PetroChina to sell 70% equity in PetroChina International.(NEWSDESK: Acquisition)

China Chemical Reporter, March, 2007

On March 19th, 2007 PetroChina Company Limited (PetroChina) announced that it plans to sell 70% equity in PetroChina International Co., Ltd. to its parent company--China National Petroleum Corporation (CNPC), for an initial consideration of RMB 117 million.

PetroChina International, established in January 2002, is an international trading company, focusing on import and export of products and technologies with export and import right for crude oil. As of December 31st, 2006 its total net assets and net profits were approximately RMB1.275 billion and RMB273 million respectively. PetroChina holds its 90% interests.

This divestment resulted in the strategy of PetroChina International being not consistent with that of PetroChina.