The voice of reform in the oil and gas sector was higher than the waves. PetroChina and Sinopec also followed one another. At first glance, it seemed that mixed ownership had gone deeper and deeper. In fact, behind the piles of policies, the attitudes of private capital and social capital are still tangled.

“For private enterprises, there is only one more channel investment. Do you want to have a say in mixed ownership? That is not possible.” A person in charge of a private gas company told reporters: “We have no say, how can we guarantee With the right to distribute dividends, the upper and lower reaches are in the hands of others, and the biggest possibility is to make profits from dividends. I don't want to think about other aspects.”

The rigidity of the price mechanism is also an obstacle to real marketization. Even in some oil and gas fields that are already open, because of lack of control over the upstream and downstream, the price mechanism has become rigid, resulting in private capital has been stagnating. For newly opened fields, private enterprises are also worried about the control of the upstream and downstream.

The speed of reform in the oil and gas sector
The reform of the oil and gas sector has accelerated the pace of private enterprises can't be truly "delivery"

Oil and gas reform and opening up

The opening up of gas storage facilities operation management and the encouragement of ownership participation have become a new topic of mixed ownership in the oil and gas sector .

On April 29, the National Development and Reform Commission issued the "Guiding Opinions on Accelerating the Construction of Gas Storage Facilities" (hereinafter referred to as "opinions"). The Opinions encourage various ownership economies to participate in the initial investment, construction and operation of facilities, and is the latest policy in the oil and gas sector.

Earlier this year, the financial advisor of Sinopec’s sales end that introduced mixed ownership was confirmed earlier this year. Only after the financial consultant completes the audit and evaluation will the investment program be finalized. In accordance with Sinopec’s earlier reform timetable, a specific foreign investment plan will be announced in June, and private equity will share the revenue from its sales segment.

PetroChina’s reform plan focuses on its superior upstream areas. In April, PetroChina held the first meeting of the Leading Group for Comprehensive Deepening Reform, approving the proposed pilot program for the expansion of the operational autonomy of the Liaohe and Jilin Oilfields and some pipeline asset integration plans.

Upstream and pipeline are advantageous businesses of PetroChina. Sinopec's refining and downstream sales are its strengths. This means that both sides have come up with quality assets to promote mixed ownership.

However, there are also industry insiders who have reservations about this. A Sinopec subordinate unit told reporters that the overall reason is that PetroChina and Sinopec have invested heavily in recent years and the stalls have been widely distributed, so the giants need to support their continued investment through mixed ownership financing.

Even so, the opening of oil and gas still appeared in front of the public with a brand new look. The National Energy Commission meeting on April 22 and the State Council executive meeting on the 23rd all proposed that private capital and social capital should be encouraged to enter the oil and gas sector, and that 80 projects should be launched to open up for public investment.

The National Development and Reform Commission also issued a document specifically to promote the long-term supply mechanism for natural gas and the construction of gas storage facilities. It is necessary to promote oil and gas reform and introduce public funds.

The tide of reform and opening up in the oil and gas sector has gradually taken shape. Under this tide, many private companies are also actively preparing themselves and trying to move into areas that they could not touch before. Several oil equipment manufacturers that this reporter has contacted have stated that they are striving to use their own strengths to use this “wave” to extend upstream, but at present there are no substantive moves. The vice president of Shandong Kerui told reporters that he now sees opportunities but still waits and sees.

The open "meat" is not fat?

Regarding the opening of gas storage facilities and the introduction of various types of ownership investment, the above gas company sources stated that the gas storage facilities have always been open, but because they cannot make profits, private enterprises have not participated in the initiative.

The "Opinions" pointed out that China's natural gas industry maintains a rapid growth trend. The field of natural gas utilization has continued to expand and it has penetrated into various aspects such as city gas, industrial fuels, power generation, and chemical engineering.