Amily Guo's questions to PETROCHINA CO (PCCYF) leadership • Q1 2022
Question
Amily Guo from UBS asked about the profitability outlook for the Chemical and Refining segments given margin pressure from high oil prices. She also questioned if the government might re-allow refined product exports should domestic inventories increase.
Answer
An unnamed executive explained that high feedstock costs are pressuring chemical profitability, a trend expected to continue in Q2. The company is managing this by adjusting plant utilization and product mix. Regarding inventories, the executive noted they were high but are now decreasing. The company is managing this through marketing, adjusting refining capacity, and arranging some exports in strict accordance with government protocols.