PetroChina (PTR.NYSE; 0857.HK;601857.SH) will be able to make break even in its refining sector if the crude cost drop to 86-88 US dollars/bbl, reported China Business News, indicating that the refiner would make refining profit if international crude price lingers at around 90-95 US dollars/bbl.

    If so, PetroChina's exploration and refining would maximizeits profit, China Business News cited a senior PetroChina official assaying.

    The refining losses and windfall taxes have dented PetroChina's gains in other business in the first half. The refining losses were 24.9 billion yuan with gross margin at ¨C5.57 percent.

    With about 80 percent crude supplied by its own oilfields, PetroChina refineries are more invulnerable in the face of high oil price than Sinopec that is estimated to see break even point at about100 US dollars/bbl.

    PetroChina in H1 processed 425 mln bbls of crude with gasoline and diesel output respectively at 11.861 million tons and 23.799 million tons. Sinopec, China's largest refiner, ran 620 mln bbls crude for H1 and produced 13.78 million tons of gasoline and 33.80 million tons of diesel.