Sinopec Profits More Than Doubled in 2009

Sinopec, Asia’s biggest refiner by volume, said profit more than doubled in 2009 on lower crude oil costs and a revival in demand amid China’s stimulus-fueled recovery.

Sinopec, also known as China Petroleum & Chemical Corp., said profit for 2009 rose to 61.3 billion yuan ($8.97 billion) or 0.7 yuan (10 cents) a share. Its profit in 2008 was 28.4 billion yuan.

The company has benefited from the government’s decision to ease controls that battered Sinopec in previous years by preventing it from passing on record crude costs to consumers. Beijing raised state-set prices of gasoline and diesel several times last year to reflect higher global oil costs.

Sinopec said it paid an average of $61.50 per barrel for crude oil last year, down 36.6 percent from the year before.

But lower prices also took a bite out of Sinopec’s revenue, which fell 10 percent to 1.35 trillion yuan ($197.7 billion) from 1.5 trillion yuan the year before.

SHANGHAI (AP)