SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN ISSUER
PURSUANT TO RULE 13A-16 OR 15D-16 OF
THE SECURITIES EXCHANGE ACT OF 1934
For the month of August 2006
PETROCHINA COMPANY LIMITED
16 ANDELU, DONGCHENG DISTRICT
BEIJING, THE PEOPLE'S REPUBLIC OF CHINA, 100011
(Address of Principal Executive Offices)
(Indicate by check mark whether the registrant files or will file
annual reports under cover of Form 20-F or Form 40-F.)
Form 20-F [X] Form 40-F
(Indicate by check mark whether the registrant by furnishing the
information contained in this Form is also thereby furnishing the information to
the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934.)
Yes [ ] No [X]
(If "Yes" is marked, indicate below the file number assigned to the
registrant in connection with Rule 12g3-2(b): 82-____)
PetroChina Company Limited (the "Registrant") is furnishing under the
cover of Form 6-K the Registrant's press release with respect to its interim
results for the six months ended June 30, 2006.
This press release contains "forward-looking statements" within the
meaning of Section 27A of the Securities Act of 1933, as amended, and Section
21E of the Securities Exchange Act of 1934, as amended. These forward-looking
statements are, by their nature, subject to significant risks and uncertainties.
These forward-looking statements include, without limitation, statements
relating to:
- the Registrant's plan to strengthen the operation of its core
business, fortify domestic oil and gas exploration and expand
its overseas business; and
- the Registrant's other future plans and prospects.
These forward-looking statements reflect our current views with respect
to future events and are not a guarantee of future performance. Actual results
may differ materially from information contained in these forward-looking
statements as a result of a number of factors, including, without limitation:
- fluctuations in crude oil and natural gas prices;
- failure to achieve continued exploration success;
- failure or delay in achieving production from development
projects;
- failure to complete the proposed acquisition of certain
overseas assets as planned;
- change in demand for competing fuels in the target market;
- continued availability of capital and financing;
- general economic, market and business conditions;
- changes in policies, laws or regulations of the PRC and other
jurisdictions in which the Registrant and its subsidiaries
conduct business; and
- other factors beyond the Registrant's control.
We do not intend to update or otherwise revise the forward-looking
statements in this press release, whether as a result of new information, future
events or otherwise. Because of these risks, uncertainties and assumptions, the
forward-looking events and circumstances discussed in this press release might
not occur in the way we expect, or at all.
You should not place undue reliance on any of these forward-looking
statements.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
PetroChina Company Limited
Dated: August 24, 2006 By: /s/ Li Huaiqi
--------------------------
Name: Li Huaiqi
Title: Company Secretary
(CHINESE CHARACTERS)
(LOGO) PETROCHINA COMPANY LIMITED
(CHINESE CHARACTERS) World Tower, 16 Ande Road, Dongcheng
District Beijing, 100011, P.R.China
(CHINESE CHARACTERS) TEL:86-10-84886034;84886037
PRESS RELEASE FAX:86-10-84886039
PETROCHINA 2006 INTERIM EARNINGS SET A NEW RECORD
NET PROFIT REACHES RMB80.6 BILLION
AN INCREASE OF 29% FROM SAME PERIOD LAST YEAR
23 August 2006, Beijing - PetroChina Company Limited ("PetroChina" or the
"Company", SEHK: 0857; NYSE: PTR) announced today that it recorded a net profit
of RMB80.68 billion for the six months ended 30 June 2006, representing an
increase of 29.4% from the same period of last year. Earnings per share reached
RMB0.45, which was approximately RMB0.10 higher than that for the same period of
2005.
During the first half of this year, crude oil prices remained high, and the
domestic economy grew rapidly. In response to strong domestic demand for oil and
gas, the Company upheld its business strategies for resources, marketing and
internationalization while its core businesses progressed in an orderly manner
and operations proceeded steadily. As a result, the Company attained continued
steady improvement in its key production and operational indicators, setting a
new half-year earnings record compared with corresponding periods since its
listing.
"In a bid to meet energy demand from the domestic economic growth, we spared no
efforts in production in the first half of 2006 and improved our competitiveness
and market supply capacity. At the same time, we duly increased our investment
in crude oil and natural gas exploration and development to respond to the high
oil
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prices. Thanks to such efforts throughout the Company, we made new progress in
our core business operations and the performance of the operational indicators
achieved our half-year targets," said PetroChina President Jiang Jiemin.
For the six months ended 30 June 2006, the Company recorded a turnover of
RMB326.55 billion, representing an increase of 25.3% from the same period of
last year. The half-year operating profit reached RMB115.29 billion,
representing a rise of 28.2% from the same period of last year. The Board of
Directors of the Company proposed to allocate 45% of the half-year net profit
for paying interim dividends for 2006, equivalent to approximately RMB0.202806
per share.
EXPLORATION AND PRODUCTION
Since the beginning of 2006, the Company has achieved a series of milestones in
oil and gas exploration, maintaining the growth of its oil and gas reserves. The
Company's crude oil exploration made breakthroughs in the Erdos Basin, the Tarim
Basin, and the Liaohe and Jidong tidal and shallow water areas at the Bohai Bay
Basin, all of which have good potentials for further development. In addition,
the Company marked new territories for its natural gas exploration in the
Songliao Basin, Sichuan Basin and Erdos Basin.
