The local refinery is an economic group with Chinese characteristics. Despite the bumpy road of development, with the rapid growth of economy and oil demand in China, rapid development has been achieved in recent years and it has become an important force in the supply of refined oil products in China.
The Kunlun consulting current, recommend to friends, chairman of the China (refinery) oil procurement alliance, Dongming petrochemical group, director, vice President of general coordinator of the overseas Zhang Liucheng exclusive authorized, for friends who are concerned about development of the local refinery.
By the end of 2015, China's total refining capacity exceeded 700 million tons. With the production of new capacity, the refining capacity will exceed 900 million tons in the next few years, it will far exceed the domestic demand. The competition in China's oil refining industry has intensified.
China's independent refiners have a processing capacity of close to 200 M tonnes, accounting for a quarter of China's 730 million tonnes of refining capacity. Shandong independent smelter has a capacity of 140 million tons, accounting for 19.6% of China's refining capacity, and its secondary processing capacity is relatively large.
As of now, 21 local independent refiners have received a quota of 7983 million tons of crude oil and 55.73 million tons of non-state trade imports.
The import volume of 55 million 730 thousand tons, the winner of Lijin respectively oil chemical co., LTD., kenley petrochemical group co., LTD., Dongming petrochemical group co., LTD., Panjin north asphalt fuel petrochemical group co., LTD., Ningxia pagoda petrochemical co., LTD, Dongying city, Shandong province HSBC petrochemical group co., LTD., Shandong Shouguang celestica chemical co., LTD., petrochemical, JiRun LuQing, Beijing chemical and sea petrochemical, radical petrochemical, Wudi Xinyue. Recently, six local independent refineries are applying for crude oil, the total amount of imported crude oil from the above local refiners is about 15 million tons.
About 30 independent refiners have either obtained or are applying for the right to import crude oil and import rights, with a cumulative capacity of 114 million tons. A total of 100 million tonnes of imported crude oil is expected to be used, close to a third of the size of existing Chinese crude imports. The increase in demand for crude oil from China's local independent refiners will be one of the few bright spots in the current sluggish international oil market.
Since Dongming petrochemical first obtained the import and use of crude oil, China's local oil refining enterprises have made great improvements from the construction rate, the enterprise efficiency, the product structure and the sales structure.
After obtaining sufficient raw materials, the operation rate of local independent refinery has been significantly improved. Among them, the independent refinery with qualification in Shandong province reached 73.8 percent in 1-9 2016, a 35% increase from the previous year. The total processing volume was 65 million tons, up 55%, and the production of gasoline and diesel increased by 14% and 23% respectively.
In December 2015, Dongming petrochemical obtained the qualification of processing and re-export of incoming materials, and achieved zero breakthrough in the export of refined oil products from domestic independent refineries. The export of refined oil products from local independent refineries in 2016 has been slow to increase due to restrictions on ports and logistics and unsustainable export policies. But as an incremental impact on the international oil market, it has become an important force in the international market.
The operation of local independent refining enterprises has improved greatly since 2015. Take Shandong province, the most concentrated independent refinery, for example. in the first three quarters of 2016, Shandong refining enterprises processed about 65 million tons of raw materials. The annual processing capacity is expected to reach 90 million tons, and the processing quantity, main business income, profits tax amount and capacity profit margin all show significant growth. A tax increase of 177% for qualified enterprises is 55% higher than that of unqualified enterprises.
This year from 1 to September, the province's refining industry to achieve main business income of 362 billion 500 million yuan, an increase of 18.5%, an increase of 6.6 percentage points over the first half; The profit tax was 231 billion yuan, with a profit of 9.8 billion yuan, up by 119% and 76% respectively. The annual business income is expected to be 500 billion yuan, accounting for about 10 percent of the province's 5 trillion GDP, with an increase in economic accounting and 30 percent of GDP growth.
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