Chairman of PetroChina discusses Middle East situation: Local investments are affected, but oil and gas operations are maintaining stable operations at a relatively high load.

Sina Finance News on March 30th: In response to the continued tension in the Middle East, Dai Houliang, Chairman of China National Petroleum Corporation, responded to the business impact at the 2025 annual performance meeting held in Hong Kong on March 30th. According to several Hong Kong media reports, Dai Houliang stated that the overall operation of the company is currently normal, with crude oil and natural gas imported through the Strait of Hormuz accounting for about 10% of the company's total operations. Therefore, the company's oil and gas industry chains can ensure long-term stable operation at a relatively high load. However, he mentioned that investment business in the Middle East has indeed been affected to varying degrees. Last year, the company formulated a trade guarantee supply emergency plan to maintain the security and stability of the industrial chain and supply chain, which is currently being implemented in an orderly manner and will continue to be tested and improved in practice. Dai Houliang stated that although the situation in the Middle East is still not optimistic, CNPC diversifies its raw material sources to spread risks, and with sufficient upstream supply, more than 90% of the load can operate stably in the long term. Combined with innovative research and development investment, the company's performance in the chemical industry is expected to be optimistic this year. Dai Houliang stated that CNPC's chemical structure has obvious advantages. Among them, the ethylene project with an annual production capacity of 2 million tons has been completed and is strengthening production capacity effects. In addition, the company is continuously advancing the "15th Five-Year Plan" to further optimize the utilization rates of upstream ethane and ethylene. He added that ethane and ethylene have the highest economic benefits, with an ethylene conversion rate of about 80%, making them highly competitive.