Resource Tycoon Reborn

Chapter 417 Just don't lose money

Moreover, although the strength of Pingchuan Petroleum Group Company in China is not as good as that of its peers, its influence is not small. The production capacity of its two refineries, one east and one west, accounts for two of the top three domestic refineries. Although

We don’t know the cost of producing refined oil and chemical products, but Pingchuan Petroleum Group Company is definitely not losing money. Otherwise, where will the money come from to build its third refinery that can refine 20 million tons of crude oil every year?

The investment in a refinery is not a small amount. However, under the current domestic refined oil prices, it is possible to produce refined oil with a quality much higher than the national standard, but still be able to ensure profits. This is the key!

This time, the state adjusted the quality standards for automobile gasoline and adjusted many indicators upwards. Refining companies under the three major oil companies all had to formulate production suspension and rectification plans, but Pingchuan Petroleum Group Company did not need to adjust at all. The finished products produced

The oil fully complies with the new quality standards, which means that while other companies have to suspend production batches for rectification, Pingchuan Petroleum Group Company can produce at full capacity.

Moreover, senior executives of China Offshore Oil Corporation have judged that the quality standards of automotive refined oil are likely to continue to be adjusted in the next few years! There is a major gap between domestic refined oil products and those of developed foreign countries.

Large, often ten times or even dozens of times more. In the past, when domestic car ownership was low, this problem was not so prominent.

But now the number of cars in the country is growing at the rate of millions of cars every year. Last year's production and sales reached more than 6.8 million cars. At this rate, in less than two years, the number of new cars every year will be

Breaking through the 10 million mark! It is only a matter of time before the number of cars in core domestic cities like Beijing and Shanghai reaches millions. By then, oil quality will become a major problem that cannot be avoided.

As the country's core cities, Beijing and Shanghai are also China's windows to overseas countries. They represent China and allow foreigners to deeply experience the poor domestic air quality as soon as they get off the plane. Everyone wears it like SARS.

Wearing a mask is undoubtedly very embarrassing. Therefore, I dare not say that across the country, at least these core cities with high car ownership, it is expected that the oil quality standards will be raised again soon, even if they do not meet Hong Kong's standards.

, the difference cannot be very far. So instead of stopping production for rectification every now and then, it is better to simply make rectifications in place at once!

As a member of the three major oil companies, the executives of China Offshore Oil Corporation can fully imagine how the other two major oil companies will deal with this new quality standard.

Do subsidies and subsidies greatly increase production costs? If China Offshore Oil Corporation does the opposite, of course it still needs subsidies and subsidies, but it has vigorously and resolutely completed the improvement of oil quality and reached a level that far exceeds

The height of national standards is undoubtedly a brilliant achievement! It is also an opportunity to expand the company's domestic refined oil market share.

But in order to do this, how to control production costs and ensure profits is the top priority! When it comes to controlling production costs, among the domestic oil companies, Pingchuan Petroleum Group Company is naturally the one that does the best.

"Will Pingchuan Petroleum Group Company really agree to transfer or authorize us to use their patents at a low price?" Lin Yimei was still a little unbelievable. According to expert estimates, the refined oil produced using several patents of Pingchuan Petroleum Group Company,

The quality will be greatly improved compared to now, but the cost will only be 50% to 60% of that using similar foreign patented technologies. Such a sharp weapon to compete with the three major oil companies, Pingchuan Petroleum Group Company is still hiding it.

It was too late, how could it be handed over to China Offshore Oil Corporation?

"Mr. Lin, you haven't paid attention to what Mr. Fang has done in other fields, so you feel that the possibility is unlikely, and you think that if you want to transfer it, it will definitely be a high-priced transfer." Lu Yizhong chuckled. Many women are like this.

.The vision is always not broad enough. Lu Yizhong firmly believes in his own judgment. In this matter, Fang Mingyuan will definitely not refuse the China Offshore Oil Group Company for the sake of profit. Otherwise, how could he transfer the entire Nokia set in the first place?

