PetroChina to boost retail outlets

PetroChina aims to boost the number of it service stations by almost 40% by the end of 2010, to 25,000 outlets. China’s largest oil producer, which currently operates 17,952 stations, aims to achieve an annual retail volume of 60 million tons and sell 60% of it through retail outlets by the end of the decade, parent China National Petroleum Corp. said. In the first half, PetroChina sold 53.1% of its fuel products via retail outlets, which provide bigger profit margins than through wholesale or direct sales. PetroChina is restructuring its retail network by expanding high-throughput stations. Retail outlets with annual sales volume of more than 10,000 tons make up less than 3% of its network but account for 20% of total sales. The energy giant’s retail outlets grew only 4.4% last year, compared with 14%in 2004 and 15.7% in 2003.(July 20, 2006)