China invests over $468 billion in oil and gas sector: grand plans and geopolitical impact
In recent years, China has made an incredible breakthrough in the energy resource sector, investing a colossal sum of over $468 billion into domestic oil and gas extraction.
These ambitious investments represent just the tip of the iceberg in the country’s long-term plans to reduce dependence on energy imports and ensure energy security.
China aims to critically lower risks associated with global energy market dependency by not only importing but also rapidly expanding its extraction capacity.
This is particularly relevant amid geopolitical tensions and complications related to sanctions and trade wars, especially in the context of US sanctions against Russia, which led Chinese refineries to adjust their supplies.
According to Bloomberg, since 2019, Chinese giants in the oil industry have invested heavily in exploration and drilling, completely shifting the dynamics of the world market.
Currently, PetroChina, China National Offshore Oil Corporation (Cnooc), and Sinopec are among the leading players, increasing production volumes and refining capacities while signing new investment deals.
In 2024, these companies are actively expanding their capabilities, building new offshore platforms, investing heavily in shale oil and innovative processing technologies.
Although domestic production already ranks high globally, China plans further growth to actively compete internationally and reduce reliance on imported energy resources.
These actions are having a significant impact on the global market, drawing substantial interest and causing unexpected shifts in the global energy policy, especially with the upcoming meeting of US and Chinese leaders on trade issues and joint energy strategies.