Connecting to LinkedIn...



New oil and gas firm as China looks to break monopoly

25/09/2015 by


China is reportedly creating a new oil and gas firm in a bid to break up the monopoly of companies dominating the energy industry. As part of sweeping reforms, the Chinese government is planning to break the state-owned enterprises into three specific entities and, as a result, create more competition. A number of other changes could allow private businesses to import their own oil and gain access to pipelines.

According to the Chinese state-run media, oil and gas transportation operations are to be stripped into three parts. These will be the China National Petroleum Corp, China National Offshore Oil Corp and Sinopec Group. The latter enterprise will be developed into a new natural gas and crude oil pipeline firm. Although the media’s report gave no time frame for the changes to be made, nor any indication of the source of the news, it said the Chinese government is still debating whether to roll out the changes at once or to implement them in stages.

It is no secret that the Chinese president, Xi Jinping, has made it a priority to overhaul the nation’s energy sector. Several high-ranking officials, including Zhou Yongkang, the former security chief, have already been convicted on corruption charges that directly related to the country’s state-owned energy firms. As a result there is need to change the system, not only to make it more productive and competitive but also to restore faith in the sector. Such a move will also be in line with Beijing’s wider plan to bring more private companies into the energy industry. A report by gas analyst Nelson Wang and CLSA China Oil suggested that the sector’s efficiency could be boosted if more private companies were brought on board.

China is currently the world’s second-largest crude oil importer. Demand has been slightly dented by the nation’s recent economic slowdown, but experts suggest major oil consumption is unlikely to fall. In July Beijing offered private firms the chance to explore six gas and oil blocks.

Mr Wang explained that experts are expecting Beijing to allow gas pipeline access and the construction of receiving terminals for liquefiers to independent organisations as part of midstream operations; meanwhile, it is expected that downstream operations will include the government allowing an increasing number of businesses to import crude oil. This would be done by removing the current restrictions that ban the use of any crude liquids that have been imported. As a result, the industry would become more competitive and could increase productivity.

About Us

Montash is a multi-award winning global technology recruitment business. Specialising in permanent and contract positions across mid-senior appointments across a wide range of industry sectors and IT functions, including:

ERP Recruitment, BI & Data Recruitment, Information Security Recruitment, Enterprise Architecture & Strategy Recruitment , Energy Technology Recruitment, Demand IT and Business Engagement Recruitment, Digital and E-commerce Recruitment, Leadership Talent, Infrastructure and Service Delivery Recruitment, Project and Programme Delivery Recruitment.

Montash is headquartered in Old Street, London, in the heart of the technology hub. Montash has completed assignments in over 30 countries and has appointed technical professionals from board level to senior and mid management in permanent and contract roles.

comments powered by Disqus

Social Stream

Latest News


Tech is for girls... and always has been!

2017-09-18 10:00:00 +0100

Today, it's hard to deny that the IT and tech industry is a male-dominated field. Women earn only 28%[1] of computer science degrees, while the quit rate for women in the high tech industry is 41%[2], twice as high as it is for men. These two statistics would suggest that perhaps women aren't just discouraged from entering the tech field, but may find it a challenging environment to work in both in terms of treatment and pay. Facebook chief operating of...


Common Hiring Mistakes for SAP Consultants

2017-09-08 12:00:00 +0100

Choosing the wrong consultant can lead a project down a ruinous path. Deadlines get missed, quality of work decreases and money is wasted. When you're putting together a new SAP project, getting the right talent is paramount. We discussed hiring mistakes with our Senior Business Manager, Adam Blaney and asked him the question of how to minimise risk in hiring SAP Consultants. “Hiring any form of technology based consultant is difficult. The hardest part...