Zitong Financial App News$China Petroleum & Chemical Corp oil suit (01033.HK) $It was announced that China Petroleum & Chemical Group International Petroleum Engineering Co., Ltd., a wholly-owned subsidiary of the company, recently signed a master contract for the EPSCC project of Uganda's Tilenga oil and gas gathering and transportation system with TotalEnergies SE Energy Uganda Co., Ltd. The total duration of the project is 76 months, with a contract value of US $611 million.

The Tilenga block in Uganda consists of 5 reservoirs, 31 cluster wells (426 wells), with an annual output of about 10 million tons of crude oil. China Petroleum & Chemical Corp Petroleum Engineering Construction Co., Ltd., a wholly-owned subsidiary of the company, is responsible for the design, procurement, supply, construction and trial operation of the gathering system and oil field facilities from the wellhead to the centralized processing station. The project has opened up a new situation for the company to further expand its advantageous business in the East African market and continue to expand the market scale.

The above contract is equivalent to about 3.87 billion yuan (calculated according to the exchange rate of 1 US dollar = 6.3346 yuan announced by the people's Bank of China on February 25, 2022), accounting for about 5.69% of the company's 2020 operating income under Chinese accounting standards.