EBSCN·2025-05-26 00:35Investment Rating - The report maintains an "Overweight" rating for the oil and petrochemical industry [5] Core Viewpoints - The oil price is expected to rebound due to improved supply-demand outlook and easing trade tensions, with IEA and EIA raising global oil demand forecasts for 2025 [1][10] - The "Three Major Oil Companies" are significantly increasing capital expenditures to enhance oil and gas production, ensuring national energy security [2][18] - The transition to renewable energy is being actively pursued by the "Three Major Oil Companies," highlighting their long-term investment value [3][18] Summary by Sections Oil Price Outlook - Supply-demand expectations have improved, leading to a rebound in oil prices. As of May 23, 2025, Brent and WTI crude oil prices were reported at $65.03 and $61.76 per barrel, respectively [9][10] - IEA has raised its 2025 global oil demand forecast by 100,000 barrels per day to 74 million barrels per day, while EIA expects a growth of 970,000 barrels per day, an increase of 170,000 barrels from the previous month [10][14] Capital Expenditure and Production Growth - The "Three Major Oil Companies" are responding to the national call for increased reserves and production, with a combined capital expenditure CAGR of 6.6% from 2018 to 2024. For 2025, their planned capital expenditures are CNY 210 billion for China National Petroleum Corporation, CNY 76.7 billion for Sinopec, and CNY 130 billion for China National Offshore Oil Corporation [2][18] - Oil and gas equivalent production for 2024 is expected to grow by 2.2% for both China National Petroleum Corporation and Sinopec, and by 7.2% for China National Offshore Oil Corporation [2][18] Renewable Energy Transition - The "Three Major Oil Companies" are advancing their renewable energy initiatives. China National Petroleum Corporation aims for natural gas to account for 54.4% of its oil and gas equivalent production by 2024, while also expanding its renewable energy capacity [3][24] - Sinopec is leveraging its integrated advantages to accelerate the development of charging and hydrogen refueling stations, with plans to build at least 500 battery swap stations this year [3][28] - China National Offshore Oil Corporation is actively promoting CCUS projects, with the first offshore CCUS project launched in May 2025, expected to inject over 1 million tons of CO2 over the next decade [3][32]