Edgar Filing: CHINA PETROLEUM & CHEMICAL CORP

form6k.htm

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM 6-K

Report of Foreign Private Issuer

Pursuant to Rule 13a-16 or 15d-16 of

The Securities Exchange Act of 1934

For the month of April, 2013

CHINA PETROLEUM & CHEMICAL CORPORATION

22 Chaoyangmen North Street,

Chaoyang District, Beijing, 100728

People's Republic of China

Tel: (8610) 59960114

(Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.)

Form 20-F

Form 40-F

(Indicate by check mark whether the registrant by furnishing the information contained in this form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934. )

Yes

(If "Yes" is marked, indicate below the file number assigned to registrant in connection with Rule 12g3-2(b): 82-__________. )

N/A

This Form 6-K consists of:

An announcement regarding 2013 first quarterly report of China Petroleum & Chemical Corporation (the “Registrant”), made by the Registrant on April 26, 2013.

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibilities for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

(a joint stock limited company incorporated in the People’s Republic of China with limited liability)

(Stock Code: 0386)

OVERSEAS REGULATORY ANNOUNCEMENT

This announcement is made pursuant to Rule 13.10B of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited.

By Order of the Board

China Petroleum & Chemical Corporation

Huang Wensheng

Secretary to the Board of Directors

Beijing, the PRC, 26 April 2013

As of the date of this announcement, directors of the Company are: Fu Chengyu*, Wang Tianpu#, Zhang Yaocang*, Zhang Jianhua#, Wang Zhigang#, Cai Xiyou#, Cao Yaofeng*, Li Chunguang*, Dai Houliang#, Liu Yun*, Chen Xiaojin+, Ma Weihua+, Jiang Xiaoming+, Andrew Y. Yan+ , Bao Guoming+.

# Executive Director

* Non-executive Director

+ Independent Non-executive Director

China Petroleum & Chemical Corporation

First Quarterly Report for 2013

April 25, 2013

Beijing, China

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

§1 Important Notice

1.1 The Board of Directors, the Board of Supervisors, directors, supervisors and senior management of China Petroleum & Chemical Corporation (“Sinopec Corp.” or “the Company”) warrant that there are no misrepresentations, misleading statements contained in or material omissions from this quarterly report, and severally and jointly accept full responsibility for the authenticity, accuracy and completeness of the information contained in this quarterly report.

1.2 This quarterly report was approved on the seventh meeting of the Fifth Session of the Board of Directors of Sinopec Corp. All directors attended the meeting.

1.3 The financial statements in this quarterly report were not audited.

1.4 Mr. Fu Chengyu, Chairman of the Board of Directors, Mr. Wang Tianpu, Vice Chairman of the Board of Directors and President, Mr. Wang Xinhua, Chief Financial Officer and Head of the Accounting Department warrant the authenticity and completeness of the financial statements contained in this quarterly report.

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

§2 Basic Information of Sinopec Corp.

2.1 Principal financial data and indicators

2.1.1 Principal financial data and indicators prepared in accordance with the China Accounting Standards for Business Enterprises ("ASBE")

Items	As at the end of the reporting period		As at the end of the preceding year		Changes from the end of the preceding year to the end of the reporting period (%)
Total assets (RMB millions)	1,290,018		1,247,271		3.43
Equity attributable to equity shareholders of the Company (RMB millions)	549,425		513,374		7.02
Net assets per share attributable to equity shareholders of the Company (RMB)	6.127		5.913		3.62
Items	From the beginning of the year to the end of the reporting period				Changes over the same period of the preceding year (%)
Net cash flows from operating activities (RMB millions)	8,220				-
Net cash flows from operating activities per share (RMB)	0.093				-
Items	In the reporting period	From the beginning of the year to the end of the reporting period		From the beginning of the preceding year to the end of the preceding reporting period	Changes over the same period of the preceding year (%)
Net profit attributable to equity shareholders of the Company (RMB millions)	15,834	15,834		12,829	23.42
Basic earnings per share (RMB)	0.179	0.179		0.148	20.95
Diluted earnings per share (RMB)	0.178	0.178		0.147	21.09
Basic earnings per share after deducting extraordinary gain/loss items (RMB)	0.180	0.180		0.148	21.62
Weighted average return on net assets (%)	2.98	2.98		2.66	0.32 percentage points
Weighted average return on net assets after deducting extraordinary gain/loss items (%)	2.99	2.99		2.67	0.32 percentage points

