REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 |
ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
TRANSITION REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Title of each class |
Trading Symbol(s) |
Name of each exchange on which registered | ||
* |
t for trading, but only in connection with the registration of American Depositary Shares. The H Shares are also listed and traded on The Stock Exchange of Hong Kong Limited. |
☒ |
Accelerated Filer |
☐ | ||||||
Non-Accelerated Filer |
☐ |
Emerging growth company |
U.S. GAAP ☐ |
Other ☐ | |||||
by the International Accounting Standards Board |
☒ |
* |
This requirement does not apply to the registrant in respect of this filing. |
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• | amount and nature of future development; |
• | future prices of and demand for our products; |
• | future earnings and cash flow; |
• | capital expansion programs; |
• | future plans and capital expenditures; |
• | expansion and other development trends of the petrochemical industry; |
• | expected production or processing capacities, including expected Rated Capacities and primary distillation capacities, of units or facilities not yet in operation; |
• | expansion and growth of our business and operations; and |
• | our prospective operational and financial information. |
• | fluctuations in crude oil and natural gas prices; |
• | fluctuations in prices of our products; |
• | failures or delays in achieving production from development projects; |
• | potential acquisitions and other business opportunities; |
• | continued availability of capital and financing; |
• | changes to environmental and economic regulations; |
• | general economic, market and business conditions, including volatility in interest rates, changes in foreign exchange rates and volatility in commodity markets; and |
• | other risks and factors beyond our control. |
A. |
Capitalization and Indebtedness. |
B. |
Reasons for the Offer and Use of Proceeds. |
C. |
Risk Factors. |
• | has reduced tariffs on imported petrochemicals products that compete with ours; |
• | increased levels of permitted foreign investment in the domestic petrochemicals industry, allowing foreign investors to own 100% of a domestic petrochemicals company from December 11, 2004; |
• | has gradually relaxed restrictions on the import of crude oil by non-state-owned companies; |
• | has granted foreign-owned companies the right to import petrochemical products; and |
• | has permitted foreign-owned companies to distribute and market fuel products in both retail and wholesale markets in China. |
• | the imposition of environmental protection tax for the discharge of waste substances; |
• | the levy of payments and fines for damages for serious environmental offenses; |
• | the government to close down or suspend any facility which has caused or may cause environmental damages and require it to correct or stop operations causing environmental damages; and |
• | lawsuits and liabilities arising from pollutions and damages to the environment and public interests. |
• | debt service costs on foreign currency-denominated debt; |
• | purchases of imported equipment; |
• | payment of any cash dividends declared in respect of the H Shares and the ADSs; and |
• | import of crude oil and other materials. |
• | mandating distribution channels for our fuel products; |
• | setting the allocations and pricing of certain resources, products and services; |
• | assessing taxes and fees payable; |
• | setting import and export quotas and procedures; and |
• | setting safety, environmental and quality standards. |
• | actual or anticipated fluctuations in our quarterly results of operations; |
• | changes in financial estimates by securities research analysts; |
• | conditions in petroleum and petrochemical markets; |
• | changes in the operating performance or market valuations of other petroleum and petrochemical companies; |
• | announcements by us or our competitors of new products, acquisitions, strategic partnerships, joint ventures or capital commitments; |
• | fluctuations of exchange rates between RMB and the U.S. Dollar; and |
• | general economic or political conditions in China or elsewhere in the world. |
• | synthetic fibers, |
• | resins and plastics, |
• | intermediate petrochemicals, and |
• | petroleum products. |
Synthetic fibers |
2.45 | % | ||
Resins and plastics |
11.33 | % | ||
Intermediate petrochemicals |
11.71 | % | ||
Petroleum products |
48.98 | % | ||
Trading of petrochemical products |
24.63 | % | ||
Others |
0.90 | % | ||
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Total |
100.00 | % | ||
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Synthetic fibers |
2.39 | % | ||
Resins and plastics |
15.30 | % | ||
Intermediate petrochemicals |
13.33 | % | ||
Petroleum products |
