Petrochina Co., Ltd. Class A · SSE:601857
Petrochina Co., Ltd. Class A — FY2020 Earnings Presentation
33 slides from Petrochina Co., Ltd. Class A's earnings presentation, March 2021
Slide 1: 2020 Annual Results Presentation
2020 Annual Results Presentation March 2021
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements that involve risks and uncertainties. These statements are generally indicated by the use of forward-looking terminology such as “believe”, “expect”, “anticipate”, “estimate”, “plan”, “project”, “target”, “may”, “will” or other similar
Slide 3: Board and Management
Board and Management Mr. DAI Houliang Chairman Mr. DUAN Liangwei Mr. HUANG Yongzhang Director and Ex-President Director and President Mr. LI Luguang Mr. TIAN Jinghui Mr. CHAI Shouping Mr. YANG Jigang Vice President Vice President Chief Financial Officer Vice President Secretary to the Board 3
Slide 4: Agenda
Agenda 1 2020 Financial Results Review 2 2020 Operating Results and 2021 Outlook 3 Remarks by the Chairman 4 Q&A Session 4
Slide 5: 2020 Financial Results Review
2020 Financial Results Review Mr. CHAI Shouping Chief Financial Officer and Secretary to the Board
Slide 6: Financial Highlights
Financial Highlights Faced with the global pandemic of COVID-19, the plummeted international oil price, and the severe contraction in oil and gas demand, the Company firmly seized the favorable opportunity of China as the major economy taking the lead in realizing positive growth in the world, gave
Slide 7: Capex
Capex Capex Comparison 2020 Capex RMB Million 0.25% 6.61% 296,776 8.85% 246,493 8.58% 212,822 171,732 83,954 74,761 75.71% 2019 2020 Exploration & Production Natural Gas & Pipeline Refining & Chemicals Marketing 1H Capex 2H Capex Headquarters & Others 7
Slide 8: Continued to Improve Quality and Efficiency with Effective Cost Control
Continued to Improve Quality and Efficiency with Effective Cost Control Average Realized Natural Gas Price Average Realized Crude Oil Price USD/bbl USD/’000 cubic feet 60.96 5.39 4.80 40.33 2019 2020 2019 2020 Lifting Cost Cash Processing Cost SG&A USD/bbl RMB/ton RMB Million 12.11 168.64 163.90 68,
Slide 9: Healthy Financial Status with Stable Cash Flows
Healthy Financial Status with Stable Cash Flows Total Assets Debt-to-Asset Ratio RMB Million 2,732,910 2,488,126 47.2% 45.1% As of 31 Dec 2019 As of 31 Dec 2020 As of 31 Dec 2019 As of 31 Dec 2020 Debt-to-Capital Ratio Cash Flow RMB Million 2019 359,610 2020 24.4% 21.3% 318,575 70,199 As of 31 Dec 2
Slide 10: Exploration and Production – Profits from Operations
Exploration and Production – Profits from Operations 96,097 RMB million -158,510 23,092 62,785 22,720 2019 Price Sales Volume Operating Expenses 2020 During 2020, the Company imported 39.03 million tons of oil from Russia, Kazakhstan and other regions, decreased by 2.3% compared to 39.95 million ton
Slide 11: Refining and Chemicals – Profits from Operations
Refining and Chemicals – Profits from Operations Refining Segment Chemicals Segment RMB Million 12,650 10,967 3,427 -24,337 21,639 -2,755 -34,288 1,641 -12,801 20,189 2019 Gross Processed Operating 2020 2019 Price Sales Operating 2020 Profit Volume Expenses Volume Expenses 11
Slide 12: Marketing – Profits from Operations
Marketing – Profits from Operations RMB million -2,878 -2,906 -1,955 1,755 -3,996 557 4,168 2019 Gross Profit Sales Volume Operating International 2020 Expenses Trade 12
Slide 13: Natural Gas and Pipeline – Profits from Operations
Natural Gas and Pipeline – Profits from Operations RMB million 72,410 46,149 12,751 -11,002 26,108 -1,596 2019 Gross profit from sales of Gross profit from pipeline Gross profit from city gas Profit from pipeline 2020 natural gas transmission restructuring and others 13
Slide 14: Shareholder Return
Shareholder Return After overall consideration of the Company's Dividend Comparison operating performance, financial status, cash RMB flow, profit from pipeline restructuring, etc. • Distribute a final dividend of RMB 0.08742 per share* 0.08742 0.06601 • Total final dividend of RMB16 billion 0.07765
Slide 15: 2020 Operating Results and 2021 Outlook
2020 Operating Results and 2021 Outlook Mr. HUANG Yongzhang Director and President
Slide 16: 2020 Market Situation
2020 Market Situation Brent Crude Oil Spot Price Average Realized Crude Oil Price Average：72.36 USD/bbl USD/bbl Average：71.07 Average：66.09 104.2 103.7 100.4 87.6 94.8 65.3 68.3 Average：62.23 Average：43.70 72.9 61.0 50.6 48.4 53.9 40.3 Average：42.20 38.0 2007 2008 2009 2010 2011 2012 2013 2014 2015
Slide 17: Vigorously Implement Quality and Efficiency Improvement, Operating Results Better than Expected
Vigorously Implement Quality and Efficiency Improvement , Operating Results Better than Expected Domestic exploration achieved Steady progress in overseas oil significant results, oil and gas and gas cooperation, with production reached a new level healthy development maintained Operating Results be
Slide 18: Domestic Exploration Achieved Significant Results, Oil and Gas Production Reached a New Level