The technology is shared with others. Although others have to pay patent fees, the asking price is not worth mentioning compared with foreign countries. How can Tangshan City be asked to rectify and transform steel companies and reduce pollution emissions?

How could a Special Steel Association be established to share patents with other steel companies?

And looking at the longer term, this is a good opportunity to further strengthen the cooperative relationship between China Offshore Oil Group Company and Pingchuan Petroleum Group Company. Both companies are weak in the country, especially Pingchuan Petroleum Group Company, which is still a private enterprise.

China is inherently at a disadvantage. Facing the powerful China Petroleum Corporation and China Petrochemical Corporation, the two companies joining forces will be a win-win situation for both Pingchuan Petroleum Corporation and China Offshore Oil Corporation.

Lu Yizhong believed that it was impossible for Fang Mingyuan not to see the relationship.

"They want Pingchuan Petroleum Group Company to process crude oil for them?" Fang Mingyuan asked again in surprise before he was sure that he was not an agent. To be honest, Huaxia Offshore Oil Group Company proposed patent transfer or authorization, and was still refueling

It was not beyond Fang Mingyuan's expectation that they would compete with the other two oil companies in the station industry. However, it was beyond Fang Mingyuan's expectation that they wanted the refinery of Pingchuan Petroleum Group Company to process crude oil for them.

Outside.

"I asked roughly, that is four to five million tons." Dudley said, "But it is quite troublesome." Pingchuan Petroleum Group Company's surplus production capacity is in Qinxi Province, and the Donghai Refinery currently has no surplus production capacity at all.

, and most of the crude oil and refined oil produced by China Offshore Oil Group are sold in coastal areas. China Offshore Oil Group is worried that once its refineries begin to rectify and improve oil products, it will originally supply refined oil.

Those private gas stations will lose their market share to other companies, or even be acquired. If we talk about the wealth and wealth, China Offshore Oil Group Company is definitely the most strapped of the three companies!

Fang Mingyuan pondered for a moment and said: "We still have space in our oil storage. Let them give us crude oil and then transport refined oil to him from Qinxi Province. The renovation project of Qinxi No. 1 Refinery has been temporarily stopped and we will fully produce and reserve refined oil.

"As for the specific price, you can negotiate with them. Don't be too demanding. We just promise not to lose money." Now that China Offshore Oil Group Company has a feeling that the two giants are about to take action again, Fang Mingyuan is very worried about the next round.

Oil shortage is coming again, so we must be prepared. The last oil shortage gave Pingchuan Petroleum Group Company the right to sell refined oil in the country. This time, he is somewhat looking forward to it.

"As long as you don't lose money?" Dudliwe's strange voice came over the phone. Obviously, this answer was far from his psychological expectations!

"Yes, as long as you don't lose money!" Fang Mingyuan repeated. He had never experienced the overwhelming situation in later generations, which could cover millions of square kilometers of land and make the daytime feel like night. It can be seen clearly under the light.

People who have witnessed countless tiny particles drifting in the wind and the haze that prevents normal outdoor activities for many days will not realize that the blue sky and white clouds, the sunshine shining on them, and the high-rise buildings can be clearly seen dozens of meters away.

Instead of a few big characters floating in the air, passers-by on the road can see their faces clearly, instead of just like during the SARS period, it was such a happy feeling. If he cared so much about profits, he wouldn't need to sell Pingchuan Petroleum Group.

The quality of the company's refined oil products has been mentioned to be at the same level as Hong Kong's.

If we can get Huaxia Offshore Oil Group to join our ranks, at least it will not hold us back in the future. At the appropriate time, we can also help Pingchuan Petroleum Group to say a few words of justice and contract for four to five million yuan.

Ton of crude oil, Fang Mingyuan is very satisfied without losing money. In the past, in order to open the door to domestic industry monopoly, he has sold more profits, let alone this.

"Is this also true for patent licensing?" Dudley clicked his tongue and asked again. He had a hunch that this might also be a loss-making business.