48.96 | % | ||
Trading of petrochemical products |
18.81 | % | ||
Others |
1.21 | % | ||
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Total |
100.00 | % | ||
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Synthetic fibers |
1.81 | % | ||
Resins and plastics |
13.13 | % | ||
Intermediate petrochemicals |
14.21 | % | ||
Petroleum products |
55.19 | % | ||
Trading of petrochemical products |
14.56 | % | ||
Others |
1.10 | % | ||
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Total |
100.00 | % | ||
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Eastern China |
Other parts of China |
Exports |
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Synthetic fibers |
89.32 | 10.68 | 0.00 | |||||||||
Resins and plastics |
83.40 | 16.60 | 0.00 | |||||||||
Intermediate petrochemicals |
93.88 | 5.42 | 0.70 | |||||||||
Petroleum products |
85.40 | 0.55 | 14.05 | |||||||||
Trading of petrochemical products |
48.48 | 48.26 | 3.26 | |||||||||
Total net sales |
78.36 | 3.36 | 18.28 |
Eastern China |
Other parts of China |
Exports |
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Synthetic fibers |
89.85 | 10.15 | 0.00 | |||||||||
Resins and plastics |
91.93 | 8.07 | 0.00 | |||||||||
Intermediate petrochemicals |
94.72 | 4.06 | 1.22 | |||||||||
Petroleum products |
91.35 | 0.24 | 8.41 | |||||||||
Trading of petrochemical products |
61.08 | 5.61 | 33.31 | |||||||||
Total net sales |
86.92 | 2.64 | 10.45 |
Eastern China |
Other parts of China |
Exports |
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Synthetic fibers |
91.68 | 8.32 | 0.00 | |||||||||
Resins and plastics |
94.99 | 5.01 | 0.00 | |||||||||
Intermediate petrochemicals |
97.12 | 1.18 | 1.70 | |||||||||
Petroleum products |
91.80 | 0.39 | 7.81 | |||||||||
Trading of petrochemical products |
64.54 | 3.11 | 32.35 | |||||||||
Total net sales |
89.28 | 1.43 | 9.29 |
• | Focus on green and clean energy for consolidating environmental protection |
• | Focus on improving quality and efficiency through the continuous optimization of production and operation |
• | Advance reformations further and raise efficiencies in corporate governance |
• | Focus on creativity-driven development so as to realize high-quality corporate development |
• | Focus on team building and cementing solid foundation for development |
Products |
Production |
Sales |
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2021 (10,000 tons) |
2020 (10,000 tons) |
Year-on-year change |
2021 (10,000 tons) |
2020 (10,000 tons) |
Year-on-year change |
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Diesel Note1 |
338.80 | 398.21 | -14.92 | % | 338.10 | 398.61 | -15.18 | % | ||||||||||||||||
Gasoline |
339.64 | 327.30 | 3.77 | % | 340.23 | 328.18 | 3.67 | % | ||||||||||||||||
Jet Fuel Note1 |
118.45 | 112.45 | 5.34 | % | 99.57 | 99.43 | 0.14 | % | ||||||||||||||||
Paraxylene |
49.63 | 66.24 | -25.08 | % | 46.53 | 45.64 | 1.95 | % | ||||||||||||||||
Benzene Note2 |
30.67 | 37.21 | -17.58 | % | 29.99 | 33.14 | -9.51 | % | ||||||||||||||||
Ethylene Glycol |
15.07 | 23.67 | -36.33 | % | 4.14 | 12.73 | -67.48 | % | ||||||||||||||||
Ethylene Oxide |
33.56 | 31.30 | 7.22 | % | 32.78 | 30.53 | 7.37 | % | ||||||||||||||||
Ethylene Note2 |
71.28 | 82.52 | -13.62 | % | — | — | — | |||||||||||||||||
Polyethylene |
49.62 | 58.12 | -14.62 | % | 49.63 | 57.85 | -14.21 | % | ||||||||||||||||
Polypropylene |
45.59 | 49.29 | -7.51 | % | 42.26 | 45.16 | -6.42 | % | ||||||||||||||||
Polyester Pellet Note2 |
34.34 | 33.99 | 1.03 | % | 30.24 | 29.33 | 3.10 | % | ||||||||||||||||
Acrylic |
7.10 | 11.55 | -38.53 | % | 7.32 | 11.69 | -37.38 | % | ||||||||||||||||
Polyester Staple |
2.62 | 3.37 | -22.26 | % | 2.73 | 3.40 | -19.71 | % | ||||||||||||||||
Product |
% of net sales |
Typical Use | ||
SYNTHETIC FIBERS |
||||
Polyester staple fiber |
0.22 | Textiles and apparel | ||
Acrylic staple fiber |
1.52 | Cotton type fabrics, wool type fabrics | ||
Others |
0.07 | |||
Sub-total |
1.81 |
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RESINS AND PLASTICS |
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Polyester chips |
2.22 | Polyester fibers, films and containers | ||
Polypropylene pellets |
4.80 | Films, ground sheeting, wire and | ||
cable compound and otherinjection molding products such as housewares and toys Polyethylene pellets |
4.19 | Films or sheets, injection molding | ||
products such as housewares, toys and household electrical appliances and automobile parts Polyvinyl alcohol (“PVA”) |
0.01 | PVA fibers, building coating materials and textile starch | ||
Others |
1.91 | |||
Sub-total |
13.13 |
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INTERMEDIATE PETROCHEMICALS |
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Ethylene |
0.00 | Feedstock for polyethylene, ethylene glycol, polyvinyl chloride and other | ||
