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Chinese oil companies to set up industrial parks in Dubai

Industry

China National Petroleum Corp (CNPC) is looking at establishing a logistics hub in Dubais Free Zone to supply the companys needs in the Middle East and North Africa, reported the China Daily.

According to the newspaper, CNPC plans to build an industrial park of 200,000 sqm with production lines for engineering equipment.

Regional halfway house

This move would see CNPC assemble equipment in Dubai and act as the regional halfway house in the event of an emergency withdrawal from the Middle East and North Africa.

Ambitious goal

CNPC has a strong presence in the region, developing large oilfields from Iraq to Sudan. The company has set an ambitious goal of operating output of 200mn metric tonnes of oil equivalent from overseas by 2015, which will account for 50 per cent of the company's total output.

Sinochem

Sinochem Group said recently that it will set up a logistics centre in Dubai, in tandem with it's expanding business in the Middle East and North Africa.

The company's output in 2011 is estimated to have reached about 3.2 million tons, compared with its cumulative oil and gas production of 8.72 million tons from 2002 to 2010.

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