Extraordinary gain/loss items	From the beginning of the year to the end of the reporting period (gain)/loss (RMB millions)
Loss on disposal of non-current assets	33
Donations	53
Gain on holding and disposal of various investments	(19)
Other non-operating income and expenses, net	10
Subtotal	77
Tax effect	(19)
Total	58
Attributable to: Equity shareholders of the Company	47
Minority interests	11

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

2.1.2 Principal financial data and indicators prepared in accordance with International Financial Reporting Standards ("IFRS")

Items	As at the end of the reporting period	As at the end of the preceding year	Changes from the end of the preceding year to the end of the reporting period (%)
Total assets (RMB millions)	1,304,067	1,266,693	2.95
Equity attributable to equity shareholders of the Company (RMB millions)	546,871	510,914	7.04
Net assets per share attributable to equity shareholders of the Company (RMB)	6.099	5.885	3.64

Items	In the reporting period	From the beginning of the year to the end of the reporting period	From the beginning of the preceding year to the end of the preceding reporting period	Changes over the same period of the preceding year (%)
Net cash generated from operating activities (RMB millions)	8,111	8,111	(30,970)	-
Net profit attributable to equity shareholders of the Company (RMB millions)	16,677	16,677	13,406	24.40
Basic earnings per share (RMB)	0.189	0.189	0.154	22.73
Diluted earnings per share (RMB)	0.188	0.188	0.153	22.88
Return on net assets (%)	3.05	3.05	2.75	0.30 percentage points

2.1.3 Differences between net profit of the Company for the first quarter of 2013 under ASBE and IFRS and shareholders' equity under ASBE and IFRS as at the end of the reporting period

The consolidated net profit for the reporting period under ASBE and IFRS were RMB 16,831 million and 17,692 million respectively, with a difference of RMB 861 million; the consolidated shareholders’ equity as at the end of the reporting period under ASBE and IFRS were RMB 588,013 million and 585,357 million respectively, with a difference of RMB 2,656 million. The differences were primarily due to safety production fund.

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

2.2 List for number of shareholders and top ten shareholders holding shares without selling restrictions at the end of the reporting period

Number of shareholders at the end of the reporting period	Number of shareholders 694,929, including 688,428 holders of A shares and 6,501holders of H shares.
Top ten shareholders holding shares without selling restrictions
Name of Shareholders	Number of shares without selling restrictions held as at the end of the reporting period (1,000 shares)	Type of shares (A, B, H shares or others)
China Petrochemical Corporation	65,797,128	A
HKSCC Nominees Limited note	19,523,590	H
China Securities Finance Co., Ltd. - refinancing collateral securities account	181,100	A
China Life Insurance Company Limited - Bonus - Personal Insurance Bonus	100,428	A
Guotai Junan Securities Co., Ltd	78,205	A
China Life Insurance Co., Ltd. - dividends - personal bonus - 005L - FH002 Shanghai	62,226	A
Bank of Communications – E_Fund 50 index securities investment funds	54,829	A
National Social Security Fund No. 106 portfolio	47,507	A
China Construction Bank -Yinhua Core Value Selected Stock Based Securities Investment Fund	46,000	A
China Construction Bank - China AM Advantage Growth Stock Securities Investment Fund	42,664	A

Note: Sinopec Century Bright Capital Investment Limited, overseas wholly-owned subsidiary of China Petrochemical Corporation, holds 425,500,000 H shares, which is included in the total number of the shares held by HKSCC Nominees Limited.

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

2.3 Review of operating results

In the first quarter of 2013, the quantitative easing of major economies in the world stimulated the slow recovery of the global economy, the Chinese economy maintained steady growth at the beginning of the year, with a GDP growth rate of 7.7% over the same period of last year. On 26th March, the National Development and Reform Commission adjusted the pricing mechanism for oil products, to enable domestic oil products prices to closely reflect fluctuations of international crude oil prices.

