versus the original plan of 2013.