Sinopec, PetroChina still losing money

China’s two oil titans China National Petroleum Corp. (PetroChina) and China Petrochemical Corp. (Sinopec Group) are losing money in the refined oil wholesale businesses, said a Sinopec Group insider. Chinese refined oil wholesale prices hiked up about 1,000 yuan (US$146) per ton, as consumers and retailers rushed to stockpile in the face of the likely-to-come fuel tax. However, wholesale prices are still lower than producer prices. For instance, Sinopec Group and PetroChina Group saw their No. 90 gasoline wholesale prices reach 6,470 yuan (US$945) per ton and 6,450 yuan (US$942) in South China’s Wenzhou City on November 29, respectively, while producer prices at major refineries in east China were at 6,480 yuan (US$946) per ton. (December 2, 2008)