Chinese oil giant Sinopec reports 12 % H1 profit rise

China Petroleum and Chemical Corporation (Sinopec), Asia's biggest oil refiner by volume reported a 11.9 per cent rise in its net profits for the first half of the year at  41.17 billion yuan ($6.43 billion) year-on-year.

The figures were calculated according to the international financial reporting standards, the company said.

Sinopec's first-half turnover grew 31.7 per cent year-on-year to 1.22 trillion yuan, on account of  robust domestic demand resulted in an increase in prices of crude, refined oil and chemical products, which helped to boost its performance.

The crude price increased significantly while the price of domestic refined oil products was strictly regulated''

The company said it's crude output decreased 5.4 per cent in the first half to 156.32 million barrels as maintenance activity affected overseas production. However, domestic crude output was up 0.7 per cent to 150.22 million barrels during the period which earned a profit of 112.6bn yuan in the sector, a 24 per cent jump y-o-y.

Sinopec's earnings from its exploration and oil production business surged in the first half of the year making this segment one of the biggest contributors to Sinopec's profits.