“Three barrels of oil” A shares collectively three consecutive positive Sinopec shares hit a new high of nearly four years

The “two barrels of oil” in the field of new energy and carbon reduction are the latest developments.

As of the close of business on September 23, Petrochina Company Limited(601857) ( Petrochina Company Limited(601857) .SH) shares rose 1.87% to close at 5.44 yuan per share, China Petroleum & Chemical Corporation(600028) ( China Petroleum & Chemical Corporation(600028) .SH) rose 1.82% to 4.47 yuan, and China National Offshore Oil (600938.SH) rose 1.98% to 17 yuan. This has been the “three barrels of oil” for the third consecutive trading day to close positive.

Data show that China Petroleum & Chemical Corporation(600028) current share price has hit a new high since nearly four years, up more than 25% from the low point of the year. 31 October 2018, China Petroleum & Chemical Corporation(600028) share price of 4.65 yuan / share, since then all the way down.

Petrochina Company Limited(601857) current share price is a new high in nearly three months, up about 18.5% from the year’s low; China National Offshore Oil’s current share price is up about 20% from the year’s low, but still about 12% short of the year’s high reached in mid-June.

Recently, the “two barrels of oil” have announced the latest developments in the field of new energy and carbon reduction, which to a certain extent has benefited the share price.

On September 22, Petrochina Company Limited(601857) Natural Gas Group and Petrochina Company Limited(601857) Chemical Group announced on the same day that they had jointly invested in Shanghai Jenergy Zhidian New Energy Technology Co.

SkyEye APP shows that the registered capital of Jenergy Smart Electric is 4 billion yuan, with Saic Motor Corporation Limited(600104) ( Saic Motor Corporation Limited(600104) .SH) holding 37.5% of the shares, being the first largest shareholder; China Petroleum & Chemical Corporation(600028) Sales Company Limited holding 25% of the shares, being the second largest shareholder; Contemporary Amperex Technology Co.Limited(300750) and Petrochina Company Limited(601857) tied for the third largest shareholder, holding 12.5% of the joint venture respectively.

The core business of Jenergy Smart Electric is power battery leasing, and it also carries out the business of research and development and promotion of power exchange technology, battery operation and management, and big data service.

On the same day, China Petroleum & Chemical Corporation(600028) also established China’s first carbon industry chain technology company, namely Sinopec Carbon Industry Technology Co. The company is mainly engaged in carbon dioxide capture, utilization project equity investment and carbon asset operation, providing comprehensive solutions for the carbon industry market outside China.

In addition, the recent share buyback by China Petroleum & Chemical Corporation(600028) and CNOOC has also boosted the share price to a certain extent.

On September 19, China Petroleum & Chemical Corporation(600028) announced that, because the closing price of the company’s shares is lower than the company’s net assets per share in the latest period, in order to maintain the company’s value and shareholders’ rights and interests and enhance investor confidence, it intends to use its own funds for share repurchases to promote the company’s stock market price to match the intrinsic value.

On September 21, China Petroleum & Chemical Corporation(600028) announced a simultaneous share repurchase in both A and H shares. On that day, the company repurchased 23.7 million A shares for the first time through centralized competitive trading, with a repurchase amount of 100 million yuan; and 15.11 million H shares with a repurchase amount of HK$52.08 million.

CNOOC released an announcement showing that the company repurchased 14.93 million shares, 2.758 million shares, 6.196 million shares and 965000 shares during the 13th, 14th, 19th and 21st of this month, respectively; 17.688 million shares were cancelled on September 22nd that had been repurchased.

Recently, international oil prices have oscillated above and below US$80-90/barrel.

As of the close of trading on September 22, the November crude oil spot contract of WTI on the New York Mercantile Futures Exchange closed up $0.55, or 0.66%, to $83.49/barrel; the Brent November crude oil spot contract closed up $0.63, or 0.7%, to $90.46/barrel.

On Sept. 22, Russia pushed ahead with a massive draft, sparking market concerns that an escalation in the Russia-Ukraine conflict could further hit crude supplies.

Sultan Al Jaber, chief executive of the UAE’s Abu Dhabi National Oil Company, recently said that the world’s failure to invest enough in fossil fuels before clean alternative energy can fully meet today’s energy needs will have “catastrophic consequences.

Al Jaber said that oil producers have limited ability to cope with energy supply disruptions, because the current idle crude oil capacity is less than 2% of global demand.

Yinhe futures said, short-term Fed rate hike landing, oil prices tight supply and demand, pricing back to geopolitical dominance, Russia-Ukraine war stalemate, Iranian negotiations are far away, oil prices show high volatility, short-term wide range of oscillation, the medium-term pivot downward.

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