Top Asia oil refiner Sinopec Q4 dives two-thirds

HONG KONG (Reuters) – Top Asian oil refiner Sinopec Corp posted a nearly two-thirds fall in quarterly net profit, as high oil prices squeezed its refining business into the red, and it faces an even tougher 2008.

Sinopec, which vies with PetroChina and CNOOC Ltd to fuel the world’s largest oil market after the United States, reported a net profit of 6.71 billion yuan ($956.5 million) versus a slightly revised 18.82 billion yuan a year earlier.


The result lagged a consensus forecast of 12.75 billion yuan from 20 analysts polled by Reuters Estimates.

Global crude oil prices CLc1 jumped to $96 at the end of last year from $80 a barrel by the end of September, before striking an all-time high above $110 in March. High crude prices tend to favour crude oil producers while hurting refiners.

Reuters