During the first six months of 2006, PetroChina continued to strengthen the
comprehensive management of its mature oilfields and took measures to build
capacity at both mature and new oilfields. Aiming to ensure a safe and stable
supply at core gas pipeline networks, the Company further boosted development of
its key gas fields and fortified the coordination between the production,
transportation, and marketing operations. The Company's oil and gas output
amounted to 533 million barrels of oil equivalent, representing an increase of
6.8%
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from the same period of 2005. It produced 419 million barrels of crude oil,
representing an increase of 1.8% from the same period of 2005, and 684.7 billion
cubic feet of marketable natural gas, representing an increase of 30.8% from the
same period of 2005.
During the first half of 2006, the Company's Exploration and Production segment
recorded an operating profit of RMB124.452 billion, which was RMB35.329 billion
higher than that in the same period of 2005.
REFINING AND MARKETING
In the first half of 2006, the Company's Refining and Marketing segment
maintained steady growth by responding to market changes with optimized
resources allocations and product mix as well as systematically coordinated
operations. The Company processed 393 million barrels of crude oil, representing
an increase of 3.6% from the same period of 2005. It produced 11.064 million
tons of gasoline and 22.217 million tons of diesel, representing an increase of
3.2% and 2.6%, respectively, from the same period of 2005. The retail volume
reached 23.62 million tons, representing a rise of 29.2% from the same period of
2005.
During this period, the Company continued to expand its marketing network for
refined products by expanding service stations into key regional markets and
major metropolitan areas, as well as along transportation routes. By 30 June
2006, the Company's service stations totaled 17,952, representing an increase of
4.3% from the same period of 2005.
During the first half of 2006, the Company's Refining and Marketing segment
recorded an operating loss of RMB13.889 billion as the ex-factory prices for
refined products in China are not in line with prices of refined products in
international
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market as a result of the Chinese government's macroeconomic controls on refined
product prices domestically. However, through strengthening its business
management the Company further improved the segment's key technical indicators.
CHEMICALS AND MARKETING
In face of challenges posed by large scale, routine facility maintenance and
heavy construction commitment in the first six months of the year, the Company
reinforced its business operations and management, as well as increased the
output of products with high added value. The Company produced 1.003 million
tons of ethylene, 0.155 million tons of synthetic rubber, and 1.525 million tons
of synthetic resin during the period, representing an increase of 6.6%, 9.2% and
16.3% respectively from the same period in 2005.
In the first half of 2006, the Company's Chemicals and Marketing segment
recorded an operating profit of RMB2.908 billion, which was RMB2.848 billion
lower than that of a year ago which was mainly due to the increased raw
materials prices.
NATURAL GAS AND PIPELINE
During the first half of 2006, the construction of major oil and gas pipelines
proceeded smoothly as scheduled. The crude oil pipeline between Alashankou and
Dushanzi has started commercial operations. The construction of compression and
auxiliary facilities for the West-East Gas Pipeline advanced smoothly. The trunk
line of the Ji-Ning Connection Line linking the Second Shaanxi-Beijing Gas
Pipeline with the West-East Gas Pipeline has been put into service, while the
construction of the Huai-Wu Connection Line linking the Zhongxian-Wuhan Gas
Pipeline with the West-East Gas Pipeline has completed more than 90%.
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During the first half of 2006, the Natural Gas and Pipeline segment recorded an
operating profit of RMB4.587 billion, increasing by RMB3.109 billion from the
same period of 2005.
OVERSEAS BUSINESS
By leveraging the operations of CNPC Exploration and Development Company Limited
("CNPC E&D"), a joint venture with its parent China National Petroleum
Corporation, the Company made steady growth in overseas business in the first
half of 2006. During the period, CNPC E&D's overseas net oil and gas production
amounted to 27.20 million barrels of oil equivalent, representing an increase of
10.1% from the same period of 2005.
PROSPECTS FOR THE SECOND HALF OF 2006
Looking forward into the second half of 2006, the Company expects to continue to
operate in an overall favorable economic environment. The Company will continue
to strengthen the operation of its core businesses, further fortify domestic oil
and gas exploration and development, reinforce its resources base, as well as
steadily expand its overseas businesses. While continuing to prioritize "safety,
environment and people orientation", the Company will strive to further
strengthen the foundation of operational safety and environment protection, and
actively fulfill its corporate social responsibilities, as the Company aims to
accomplish its full-year business goals and ensure its sustainable growth in the
long term.
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Additional information on PetroChina is available at the Company's website:
http://www.petrochina.com.cn
Issued by PetroChina Company Limited.
For further information, please contact:
Mr. Mao Zefeng, Assistant Secretary to the Board of Directors
Tel: (852) 2899 2010 Fax: (852) 2899 2390
Email: hko@petrochina.com.hk
Distributed through Hill & Knowlton Asia Ltd. For enquiries, please contact:
Ms. Helen Lam Fax: (852) 2576 1990
Tel: (852) 2894 6204 / 9277 7672 Email: helen.lam@hillandknowlton.com.hk
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