Xinhua Silk Road - Belt and Road Portal, China's silk road economic belt and 21st Century Maritime Silk Road Website Xinhua Silk Road - Belt and Road Portal, China's silk road economic belt and 21st Century Maritime Silk Road Website
Subscribe CustomBlackClose

Belt & Road Weekly Subscription Form

download_pop

Research ReportCustomBlackClose

The full edition of the report is available at Xinhua Silk Road Database. You can click the “Table of Content” to have a general understanding of it.

Click on the button below to create your account and get immediate access to thousands of articles.

Start a Free Trial

Xinhua Silk Road Database
Industry

China's oil service sector enters boom cycle with abundant orders

September 12, 2018


Abstract : China's oil service sector has entered a new round of boom cycle, thanks to the recovery in the domestic oil and gas industry since the second half of 2017, the Xinhua-run Shanghai Securities News reported on Monday.

油井1

BEIJING, Sept. 12 (Xinhua) -- China's oil service sector has entered a new round of boom cycle, thanks to the recovery in the domestic oil and gas industry since the second half of 2017, the Xinhua-run Shanghai Securities News reported on Monday.

With the continuous recovery of oil prices in 2017, the capital expenditure of oil companies, an important indicator of the industry, began to increase. Last year, the fixed-asset investment of China's oil and gas exploration industry increased 13.6 percent.

In 2017, the total capital expenditures of China's three large oil companies including CNPC, Sinopec and CNOOC in the exploration and development business increased 11.28 percent year on year, hitting the highest level since 2013.

From August, CNPC and Sinopec held meetings, in succession to increase efforts for the domestic oil and gas exploration and development.

According to a guideline released in September by State Council, China's cabinet, to promote coordinated and stable development of the natural gas, China will speed up the construction of major natural gas production capacity and infrastructure projects, increase the efforts for the domestic exploration and development, and strive to achieve more than 200 billion cubic meters of natural gas production by the end of 2020.

Industry insiders note that the policy support and the recovering industry will promote development of the oil service sector.

China Petroleum Engineering Co., Ltd. (600339.SH) pointed out that in the context of the continuous rebound in international oil prices, investment in the domestic oil and gas industry is expected to accelerate and abundant orders are expected.

In the first half of the year, Haimo Technologies Group Corp. (300084.SZ) acquired orders for oilfield equipment and related services worth about 522 million yuan, showing a significant year-on-year increase, with the amount of the orders exceeding its annual income in 2017. (Edited by Hu Pingchao, hupingchao@xinhua.org)

Scan the QR code and push it to your mobile phone

Keyword: China-crude-oil oil-service

Write to Us belt & road login close

Do you want to be a contributor to Xinhua Silk Road and tell us your Belt & Road story? Send your articles to [email protected] and share your stories with more people.

Click on the button below to create your account and get im http://img.silkroad.news.cn/templates/silkroad/en2017te access to thousands of articles.

Start a Free Trial

Ask Us A Question belt & road login close

If you have any questions, please enter them in the box below.

Identifying code Reload

Write to Us belt & road login close

Do you want to be a contributor to Xinhua Silk Road and tell us your Belt & Road story? Send your articles to silkroadweekly@xinhua.org and share your stories with more people.

Click on the button below to create your account and get im http://img.silkroad.news.cn/templates/silkroad/en2017te access to thousands of articles.

Start a Free Trial