"Well, take some symbolically, but we must also let them understand. This is a major concession we have made considering the long-term cooperation between the two parties!" Fang Mingyuan hesitated and said, "Tom, what do you think of that plan?

Can it be expanded?"

"That plan..." Dudliwe also hesitated. After a while, he said, "Fang, are you sure?" Once that plan is officially implemented, it will be against the oil companies in China.

"Get ready, and make sure that once you decide to take action, you can start immediately!" Fang Mingyuan said firmly.

"Yes. I understand!" Dudley replied without hesitation.

"You must hurry up in the construction of new oil reserves. Oil storage must be started in the first half of 2008!" Fang Mingyuan warned again.

"By the way, Mr. Fang, Lu also proposed that both of us should be prepared to acquire private gas stations, and we cannot allow them to freely acquire them," Dudley said forcefully.

"Yes, but we need to add the Northeast region to our acquisition targets." Fang Mingyuan pondered for a moment and nodded, "My uncle will probably be transferred there, and that will be our next breakthrough." The passage to Primorsky Krai was opened, and people from

Crude oil from the Middle East can smoothly enter the hinterland of Northeast China, and with enough oil sources, even if it is the hinterland of the giant, Fang Mingyuan is confident to compete with the other party!

Fang Mingyuan put down the phone, shook his head, and sighed helplessly. With the continuous rise of crude oil prices in the international market, oil shortages can be said to be inevitable for a long time to come. This is the reform of the domestic oil system.

Lagging behind, most of the domestic market is monopolized by the two giants, and the market price of refined oil cannot fully reflect the results of international oil prices. The current refined oil pricing system rules have been set, and the domestic refined oil price is based on the three markets of New York, Rotterdam and Singapore in the previous month.

It is determined by the price of refined oil products. Only after the prices of refined oil products in these three places fluctuate to a large extent, the relevant national departments will adjust the retail prices of domestic refined oil products.

This system does not have any major problems when oil prices are relatively stable, but when international oil prices fluctuate significantly, it undoubtedly lags behind. This makes domestic oil companies only have to buy high-priced oil.

Naturally, the company is unwilling to engage in a loss-making business that can sell refined oil products domestically at low prices.

But this is only a superficial phenomenon. In essence, it is because these state-owned oil companies rely on their "natural" monopoly position in the domestic market to devour the wealth of the Chinese people, and have no intention of controlling costs at all!

The China Offshore Oil Corporation alone has nearly 100,000 employees. The internationally renowned Royal Dutch Shell Group and the American Exxon Mobil Corporation are both unbeatable and long-lived companies among the world's top 500 companies. They are major international oil companies.

A producer of natural gas and petrochemicals, its business includes oil and gas exploration and extraction, production and marketing of petroleum products and chemical products, production, processing, marketing of coal and natural gas, power generation business, and renewable energy. It has a global presence in several fields.

It is engaged in oil and gas exploration business and owns production facilities and sales products in ten countries. Exxon Mobil has also received a 3a credit rating for more than 70 consecutive years, and Royal Dutch Shell is also the world's largest retailer of automotive fuel and lubricants.

And how many employees do they have worldwide? Less than 90,000!

As for the other two giants, I am afraid only they themselves know how many employees they have. Even Fang Mingyuan has not yet fully figured it out, and it is estimated that their management does not have an accurate number. However, one thing is possible

For sure, the number must far exceed that of China Offshore Oil Corporation!

Even if China's labor cost expenditure is relatively cheap, such a large labor cost expenditure is enough to swallow up all the extremely considerable profits! Coupled with those confusing expenses that no one can explain clearly, this is why imports are

The core reason for low-quality crude oil and low-quality refined oil products, which occupy most of the Chinese market, is to ask for subsidies from the state at every turn.

China's oil industry still has a long way to go in the future, and Pingchuan Petroleum Group Corporation wants to maintain its moral bottom line in this thorny place, not to be dragged down by its peers, and to forge its own path.

You can imagine how difficult it is! (~^~)

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