Date
23 September 2017

Sinopec Engg sets US$3 bln offshore new contract target for 2014

Construction giant Sinopec Engineering (Group) Co. Ltd. (02386.HK) aims to bring in US$3 billion in overseas contracts this year, down from the US$3.67 billion it reaped in 2013, chief executive Yan Shaochun told a post-results briefing Monday.

Yan said the company will ramp up its efforts offshore by leveraging financing support from domestic institutions and its sophisticated technology.

“Our key markets are in the Middle East, such as Saudi Arabia, Kuwait and the United Arab Emirates. We have three major ongoing projects in Central Asia. [Projects] … in Southeast Asia, South America and Africa are also in our pipeline,” he said.

The company also aims to bring in 45 billion yuan (US$7.35 billion) in new domestic contracts this year, down from the actual amount of 59.29 billion yuan last year.

Yan also said 2014 capital expenditure will be kept within 1 billion yuan.

The company will step up research and development in new coal chemicals, but the investment amount will hinge on the central government’s environmental policy and the opportunities of finding a production base close to water and coal reserves, he said.

Yan said the global oil refining and chemical industry continues to grow, and demand in China is expected to keep expanding amid urbanization and development of the new coal chemistry industry.

– Contact HKEJ at [email protected]

JH/JP/SK

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