Is impacted by the slump in oil prices in the past two years, the entire oil industry has been in a turmoil. The world's biggest oil giant cut capital spending and job cuts, sale upstream assets to spend winter.

According to foreign media reports, BP announced plans to spin off on June 11 in Norway's oil and gas assets, to improve its capital sheets. This is BP released after a quarterly results, a new asset stripping "throttling" measures.

This year on April 26, BP released a quarterly results this year. The low oil price shocks, the British energy giant losses of $583 million in the quarter, veteran of $485 million to the cost of replacement. This is the BP a second consecutive quarterly loss. However, in the after stripping out the sale of assets and impairment charges and so on the disposable, BP achieved a profit of $532 million in the quarter, higher than the average analyst expectations.

From the perspective of the contribution of upstream and downstream and upstream exploration and development plate still become a drag on the performance of the main plate, upstream losses of $1.205 billion in the first quarter, more than $2.28 billion in the fourth quarter of last year's losses have narrowed, but in the first quarter of last year, a far cry from $372 million in profits; In the first quarter, downstream business sector contributed $1.88 billion in profit, substantially offset the losses of upstream. But reporters found from the results, although the $1.8 billion profit jumped 49% in the fourth quarter of last year, but compared with the same period last year, fell by about 16%. Lower oil prices, profits should not be higher?

The belt of the sail, explained in the past two years, big oil company profits in general decline. At the same time, because of excess capacity and rising petrol and diesel inventories, refining business profit margins have been squeezed. ", compared with 2015 in the first quarter of 2016 low profit margins, "polish sail, according to the BP in the annual report also predicted that in 2016, the profit margin of the refining business is likely to continue to lower. "In fact, we also see, after the international financial crisis in 2009, the profit margin of the plates have been lower."

But with polish sails also stressed that "if the refinery margins excluded from BP internal assessment perspective, we do better than the same period last year. This year 2015 BP downstream basic performance is promoted as a whole. This index is to eliminate the environmental factors affecting the actual business performance. After 2015, the downstream implementation the basic performance improvement of about $2 billion, in the first quarter of 2016 and on the basis of the same period in 2015 achieved. So in the first quarter of 2016, is an important index of the BP net gain in a barrel, in numerous oil companies is the top of the list.

Similar situation and refining plates, PTA downstream as BP is one of the main products in China, is now facing the challenge of excess capacity. Belt of sail in an interview, the current domestic PTA industry is faced with the problem of excess production capacity, now each big manufacturer's profits will be squeezed more serious.

Belt of the sail, said in July last year, BP is located in zhuhai PTA three phase of the project is formally put into production. Project design production capacity of 1.25 million tons, completed and put into operation, BP zhuhai's annual output can reach 2.7 million tons, making BP zhuhai become one of the world's largest producer of PTA. Belt of sails that BP zhuhai three phase of the project is in the most competitive domestic PTA plant, can reduce 95% 95% of solid waste, reduce greenhouse gas emissions and reduce 75% of the waste water discharge.

"We believe that the current glut of pushing the some PTA production capacity by artificial factors, but apparently this is unsustainable. And those who do not have competitive capacity such as energy consumption, environmental protection will not have an advantage, so the backward or environmental substandard capacity needs to be cut off." Belt of the sail.

Will intensify market development in China

Belt of the sail, said in the past two years of low oil prices also brought the growth of oil consumption demand, the growth in 2015 is more strong, higher than the average for the past ten years, is expected to 2016, this trend will continue, and mainly in some developed countries, particularly in the United States. With polish sails that long-term, but in the longer run growth more potential or developing countries. "Especially China and India, will be the biggest driver of global oil demand growth, so the BP will also continue to improve market position in China and India, especially in the field of downstream business".

At present, BP downstream business in the Chinese market have the market position of the advantages, including petrochemical, oil and retail business. "On the basis of this huge business, we will continue to expand, including oil and retail business. BP and CNPC strategic cooperation is a case in point." Belt of the sail.

In October last year, during a visit to the UK Chinese President xi jinping, BP and China petroleum (601857, shares) signed a strategic cooperation agreement. The agreement mainly have two aspects content of cooperation, the food is a sichuan shale gas exploration and development; Another key is the gas station oil retail businesses such as joint venture cooperation.

On March 31 this year, BP and China's oil product in Beijing signed the shale gas into the contract, it is also the BP in China signed the first shale gas products into the contract. With polish sails, according to the shale gas into the contract is signed, marks a strategic cooperation between the two sides to achieve a good place to start. The next in the retail business cooperation, the two sides also continues to actively promote.

21st century economic report the reporter learns from the source, on June 6, with polish just visit met with China's oil related senior sail. But with polish sails failed to provide more details. He said: "oil is one of our important strategic partners, the two sides on the same day the scope is very wide also. I can't give details, but our discussion on the strategic cooperation content category." As the reporter went to press, China petroleum's official website has not yet been published on the both sides meet public news.

"I personally believe that BP and CNPC has a very unique opportunity, we two in guangdong province have set up a joint venture, we are also looking for opportunities to further expand business in other provinces (regions) of China layout." Belt of the sail.

AnXunSi energy research center director Li Liceng reporter is introduced into the 21st century economy, BP with petrochina for strategic cooperation, expand its share of the business in China and operating efficiency, especially expand downstream and retail market performance. BP's China President Yang this body has oil and gas company sales experience.

Belt of the sail also revealed that the BP in the future also consider to add petrochemical investments in China, but the premise is the problem of the current excess capacity to get a better resolve. He said that although BP without refining facilities in China, but the oil refining is a global industry, any country new capacity will impact on the world. PTA and acetic acid project application of BP in China's leading technology. But as a result of excess capacity makes the petrochemical enterprise's profit margins will be squeezed, BP must also be affected.

"At present, China is the reform of supply side structure, to solve the excess capacity, especially those that are inefficient not environmental protection capacity, I think this is a very the right move." Belt of the sail.

With polish sail admits, for BP, the Chinese market is becoming more and more important. "Currently in downstream business section, the contribution of the Chinese market sales accounted for a large number, it should be said, but still need to do more. So we made some plans for growth, with greater increase in our Chinese market accounted for in the downstream business. BP has a good foundation, but you need to do better." Belt of the sail.

According to AnXunSi data, by the end of June 2015, number of gas stations around the country about 93778 seats, sinopec has 30514 seats, accounted for 33%, oil in 20422 (the number of proprietary and charter, including joint ventures), accounted for 22%.

Lily thinks, in view of the domestic refined oil pricing mechanism set $40 a floor price, because of the refined oil retail profit to one thousand yuan per ton, gas station became the most profitable business of oil and gas market. And only 700 BP gas station joint venture, like petrochina should is in the downstream of the resources advantages.