Energy Insider: PetroChina and Sinopec Turn to Profits; Huadian called the mat on security
In today’s Caixin energy news: PetroChina and Sinopec register profits in the first half; Chinese Energy Regulator Talks With Huadian Over Generation Security; Zijin Mining’s first half net profit increases 156% to 173%; Jiangling Motors sales in June fell 19.92%.
PetroChina and Sinopec turn to profit
China Petroleum & Chemical Corp. (Sinopec, 600028.SH) expects net profit of 36.5-38.5 billion yuan ($ 5.64-5.95 billion) for the first half of 2021, the company said on Thursday. In the first half of 2020, it recorded a net loss of 22.9 billion yuan. Since the start of this year, demand for petroleum and petrochemicals has rebounded as the pandemic has abated around the world and crude oil prices have risen, the company said.
PetroChina Co. Ltd. (PetroChina, 601857.SH) said he expects to post net profit of 45 billion to 60 billion yuan in the first half, down from a net loss of 30 billion yuan a year earlier. In addition to rising oil demand and prices, the company attributed the profit to the transfer and delivery of pipeline equity to its subsidiary Kunlun Energy Co. Ltd.
Azure first half net profit increased from 346% to 388%
Jiangsu Azure Corp. (002245.SZ) expects first-half profit of 320-350 million yuan ($ 49.4-54 million), an increase of 346-388% year-over-year, the company said. In the first half of the year, the lithium battery business operated at 100% of its capacity and all products were sold. The company said its LED business also recorded a profit compared to last year’s loss.
Huadian uses regulatory mat and completes restructuring of its assets
The National Energy Administration of China met China Huadian Corp. Ltd. concerning the supervision of electrical safety. Regulators have raised concerns over a recent increase in accidents that put safe production at risk. The incidents show flaws in the implementation of the safety accountability system, identification of safety risks, safety education and training, management and control of production activities, management the physical and mental health of employees and reporting accident information, the regulator said.
Huadian completed a second round of asset restructuring in the first half of the year, following a first round in late 2020, the company said on Wednesday. The second round mainly focused on the wind and solar power assets of its listed subsidiary, Huadian Power International Corp. Wind and photovoltaic power assets with a total installed capacity of 8 million kilowatts were transferred to Huadian Fuxin Energy Corp. Ltd. total installed capacity at 25 million kilowatts and its total assets at nearly 170 billion yuan, with business operations in 29 Chinese provinces as well as in Europe.
Zijin Mining’s first half net profit increases 156% to 173%
Zijin Mining Group Co. Ltd. (601899.SH) expects to post net profit of 6.2 billion to 6.6 billion yuan (959 million to 1.02 billion dollars) in the first half, an increase of 156% to 173% year-on-year, announced Thursday the company. Production of the company’s main mineral products, such as gold, copper and zinc, increased, while prices for copper, zinc and other metals all surged from a year ago .
Tongling Nonferrous Metals Estimates H1 Net Profit Increase 233%
Tongling Nonferrous Metals Group Holdings Co. Ltd. (000630.SZ) expects to report a profit of 1.3 billion yuan ($ 201 million) in the first half of 2021, an increase of 232.73% year-on-year, the company said. Tongling’s main businesses have all experienced steady growth and prices have increased significantly for the company’s key products: cathode copper, sulfuric acid and iron ore pellets.
Jiangling Motors’ vehicle sales fall 19.92% in June
June vehicle sales from Jiangling Motors Co. Ltd. (000550.SZ) fell 19.92% from June 2020 to 31,400 units, the company said on Thursday. For the first half, however, deliveries jumped 24.45% from the previous year to 180,000 vehicles.
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