|CNOOC exports diesel cargo
China National Offshore Oil Co (CNOOC) has exported a 35,000-ton cargo of diesel meeting Australian specifications for the fuel, the first shipment of its kind, a statement by the State asset regulator showed on Wednesday.
The cargo left CNOOC's refinery in Huizhou, South China's Guangdong Province, on Friday in a move aiming "to seize the international high-end market for refined oil products," according to the statement.
The cargo meeting Australian specifications is the latest in a flood of Chinese exports to hit Asian markets. Australia requires its diesel to be of high quality, containing sulfur levels lower than those accepted by many other countries and regions.
China's diesel exports rose more than fourfold in May from a year earlier to a record 1.48 million tons, customs data showed, reflecting a slowdown in China's heavy industry which typically uses diesel and continuing growth in throughput at independent refineries.
This slowdown has prompted Chinese refiners to seek buyers in international markets, where diesel has enjoyed a jump in profit margins, fueled by strong demand especially in South and Southeast Asia.