PetroChina 2012 profits down, production up

Chinese oil giant PetroChina announced Thursday that its 2012 net profit dipped 13.3 percent from 2011 to 115.33 billion yuan (18.38 billion U.S. dollars), while its crude oil output increased 3.4 percent year on year. In a statement on its website, PetroChina attributed the drop in its net profit to state-issued oil price controls on the domestic market and a natural gas import price that is often higher than the domestic sales price. The oil and gas giant's business revenues last year rose 9.6 percent year on year to 2.20 trillion yuan, with basic earnings per share standing at 0.63 yuan, 0.1 yuan lower than 2011. Meanwhile, the company's crude oil output rose 3.4 percent year on year to 916.5 million barrels, while its output of natural gas reached 2.56 trillion cubic feet, up 6.8 percent year on year. The company's overseas businesses contributed to 136.9 million barrels of oil and gas equivalent, up 13.3 percent. Due to high crude oil prices on the international market, sluggish demand in the domestic refining sector and government price controls,PetroChina's refining and chemicals business recorded losses of 43.51 billion yuan last year. The company's natural gas and pipeline business, which scored 15.53 billion yuan in profits in 2011, saw 2.11 billion yuan in losses last year. A 41.9 billion-yuan deficit has resulted from sales of imported natural gas and liquefied natural gas. Listed in Hong Kong and Shanghai, PetroChina is a subsidiary of China National Petroleum Corporation, China's largest oil and gas producer.