Daily Stock Setups

Saudi Aramco resumes talks for purchasing Sinopec refinery stake

Posted on: Thu, 12 Nov 2009 09:34:00 EST

Symbols: SNP

Are you looking to increase your ETF knowledge?

BEIJING, Nov 12, 2009 (Xinhua via COMTEX) --
SNP | Quote | Chart | News | PowerRating -- Saudi Aramco has recently resumed
negotiations with China Petroleum and Chemical Corp., also known as
Sinopec (SNP.NYSE; 600028.SH), over investing in one of the latter's
refineries located in the coastal city of Qingdao, according to the
China Ministry of Commerce on Thursday.

The Sinopec Qingdao refinery has a refining capacity of 200,000
barrels per day (bpd).

Negotiations between the two parties actually began before the
Qingdao refinery even entered into production last May. However, the
negotiations stalled midway, supposedly because Saudi Aramco worried
that the Chinese government's product oil price controls would harm
the refinery's profits.

But since China adopted the new product oil policy this January,
Saudi Aramco's interest in purchasing the equities has been aroused
once more.

Saudi Aramco's first refinery project in China entered into
commercial operation on Wednesday. The project, located in Quanzhou
city of the southeast coastal province of Fujian, is China's first
Sino-foreign joint venture combining refining and petrochemical
operations. Fujian Petrochemical, a 50-50 split joint venture between
Sinopec and the Fujian provincial government, holds half of the
4.9-billion-US-dollar plant's interest. Exxon Mobil and Saudi Aramco
hold equal shares of the remaining equity.

Traditional Chinese refineries cannot refine and process sour
Arabian crude. Thus, in order to ensure the market shares in China
and maintain exports to such a large oil consumer, the Arabian oil
companies have been seeking to establish down-stream crude oil
industries in China, mainly including refineries, storage, and
transportation facilities.

For full details on China Petroleum & Chemical Corporation ADS (SNP) SNP. China Petroleum & Chemical Corporation ADS (SNP) has Short Term PowerRatings at TradingMarkets. Details on China Petroleum & Chemical Corporation ADS (SNP) Short Term PowerRatings is available at This Link.

More News: Market Updates | Stock Alerts | All Trading News

Disclaimer:

The Connors Group, Inc. ("Company") is not an investment advisory service, nor a registered investment advisor or broker-dealer and does not purport to tell or suggest which securities or currencies customers should buy or sell for themselves. The analysts and employees or affiliates of Company may hold positions in the stocks, currencies or industries discussed here. You understand and acknowledge that there is a very high degree of risk involved in trading securities and/or currencies. The Company, the authors, the publisher, and all affiliates of Company assume no responsibility or liability for your trading and investment results. Factual statements on the Company's website, or in its publications, are made as of the date stated and are subject to change without notice.

It should not be assumed that the methods, techniques, or indicators presented in these products will be profitable or that they will not result in losses. Past results of any individual trader or trading system published by Company are not indicative of future returns by that trader or system, and are not indicative of future returns which be realized by you. In addition, the indicators, strategies, columns, articles and all other features of Company's products (collectively, the "Information") are provided for informational and educational purposes only and should not be construed as investment advice. Examples presented on Company's website are for educational purposes only. Such set-ups are not solicitations of any order to buy or sell. Accordingly, you should not rely solely on the Information in making any investment. Rather, you should use the Information only as a starting point for doing additional independent research in order to allow you to form your own opinion regarding investments. You should always check with your licensed financial advisor and tax advisor to determine the suitability of any investment.

HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING AND MAY NOT BE IMPACTED BY BROKERAGE AND OTHER SLIPPAGE FEES. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER- OR OVER-COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN.

The Connors Group, Inc.
10 Exchange Place, Suite 1800
Jersey City, NJ 07302

All analyst commentary provided on TradingMarkets.com is provided for educational purposes only. The analysts and employees or affiliates of TradingMarkets.com may hold positions in the stocks or industries discussed here. This information is NOT a recommendation or solicitation to buy or sell any securities. Your use of this and all information contained on TradingMarkets.com is governed by the Terms and Conditions of Use. Please click the link to view those terms. Follow this link to read our Editorial Policy.