intermediate petrochemicals which can be further processed into resins, plastics and synthetic fiber. |
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Ethylene oxide |
2.91 | Intermediate products for the chemical and pharmaceutical | ||
industry, including dyes, detergents and adjuvant |
Product |
% of net sales |
Typical Use | ||
Benzene |
2.42 | Intermediate petrochemical products, styrene, plastics, explosives, dyes, detergents, epoxies and polyamide fiber | ||
Paraxylene |
3.44 | Intermediate petrochemicals and polyester | ||
Butadiene |
0.82 | Synthetic rubber and plastics | ||
Ethylene glycol |
0.25 | Fine chemicals | ||
Others |
4.37 | |||
Sub-total |
14.21 |
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PETROLEUM PRODUCTS |
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Gasoline |
22.70 | Transportation fuels | ||
Diesel |
18.13 | Transportation fuels and agricultural machinery fuels | ||
Jet Fuel |
4.83 | Transportation fuels | ||
Others |
9.53 | |||
Sub-total |
55.19 |
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Trading of petrochemical products |
14.56 | Import and export trade of petrochemical products (purchased from domestic and overseas suppliers) | ||
Others |
1.10 | |||
Total |
100.00 |
Product |
Industry segment |
Primary upstream raw material |
Transport/storage method |
Primary downstream application fields |
Key price-influencing factors | |||||
Diesel |
Petroleum products | Petroleum | Pipeline transportation and shipping/ storage tank | Transportation fuel, agricultural machinery fuel | International crude oil price, government control | |||||
Gasoline |
Petroleum products | Petroleum | Pipeline transportation and shipping/ storage tank | Transportation fuel | International crude oil price, government control | |||||
Jet Fuel |
Petroleum products | Petroleum | Pipeline transportation and shipping/ storage tank | Transportation fuel | International crude oil price, supply- demand balance | |||||
Paraxylene |
Intermediate petrochemicals | Naphtha | Road transportation/ storage tank | Intermediate petrochemical products and polyester | Raw material price, supply-demand balance | |||||
Benzene |
Intermediate petrochemicals | Naphtha | Road transportation, shipping, rail transportation/ storage tank | Intermediate petrochemical products, styrene, plastic, explosive, dye, detergent, epoxy resin, chinlon | International crude oil price, market supply- demand condition | |||||
Ethylene Glycol |
Intermediate petrochemicals | Naphtha | Road transportation/ storage tank | Fine Chemicals engineering | International crude oil price, market supply- demand condition |
Product |
Industry segment |
Primary upstream raw material |
Transport/storage method |
Primary downstream application fields |
Key price-influencing factors | |||||
Ethylene Oxide |
Intermediate petrochemicals | Naphtha | Road transportation, pipeline transportation/ storage tank | Chemical and medical industry intermediate products, including dyes, detergents and auxiliary | International crude oil price, market supply- demand condition | |||||
Ethylene |
Intermediate petrochemicals | Naphtha | Road transportation, pipeline transportation, shipping/storage tank | PE, EG, PVC and other raw material for further processing of intermediate petrochemical products such as resins, plastics and synthetic fibres | International crude oil price, supply- demand balance | |||||
Polyethylene |
Resins and plastics | Ethylene | Road transportation, shipping and rail transportation/ warehousing | Film, mulching film, cable insulation material and housewares, toys injection moulding products | Raw material price and market supply- demand condition | |||||
Polypropylene |
Resins and plastics | Propylene | Road transportation, shipping and rail transportation/ warehousing | Film, mulching film, housewares, toys, household appliances and auto parts injection moulding products | Raw material price and market supply- demand condition | |||||
Polyester chips |
Resins and plastics | PTA, EG | Road transportation, shipping and rail transportation/ warehousing | Polyester fibre or film, container | Raw material price and market supply- demand condition | |||||
Acrylics |
Synthetic fibres | Acrylonitrile | Road transportation, shipping and rail transportation/ warehousing | Simple spinning or blend with other material for texture or acrylic top | Raw material price and market supply- demand condition | |||||
Polyester | Synthetic fibres | Polyester | Road transportation, shipping and rail transportation/warehousing | Texture, apparel | Raw material price and market supply- demand condition |
Domestic offshore crude oil |
1.05 | % | ||
Imported crude oil |
98.95 | % | ||
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Total: |
100.00 | % | ||
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