Sinopec Corp. Q Results Announcement. 29 October 2010

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1 Sinopec Corp. Q Results Announcement 29 October 2010

2 Disclaimer i As required by the CSRC, financial statements of the third quarter of Sinopec Corp. (the Company ) were prepared under PRC Accounting Rules and Regulations. The Company has adjusted part of the financial data in accordance with the International Financial Reporting Standards hereby for the reference of international investors. Financial data of the third quarter contained in the presentation and presentation materials are unaudited. This presentation and the presentation materials distributed herein include forward-looking statements. All statements, other than statements of historical facts, that address activities, events or developments that Sinopec Corp. expects or anticipates will or may occur in the future (including but not limited to projections, targets, estimates and business plans) are forward-looking statements. Sinopec Corp.'s actual results or developments may differ materially from those indicated by these forward-looking statements as a result of various factors and uncertainties, including but not limited to price fluctuations, actual demand, exchange rate fluctuations, exploration and development outcomes, estimates of proven reserves, competition, environmental risks, changes in legal, financial and regulatory frameworks, international economic and financial market conditions, political risks, project delay, project approval, cost estimates and other risks and factors beyond our control. In addition, Sinopec Corp. makes the forward-looking statements referred to herein as of today and undertakes no obligation to update these statements. 2

3 Market Environment in Q1-Q3 Q China s GDP grew by 10.6% in the first nine months of 2010 International crude oil traded within a certain range, and refined oil products prices were adjusted twice in line with the crude price trend Government raised the onshore wellhead benchmark natural gas price and launched resource tax reform for oil & gas in Xinjiang Domestic demand for oil products and chemical products increased steadily Domestic consumption of refined oil products grew by 11% yoy Domestic ethylene-equivalent consumption grew by 8.3% yoy 3

4 Financial i Performance RMB millions Change % Turnover and other operating revenues 1,427, , EBITDA 125, , EBIT 81,861 73, Net profit attributable to equity shareholders 56,445 50, EPS (RMB) Note: Including equity interest in Angola Block 18 project 4

5 Financial i Position RMB millions As of 30 Sep As of 31 Dec Short-term debts 36,703 59,350 Long-term debts 136, ,918 Total equity attributable to equity shareholders 404, ,072 RMB million Net cash generated from operating activities 94,958 Net cash used in investing activities iti 53, Net cash used in financing activities 39,825 Cash & cash equivalents - ending balance 10,378 5

6 E&P Operational Summary & Performance Change % Crude production (million tonnes) note1 note Gas production (billion cubic meters) note Crude realized Price (RMB/tonne) 3,411 2, Gas realized Price (RMB/ 000 cubic meters) 1, Oil & gas lifting cost (RMB/tonne) EBIT (RMB million) 40,838 16, Note1: Including equity interest in Angola Block 18 project Note2: Domestic crude oil: 1 tonne = 7.1 barrels,1 cubic meter = cubic feet. Overseas crude oil:1 tonne = 7.27barrels 6

7 Refining i Operational Summary (million tonnes) Change % Refinery throughput Gasoline production Diesel production Kerosene incl. jet fuel production Light chemical feedstock production Light yield (%) bps Refining yield (%) bps 7

8 Refining i Segment Performance Refining Margin / EBIT of Refining Segment Cash Operating Cost RMB/tonne RMB millions , , '09 1-9' '09 1-9'10 Refining margin Cash operating cost 8

9 Marketing Operational Summary (million tonnes) Change % Domestic sales of refined oil products of which Retail Distribution Wholesale Annualized pumped volume of selfoperated stations (tonnes/station) 2,901 2, As of 30 Sep As of 31 Dec Change % Total no. of service stations 30, , of which Self-operated 29,467 29, Franchised (9.3) 9

10 Marketing Segment Performance Maximum Retail Price of Gasoline and Diesel vs Crude oil Price RMB/tonne USD/bbl EBIT of Marketing Segment RMB millions 25,000 22,377 23,306 20, , RON 90# Gasoline 0# Diesel 4000 Dubai Crude (Right Scale) ,000 5, '09 1-9'10 10

11 Chemicals Operational Summary 000 tonnes Change % Ethylene 6,610 4, Synthetic resin 9,532 7, Monomer & polymer for synthetic fiber 6,524 5, Synthetic fiber 1, Synthetic rubber Urea 1,128 1,402 (19.5) Note: 100% production of JVs included. 11

12 Chemicals Segment Performance Int l Chemicals Price Spread (2005-Sep. 2010) USD/tonne EBIT of Chemicals Segment RMB millions 15,000 14, ,000 10, , LDPE-Naphtha PP-Naphtha '09 1-9'10 12

13 Capital Expenditure Q1-Q3 Q 2010 Capex: RMB bn E&P RMB billion, added d 3.83 million tonnes/year crude oil capacity and 561 million RMB million cubic meters/year gas capacity. The Sichuanto-Eastern China Gas Project started 112,000 commercial operation. 120, ,000 80,000 60,000 40,000 20, , Plan Corporate & Others Marketing E&P Chemicals Refining Refining RMB billion, mainly for upgrading refineries to produce higher-spec oil products and process lower-grade crude, and for construction of logistics systems. Marketing RMB billion, mainly for expanding marketing network and developing 1,282 service stations. Chemicals RMB billion: ethylene projects in Tianjin and Zhenhai were put into operation. Corporate and Others RMB billion 13

14 For Further Information Investor Relations Beijing: Tel: (8610) Fax: (8610) Hong Kong: Tel: (852) Fax: (852) New York: Tel: (212) Fax: (212) Media Inquiry Tel: (8610) Fax: (8610)

2010 Interim Results Presentation. August 23, 2010 Hong Kong

2010 Interim Results Presentation. August 23, 2010 Hong Kong Sinopec Corp. 21 Interim Results Presentation August 23, 21 Hong Kong Disclaimer i This presentation and the presentation materials distributed herein include forwardlooking statements. All statements,