Sinopec Reveals China Energy Outlook 2060 to Guide Country Towards Greener Future
January 4, 2023
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China Petroleum & Chemical Stock Fair Value – China Petroleum & Chemical ($SEHK:00386) Corporation, commonly known as Sinopec, is one of the largest integrated energy and chemical companies in China. It is engaged in the exploration and production of oil and gas, refining, marketing and distribution of petroleum and petrochemical products, as well as chemical and other energy related businesses. Recently, Sinopec has unveiled the China Energy Outlook 2060 to guide a new trajectory for energy transformation in the country. With the goal of achieving carbon neutrality by 2060, it outlines a comprehensive plan to promote green development. The China Energy Outlook 2060 focuses on diversifying China’s energy mix by expanding renewable energy sources such as wind, solar, and hydropower. It also emphasizes the importance of improving energy efficiency and promoting the use of clean energy technologies such as hydrogen fuel cells.
It also suggests that China should gradually phase out its reliance on coal, reduce its reliance on oil and gas, and shift to cleaner forms of energy. The plan also encourages the development of smart grids and smart cities, as well as digitalization of energy systems and the development of new energy storage technologies. Furthermore, it calls for greater investment in research and development in order to foster technological innovation and accelerate energy transition. It outlines a clear roadmap for the country to follow in order to reduce its reliance on fossil fuels and shift towards cleaner sources of energy. This plan is an important step towards achieving carbon neutrality by 2060.
Stock Price
On Friday, Sinopec, one of the world’s largest oil and gas companies and China’s largest refiner, unveiled an energy outlook for 2060 to guide the country into a greener future. The announcement was greeted with mostly positive media coverage, and the CHINA PETROLEUM & CHEMICAL stock opened at HK$3.8 and closed at HK$3.8, down by 0.5% from previous closing price of 3.8. The energy outlook proposed by Sinopec is a long-term plan to reduce the country’s carbon emissions and move towards a greener future. For example, the report suggested that China should strive to reduce its use of coal and promote the use of renewable energy sources such as solar, wind, and nuclear power. It also proposed that China should invest in energy efficiency and adopt new technologies such as clean fuels and electric vehicles to reduce emissions.
To achieve its goals, Sinopec proposed that China should invest heavily in research and development of new energy technologies, and develop policies to promote their use. It also suggested that China should work to improve its domestic energy infrastructure, including building more efficient power plants and expanding transmission lines. The company also proposed that it should work with other countries to share its energy technologies and knowledge. By investing in renewable energy sources, improving energy efficiency, and working with other countries to share knowledge, the country can reduce its emissions significantly and make progress towards a sustainable future. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for China Petroleum & Chemical. More…
| Total Revenues | Net Income | Net Margin |
| 3.19M | 68.37k | 2.9% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for China Petroleum & Chemical. More…
| Operations | Investing | Financing |
| 167.67k | -115.04k | -20.84k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for China Petroleum & Chemical. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 2.05M | 1.13M | 6.45 |
Key Ratios Snapshot
Some of the financial key ratios for China Petroleum & Chemical are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 1.5% | 15.8% | 3.4% |
| FCF Margin | ROE | ROA |
| 1.1% | 8.6% | 3.3% |
VI Analysis – China Petroleum & Chemical Stock Fair Value Calculator
The company’s fundamentals reflect its long term potential and the intrinsic value of its stock is around HK$4.4. VI Line, a simple app developed by VI, has calculated the intrinsic value of the CHINA PETROLEUM & CHEMICAL share. At present, the stock is trading at HK$3.8, which is 13% undervalued, making it a fair price. CHINA PETROLEUM & CHEMICAL’s long-term prospects are highly promising thanks to its diversified operations, strong financial position, and focus on high-growth markets. The company is well diversified across the oil and gas industry, with operations in refining, pipeline transportation, chemicals, marketing and storage. It has a strong balance sheet with strong cash flows, an extensive network of distributors and customers, and a well-developed brand. CHINA PETROLEUM & CHEMICAL is also well-positioned to benefit from China’s continued growth in the energy sector. The company has been able to benefit from a number of favorable policies implemented by the Chinese government, such as the “One Belt One Road” initiative, which has opened up new opportunities for business expansion. Additionally, the company has also been able to capitalize on its strong presence in high-growth markets such as India, Vietnam and Malaysia. Overall, CHINA PETROLEUM & CHEMICAL’s fundamentals reflect its long-term potential, with its current share price being an attractive opportunity for investors. With its diversified operations, strong financial position and focus on high-growth markets, it is likely that the company will continue to benefit from China’s energy sector growth and deliver strong returns in the future. More…
VI Peers
China Petroleum & Chemical Corp, or Sinopec, is an oil and gas company based in Beijing. It is engaged in the exploration, production, refining, and marketing of petroleum products and chemicals. The company operates in China, Hong Kong, Macau, and Taiwan. It has upstream and downstream operations in China. The company’s competitors include PetroChina Co Ltd, CNOOC Ltd, AAG Energy Holdings Ltd.
– PetroChina Co Ltd ($SHSE:601857)
PetroChina Co Ltd is a Chinese state-owned oil and gas company and one of the largest integrated energy companies in the world. The company has a market cap of 874.45B as of 2022 and a Return on Equity of 10.48%. PetroChina is involved in the exploration, development, production, and marketing of crude oil and natural gas, as well as the refining, transportation, and sale of petroleum products. The company also produces and sells chemicals, fertilizers, and other petrochemical products.
– CNOOC Ltd ($SEHK:00883)
CNOOC Ltd is a Chinese multinational oil and gas company. It is the largest producer of crude oil and natural gas in China, and also the largest offshore oil and gas producer in China. The company has a market cap of 505.91B as of 2022 and a Return on Equity of 18.82%.
– AAG Energy Holdings Ltd ($SEHK:02686)
AAG Energy Holdings Ltd is a Hong Kong-based investment holding company principally engaged in the coal business. The Company operates its business through three segments. The Coal Segment is engaged in the exploration, development, production, washing and sales of coal. The Coalbed Methane Segment is engaged in the exploration and development of coalbed methane. The New Energy Segment is engaged in the provision of solar power generation services.
Summary
China Petroleum & Chemical Corporation (Sinopec) recently released an energy outlook for 2060, aiming to guide the nation towards a greener future. The report covers various aspects of the energy industry, from natural gas to oil and renewable energy, and suggests ways to reduce emissions and reliance on fossil fuels. Sinopec’s strategic planning could provide useful insights for investors interested in the Chinese energy sector.
The company is well-positioned to benefit from the country’s growing demand for oil and gas, as well as its focus on renewable energy development. Investors should closely monitor Sinopec’s progress in implementing its 2060 energy vision and explore potential opportunities in the sector.
