2010-08-09 14:35

PetroChina Co, the country's largest oil producer, will open 119 projects to private investment, involving oil exploration, refining, and sales, Beijing Times reported, saying the total investment of the 119 projects would amount to nearly 600 billion yuan ($88.5 billion).

The report said PetroChina hopes to bring in no less than 200 billion yuan from the private sector, which means the company will have controlling stakes in most projects.

The company said it will first head to Zhejiang province, where private capital is rich, to talk with enterprises there and solicit opinions.

China released a support plan for private investment in May, allowing private enterprises to invest in key industries such as water projects, power generation, mining, energy and logistics, which are mainly state-controlled.

Experts say the participation of private capital in oil projects will enable private enterprises to share the working interest in oil and gas. Lang Xiaolei, a senior lecturer with China's No 2 oil producer Sinopec, said overseas oil and gas exploration will be a good solution to private companies' urgent need for energy.