PetroChina schemes huge refinery

PetroChina Co<601857><857> will build a large oil refinery with a capacity of over 10 million tons per annum in Northeast China's Liaoning Province.

Currently, the company has got approval from its parent China National Petroleum Corp and other relevant parties and is conducting a feasibility study on the Huludao-based project, reported by a local media without giving a definite investment size and time arrangement.

Huludao's oil refining capacity will be boosted to 17 million tons a year after the project completed, making the city one of China's key refining bases, the report said.

Besides, the company also plans to build refineries of this kind in other cities in line with its target to expand its refineries with capacities above 10 million tons annually to around 20 within 2 to 3 years.

PetroChina, the nation's biggest oil producer as well as second biggest refiner, has pledged itself to expand its annual refining capacity by 52% to 170 million tons in 2010 from 111.7 million tons by 2006.