China Aims to Establish Modern Oil and Gas System by 2030
The National Development and Reform Commission and the National Energy Administration in China have issued the '15th Five-Year Plan for Oil and Gas Development', aiming to establish a modern oil and gas industrial system by 2030. The plan prioritizes improving the pipeline network, reserve systems, processing and utilization capabilities, and technological innovation frameworks while promoting a green and low-carbon transition.
The plan sets a target of 440 million tons of oil equivalent for domestic oil and gas supply by 2030, requiring sustained capital expenditure to support newly proven reserves and production increases. Upstream resource companies are expected to maintain a relatively stable capital expenditure cycle during the 15th Five-Year Plan period.
The deployment of oil and gas infrastructure is also significant, with the national scale of long-distance oil and gas pipelines projected to reach 220,000 kilometers by 2030. This implies investment opportunities in the oil and gas industry over the next five years are not limited to rising oil prices alone.