PetroChina Parent's Overseas Production to be 50% of Total by End-2015

China National Petroleum Corp., the country’s biggest oil and gas producer, said it expects overseas output to account for half of its overall production by the end of 2015.

Output in Central Asia will expand “rapidly” during the 2011 to 2015 period, the parent of PetroChina Co. said in a statement on its website today. CNPC has operations in 29 countries including Kazakhstan.

PetroChina plans to spend at least $60 billion in the next decade on overseas takeovers to help meet domestic energy demand. The CNPC unit completed its purchase of Australian coal-bed gas producer Arrow Energy Ltd. with Royal Dutch Shell Plc for A$3.5 billion ($3.5 billion) in August and paid C$1.9 billion ($1.9 billion) for a stake in Canadian oil-sands projects in February.

CNPC will also “significantly” expand its overseas refining capacity in the next five years, the state-controlled company said in the statement.

PetroChina said in March it has already started taking initial steps in its acquisition of Scotland’s only oil- processing plant that would give the Chinese energy producer its first European refining operation.

The Hong Kong-listed unit plans to step up cooperation with national oil companies in countries like Venezuela, Russia, Iraq, Kazakhstan, Chad and Niger, President Zhou Jiping said on Aug. 26. PetroChina will also expand partnerships with major oil companies including Exxon Mobil Corp., Chevron Corp., Shell and BP Plc, according to Zhou.

--Wang Ying. Editors: Ryan Woo, Jane Lee.

To contact the reporter on this story: Ying Wang in Beijing at ywang30@bloomberg.net

To contact the editor responsible for this story: Amit Prakash at aprakash1@bloomberg.net.

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