30 March 2021, COSCO SHIPPING Energy Transportation Co., Ltd. ( the "Company", stock code: 600026.SH/01138.HK announced its 2020 annual result. Revenues of the Comapny increased by approximately 18.58% to approximately RMB162,98 million. Profit for the year attributable to equity holders of the Company increased by approximately 449.69% to approximately RMB2,373 million. The the Company intended to pay cash dividend of RMB 0.20 per share (tax inclusive).
 

Highlights
 

In 2020, facing the complex external environment and the sensitive and volatile shipping market, the Company mainly focused on the following aspects and achieved better operating results. 
 

•Carefully deployed the epidemic prevention and control measures to ensure the smooth operation of the Company's fleet. 

•Reasonably allocated the tonnage deployment to effectively improve the operating results of international oil shipping. 

•Solidly strengthened the cargo profile to make the market share of domestic oil shipping remain stable with positive momentum. 

•Actively engaged in integrated voyages of domestic and international trade to optimize efficiency of fleet operations. 

•Focused efforts on developing LNG shipping projects to further strengthen its stable and profitable segment. 

•Completed the non-public issuance of shares to raise approximately RMB5.1 billion, supporting the counter-cyclical development of its oil tanker fleet.
 

International Oil Shipping Business
 

•Adjusted the repair schedule of 9 VLCCs to increase operating days totaling 333 days in the boom market.

•Developed incremental markets in South America and entered into COA with key customers; developed new overseas customers and cooperated with them on spot trade,; and we opened new Aframax routes from Canada to China and from the US Gulf to Europe.

•Dynamically adjusted the deployment of transport capacity to improve operating efficiency of the fleets and accordingly, the Company performed 39 shipments with domestically and internationally connected tanker services.

Domestic Oil Shipping Business
 

•Developed a number of major emerging customers in the domestic market and broadened our cargo profile, the Company's market share of domestic oil shipping has increased year-on-year

•We improved logistics efficiency of crude oil imports for customers by offering new logistics solutions and we improved adequacy of tanker services for customers' designated routes by making full use of the advantages of all vessel types.

•Play an active role in refined oil transportation of ;emerging private refineries; entered into COA with major domestic customers; improved operating efficiency of fleets via business collaboration with COSCO PetroChina SHIPPING, which made full use of the upswing opportunities in the second quarter.

LNG shipping Business
 

•As at the end of the Reporting Period, the Company had a total of 38 jointly-invested project LNG carriers in operation, amounting to a year-on-year increase of 3 vessels; continued to promote the development of potential LNG shipping projects.

•Shanghai LNG, , COSCO PetroChina SHIPPING Co., Ltd., and Glasford Shipping (Hong Kong) Limited set up a joint venture engaging in LNG transportation project, for which 3 LNG carriers of 174,000 cubic meters capacity were built which elevated the business stability and anticyclical resilience.

Looking Forward
 

In the face of the “14th Five-Year Plan”, the Company will firmly adhere to the corporate vision of “being an excellent leader in global energy transportation” and “delivering energy to the world” by upholding the strategic goal of “four global leading”. The Company is committed to the mission and responsibilities of national energy transportation and will continue to enhance its competitiveness, innovation, control, influence and risk resistance. The Company will adhere to the general keynote of seeking progress while maintaining stability, promote high-quality development, implement the new development concept, refine the concept and system, and practically improve the standard of corporate management; take LNG and new energy transportation as the second development curve of the Company, accelerate and prioritize the development of LNG business, so as to become a global top-tier player. The Company will accurately grasp the cyclical trends in the shipping and capital markets to realize the “two-wheel drive” of production and capital operations. While seeking a technical leading-edge under the new industry rules, the Company strives to build its brand image as a “leader in sustainable development”.

Source: COSCO SHIPPING

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