In the first quarter, the Company gave more prominence to the quality and performance of development based on safe and stable operation and market orientation. Motivated by the strengthening of management and the innovation of science and technology, the Company managed to increase sales, optimized production and operation. In the first quarter, the Company realized an operating profit of RMB 27.569 billion, with an increase of 26.41% over the same period of last year, and net profit attributable to equity shareholders of the Company was RMB 16.677 billion, with an increase of 24.40% over the same period of last year.

Exploration & Production Segment: The Company strengthened oilfield exploration and development, increased the production of crude oil and natural gas. In exploration, new progress was made in the mature blocks in East China (such as Jiyang trough, etc.), Tarim Basin, and Ordos Basin. In development, initial progress was made in certain key projects for crude oil development and production capacity construction, initial effect was achieved in the comprehensive harnessing work in old areas; key natural gas production projects in Yuanba and Western Sichuan are on schedule. In the first quarter, the Company’s crude oil and natural gas production increased steadily, crude oil production was 82.17 million barrels, with a growth of 0.78% over the same period of last year, and natural gas production was 163.20 billion cubic feet, with a growth of 13.98% over the same period of last year. The realized price of oil was 98.83 USD/barrel, 6.85% lower than a year ago, while the realized price of natural gas was 5.86 USD/thousand cubic feet, 3.90% higher than last year. In the first quarter, the exploration and production segment realized an operating profit of RMB 16.23 billion, with a decrease of 16.99% over the same period of last year.

Refining Segment: Taking market as the orientation, economic benefit as the center, cost reduction as the emphasis, technical innovation and intensive management as the means, refineries were operated at high load with production of more high value-added products. Major economic indicators improved significantly, light products yield reached 76.44%. In the first quarter, the Company processed 58.6923 million tonnes of crude oil, with a growth of 5.92% over the same period of last year; oil products output was 35.2953 million tonnes, with a growth of 7.39% over the same period of last year. The refining segment realized a turn-around in profitability with an operating profit of RMB 2.204 billion.

Marketing and Distribution Segment: In the market of slower demand growth for oil products and stronger competition, the Company brought into play its advantages of systematic management, marketing network and brand value, to innovate the commercial mode of non-fuel business. In the first quarter, the Company’s domestic sales volume of oil products reached 38.917 million tonnes, with a growth of 1.70% over the same period of last year, among which, the retail sales volume reached 26.641 million tonnes, with a growth of 1.74% over the same period of last year. In the first quarter, the marketing and distribution segment realized an operating profit of RMB 9.126 billion, with a decrease of 11.20% over the same period of last year.

Chemicals Segment: The first quarter of 2013 experienced a difficult market environment for chemicals with high feedstock price, sluggish demand and declining product prices. The Company upheld market-oriented and benefit-centered principle, steadily pushed forward integrated business operation, maintained the safe and stable operation of chemical plants, optimized feedstock mix and product slate, accelerated the transformation of chemical business from production type to marketing type. In the first quarter, ethylene output was 2.442 million tonnes, with a decrease of 0.53% over the same period of last year; the outputs of synthetic resin, synthetic rubber and synthetic fiber were 3.3948 million tonnes, 247.5 thousand tonnes and 351.6 thousand tonnes respectively. In the first quarter, chemical segment realized an operating profit of RMB 164 million, with a decrease of 87.47% over the same period of last year.