Domestic Exploration Achieved Significant Results, Oil and Gas Production Reached a New Level Gulong Kangtan-1 Shale Oil Kuche- Bozi Area Luntan-1 Jimusae r Shale Luchang-1 Oil Manshen-1 Xinghua-1 Linhua-1 Chai-9 Huaqing Chang-6 & Chang- Longdon 8 g Natural Gas Southwest Sichuan Pengtan-1 Qisha- Mao
Slide 19: Steady Progress in Overseas Oil and Gas Cooperation
Steady Progress in Overseas Oil and Gas Cooperation, with Healthy Development Maintained • Rolling exploration in Aktobe Middle Block of Kazakhstan Canada United Kingdom Kazakhstan France Azerbaijan Iraq Japan Abu Dhabi Venezuela Niger Oman Singapore • Risk exploration in Doseo Chad Basin of Chad In
Slide 20: Exploration & Production - Key Indicators
Exploration & Production - Key Indicators 2020 2019 Change Crude Oil Output (MM bbl) 921.8 909.3 +1.4% Domestic (MM bbl) 743.8 739.7 +0.6% Overseas (MM bbl) 178.0 169.6 +4.9% Marketable Natural Gas Output (bcf) 4,221.0 3,908.0 +8.0% Domestic (bcf) 3,993.8 3,633.0 +9.9% Overseas (bcf) 227.2 275.0 -17
Slide 21: Solid Progress in Refining and Chemicals' Structure Adjustment
Solid Progress in Refining and Chemicals’ Structure Adjustment Reduction of Refining and Increase of Chemicals Achieved Positive Results Crude Processing Volume Commercialization of Chemicals Products MM bbl ‘000 tons 1,228.4 1,177.5 25,756 28,853 2019 2020 2019 2020 Production of Major Refined Oil
Slide 22: Stabilized the Sales of Oil Products
Stabilized the Sales of Oil Products Strengthened the Steady Operation of the Business Chain Sales Volume of Major Refined Oil Products International Trade ‘000 tons MM tons 2020 2019 Change Sales of Refined Oil Products 161,230 187,712 -14.1% Gasoline 66,084 76,366 -13.5% 423 397 Kerosene 14,350 21
Slide 23: Promoted Natural Gas Sales and Enhanced Efficiency
Promoted Natural Gas Sales and Enhanced Efficiency Materialized Increase in Both Volume and Efficiency Sales of Natural Gas Domestic Sales of Natural Gas Sales Volume of Natural Gas to End-users Billion cubic meters Billion cubic meters Billion cubic meters 259.1 248.7 42.2 171.4 172.6 32.2 2019 202
Slide 24: Successfully Completed the Pipeline Restructuring Transaction
Successfully Completed the Pipeline Restructuring Transaction Gained Wide Support of Shareholders Equity interests and cash consideration Disposal of equites and assets* All Equity Holdings 72.26% 100% (Ownership 100% percentage varies) Provincial PetroChina Directly Affiliated The Initial Oil Netwo
Slide 25: Focused on Green and Low-Carbon Development
Focused on Green and Low-Carbon Development Sustainable Development Maintained Upward The Health, Safety and Environment (HSE) Committee under the Board was upgraded as The Sustainable Development Committee • Awarded by the Chinese • Awarded by the United Nations Global Compact government as the "Na
Slide 26: Outlook for 2021
Outlook for 2021 Situation is still complicated Favorable conditions on development still exist Global oil and gas demand gradually rebounded with economic recovery The global spread of COVID-19 pandemic led to a profound adjustment of world patterns and China enters a new stage of development and a
Slide 27: Key Initiatives and Plans for 2021
Key Initiatives and Plans for 2021 1. Emphasize on high-efficiency exploration 6. Emphasize on accelerating and profitable development, stabilize oil the deployment of new energy, production, speed up gas production and and strive to promote ESG improve the overall efficiency of domestic upstream bu
Slide 28: 2021 Operating Targets
2021 Operating Targets 2021 2020 Change Target Achievement (%) Output of crude oil 923.5 921.8 +0.2% (mm bbl) Output of natural gas 4,354.0 4,221.0 +3.2% (bcf) Oil &natural gas equivalent 1,649.4 1,625.5 +1.5% output (mm boe) Processing volume of 1,247.3 1,177.5 +5.9% crude oil (mm bbl) Capital Expe
Slide 29: Remarks by the Chairman
Remarks by the Chairman Mr. DAI Houliang Chairman
Slide 30: Important Strategic Opportunities
Important Strategic Opportunities Green Development and Energy Delivery Facilitating the growth momentum of customers and Empowering people to enjoy a better life Innovation • Strengthen and optimize oil & gas • Energy transformation towards Resources business green and low carbon • Actively expand
Slide 31: Green and Low-Carbon Transition
Green and Low-Carbon Transition Green Clean Strategic Alternative Replacement Transition Stage 2021-2025 2026-2035 2036-2050 • By 2035, endeavor to • By around 2025, achieve supply of green • By around 2050, Goal endeavor to achieve and zero-carbon energy endeavor to achieve “carbon emissions peak”
Slide 32: New Ambience in 2021
New Ambience in 2021 Technological self-reliance and self- improvement Improving the quality of oil and gas business development Deepening reform and structural adjustment Transforming towards green and low- carbon Improving corporate governance Prevention of risks Strengthen talent 32
Slide 33: Investor Relations
Investor Relations Media Relations Tel: (852)2899-2010 Tel: (852)2894-6231 Fax: (852)2899-2390 Fax: (852)2576-1990 Email: hko@petrochina.com.hk Email: petrochina@hkstrategies.com