Sinopec is an integrated energy and chemical company. The scope of its business mainlycovers exploration, development, production, pipeline transportation and marketing of oil andnatural gas; oil refining; production, sales, storage and transportation of petrochemicals, chemicalfibers, chemical fertilizers and other chemical products; import, export and import/export agencybusiness of crude oil, natural gas, oil products, petrochemicals, chemicals, and other commoditiesand technologies; research, development and application of technology and information. It isChina's largest producer and supplier of oil products (including gasoline, diesel and jet fuel, etc.)and major petrochemical products (including synthetic resin, synthetic fiber monomers andpolymers, synthetic fiber, synthetic rubber, chemical fertilizer and petrochemical intermediates).It is also China's second largest crude oil producer. Sinopec has set up a standardized structure of corporate governance and adopted amanagement system of centralized decision-making, delegated authorities in management andbusiness operations handled by specialized business units. It has more than 80 wholly-owned,holding and equity participating subsidiaries and branches, engaging in oil and gas explorationand production, refining, chemicals, marketing, R&D and foreign trade. With main assets locatedin the east, south and middle part of China, these subsidiaries and branches focus their businessin these-regions which have the most developed and active economy in China. While sticking to the business philosophy of competition and openness, Sinopec willadopt the development strategy of resource and market expansion, cost reduction, profitabilityimprovement and prudent investment. It is the Company's business tenet to maximize profitsand shareholders' returns. Moreover, the operating mechanism featuring market-orientationexternally and synergy-driven internally shall be realized. Upholding the operating principle ofstandardization, discipline and integrity, Sinopec will strive to develop itself into an integratedenergy and chemical company with prominent core business, quality assets, innovativetechnologies, scientific management and sound financial practice.
