In 2006, the total production value of oil and natural gas exploitation industry rose to 759.073 billion yuan with 24.74% year-on-year increase, 16.56 percent lower than the increment of last year; the total industry finished 773.656 billion yuan sales revenue with 27.24% year-on-year increase, 12.54 percent lower than the increment of last year. The main reason for the industry growth decline is the raw oil price in international market went back.
In 2006, the total industry realized 363.569 billion yuan profits with 24.22% year-on-year increase, 43.49 percent lower than the increment of last year. The industry benefits growth experienced a large decline. However, the industry suffered a minor loss. The whole oil and natural gas exploitation industry accumulated 715 million yuan deficit with 37.51% year-on-year decline. The deficit was reduced largely.
The cost of oil and natural gas exploitation was stable, and had a limited impact on the industry economic benefits. In particular, the cost factor worked less weightily when the energy price mounted up. In 2006, the sale cost increase speed rose with the increasing sale scale.
Firstly, the industry sale cost scale was small, and the increase speed rose. In 2006, the sale cost accumulated 322.69 billion yuan with 30.89% year-on-year increase, 7.45 percent higher than the increment of last year.
Secondly, the increment of sale cost is a little bit higher than that of corresponding sale revenue. The whole industry accumulative sale cost increment was 3.65 percent higher than the corresponding sale revenue increment. The main reason for this is that the raw oil price went back, and affected revenue growth. However, the cost growth played limited influences to industry profits.
The capital growth speed rose slightly and the ratio of capital and debt of whole industry in 2006 was low. As to the capital circulation, the receivables growth speed was slow in 2006. Compared with the same period of last year, the receivables growth speed was dropped obviously; the scale was relatively small. The capital ran healthily.
The debt ratio of 2006 oil and natural gas exploitation was 37.83% with 3.51 percent year-on-year increase. The accumulative receivables of whole industry in 2006 were only 26.5 billion yuan with 9.41% year-on-year increase, 13.76 percent lower than the increment of last year. The receivables were relatively small compared with sale revenue.
The oil and natural gas exploitation industry has a high centralized feature. The top 10 enterprises of sale revenues in 2006 totaled up 510.002 billion yuan, accounting for 65.92% of total sale revenues. Compared with last year, the industry convergence rose 1.39 percent.
The accumulative fixed capital investment mounted up to 181.118 billion yuan in 2006 oil and natural gas exploitation industry with 23.8% year-on-year increase. The investment growth speed faced a small decline, 5.9 percent lower than last year.
Among the various size enterprises of oil and natural gas exploitation industry, the year-on-year growth speed of sale revenue of small-size enterprise was dropped 3.64 percent compared with last year, 4.29 percent decline in medium-size enterprises, and 13.06 percent decline in large-size enterprises. The obvious increasing growth of medium-size enterprises reinforced the convergence of industry.
As to the profit growth, till the end of 2006, the year-on-year growth speed of accumulative profit of small-size enterprises dropped by 26.66 percent; 7.74 percent decline in medium-size enterprises, and 46.4 percent decline in large-size enterprises. The economic benefit of small-size industry was far lower than that of large and medium sized enterprises. The whole industry was under the dominance of large-size enterprises.
Stock-joint enterprises and state-owned enterprises dominate the oil and natural gas exploitation industry. In 2006, the stock-joint enterprises made great progress in economic profit. The growths of sale revenue and profit respectively were 31.69% and 40.09% with 13.12 percent and 25.72 percent year-on-year decline.
The growth of state-owned enterprises revenue suffered 3.92 year-on- year decline, and the profit was 21.13% year-on- year decline. The figures changed the great growth in the same period of last year.
The economic benefit growth of foreign-invested enterprise dropped back. In 2006, the sale revenue and profit growth dropped 4.77 percent and 33 percent respectively compared with last year.
