Chinese Oil Billionaire United Energy Says 1st-Half Profit Soared
OREANDA-NEWS. August 13, 2013. China’s energy business is largely under the purview of big government-controlled companies such as PetroChina PTR +2.17%, Cnooc CEO +2.59% and Sinopec. An oil company led by one of only a handful of private sector entrepreneurs to make a large fortune in the field reported a big jump in profit.
Hong Kong-listed United Energy Group’s net profit in the six months to June more than doubled to HKD 525 million, or USD67 million, from HKD 214 million a year earlier, according to a company announcement.
Earnings rose on increased production and higher oil prices, United said. Revenue climbed to HKD 2.3 billion from HKD 1.4 billion a year earlier. Union acquired the upstream operations of BP BP +0.68% in Pakistan for USD 775 million in 2011, and has since increased its production there. Last October, it announced a “production cooperation agreement” with Chinese government-run China Development Bank for USD 5 billion, giving providing capital for additional acquisitions.
Union’s chairman Zhang Hongwei ranked No. 825 on the 2013 Forbes Billionaires List with wealth of USD 1.85 billion.