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CNPC diversification mitigates Middle East logistical risks

By Zheng Xin | chinadaily.com.cn | Updated: 2026-03-31 11:30
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A cargo ship unloads imported crude oil in Qingdao, Shandong province, in March. YU FANGPING/FOR CHINA DAILY

China National Petroleum Corp, the country's largest oil and gas producer and distributor, is maintaining stable operations through its highly diversified supply chain effectively mitigating external logistical risks, the company's top executive said.

Dai Houliang, chairman of the company, said during a recent news conference that the global oil and gas supply passing through the Strait of Hormuz currently accounts for only about 10 percent of the company's total operating volume.

Despite global uncertainties and regional fluctuations, the company's overall operations remain entirely on track and normal, Dai said.

According to the chairman, the company has successfully built a robust and resilient energy portfolio. Approximately 90 percent of its crude oil processing volume and natural gas sales volume is firmly secured through domestic production, international pipeline imports, and supplies sourced from outside the Middle East.

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