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

Operational Data for the First Quarter

Operational Data		Unit	For three-month period ended 31 March		Changes (%)
Operational Data		Unit	2013	2012	Changes (%)
Exploration and Production
Oil and gas production (Note 1)		million BOE	109.37	105.39	3.78
	Crude oil production	million barrels	82.17	81.53	0.78
	Domestic	million barrels	76.22	75.78	0.58
	Overseas	million barrels	5.95	5.75	3.48
	Natural gas production	billion cubic feet	163.20	143.18	13.98
Realized crude oil price		USD/barrel	98.83	106.10	(6.85)
Realized natural gas price		USD/thousand cubic feet	5.86	5.64	3.90
Refining (Note 4)
Refinery throughput		million tonnes	58.6923	55.4104	5.92
Gasoline, diesel and kerosene production		million tonnes	35.2953	32.8676	7.39
	Gasoline	million tonnes	11.3470	9.6530	17.55
	Diesel	million tonnes	19.7587	19.6352	0.63
	Kerosene	million tonnes	4.1896	3.5794	17.05
Light chemical feedstock		million tonnes	9.7652	9.2569	5.49
Light products yield		%	76.44	76.71	(0.27) percentage points
Refining yield		%	94.72	94.99	(0.27) percentage points
Marketing and Distribution
Total sales of refined oil products		million tonnes	42.1297	41.3501	1.89
Total domestic sales of refined oil products		million tonnes	38.9170	38.2650	1.70
	Retail	million tonnes	26.6410	26.1850	1.74
	Distribution	million tonnes	7.6290	8.0850	(5.64)
	Wholesale	million tonnes	4.6470	3.9950	16.32
Total number of domestic service stations (Note2)		stations	30,685	30,836	(0.49)
	Company owned and company-operated	stations	30,672	30,823	(0.49)
Throughput per domestic station of company owned and company-operated (Note3)		tonnes/station	3,473	3,450	0.67
Chemicals (Note 4)
Ethylene		thousand tonnes	2,442.0	2,455.1	(0.53)
Synthetic resins		thousand tonnes	3,394.8	3,431.6	(1.07)
Synthetic rubbers		thousand tonnes	247.5	242.6	2.02
Monomers and polymers for synthetic fibers		thousand tonnes	2,267.0	2,332.8	(2.82)
Synthetic fibers		thousand tonnes	351.6	337.8	4.09

Note 1: Including 100% of SSI output; For domestic production of crude oil, 1 tonne = 7.1 barrels; for production of natural gas, 1 cubic meter = 35.31 cubic feet; for converting natural gas to oil, 1 BOE = 6,000 cubic feet; for production of crude oil in overseas, 1 tonne = 7.27 barrels.

Note 2: The number of service stations in 2012 was the number as at 31 December 2012.

Note 3: Throughput per service station data was an annualized average.

Note 4: Including 100% output of the joint ventures companies.

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

Capital Expenditure: Capital expenditure of the Company was about RMB 21.535 billion in the first quarter, of which RMB 9.416 billion was for the exploration and production segment, mainly for Shengli shallow water oilfield, Tahe oilfield, Ordos oil and gas field, Sichuan Basin gas field exploration and development project and Shandong LNG project, etc. RMB 2.837 billion was for the refining segment, mainly for the construction of Anqing, Maoming, Shijiazhuang and Yangtze projects. Capital expenditure for the chemicals segment was RMB 2.277 billion, mainly for the construction of 800 ktpa Wuhan ethylene project, 600 ktpa Hainan aromatic hydrocarbon project, and 200 ktpa Hubei synthetic gas to ethylene glycol project. Capital expenditure for the marketing and distribution segment was RMB 6.396 billion, mainly for the construction and acquisition of service stations in key areas such as highways, major cities and newly planned regions as well as in other regions, accelerating the construction of oil products pipelines and oil depots, promoting non-fuel businesses and fueling card value-added services. 285 service stations have been developed. Capital expenditure for the Headquarters’ scientific research information and others was RMB 609 million, with emphasis on the construction of scientific research facilities and IT projects.

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

§3 Significant Events

3.1 Significant changes of key accounting items and financial indicators (under ASBE) of the Company and the reasons for the changes:

Items of Consolidated Balance Sheet	As at the end of the reporting period	As at the end of the preceding year	Increase/(decrease)		Main Reason for Changes
	As at the end of the reporting period	As at the end of the preceding year	Amount	Percentage
	RMB millions			%
Cash at bank and on hand	14,788	10,864	3,924	36.12	Mainly due to cash inflows from operating activities, and the increase of borrowings and H shares placement. The increase is partly offset by net cash outflows from investing activities.
Prepayments	6,339	4,370	1,969	45.06	Mainly due to the increase in advanced payment for crude oil and other procurements.
Other current assets	1,477	1,008	469	46.53	Mainly due to the commissioned loans by subsidiaries and prepaid expenses transferred from service stations rental expenses
Short-term borrowings	107,677	70,228	37,449	53.32	Mainly due to the increase of short-term USD borrowings
Non-current liabilities due within one year	44,719	15,754	28,965	183.86	Mainly due to the long-term debentures payable transferring into non-current liabilities due within one year.
Capital reserve	47,061	30,574	16,487	53.92	Mainly due to the completion of the placing of H shares on 14 February 2013

Items of Consolidated Income Statement	From the beginning of the year to the end of the reporting period	From the beginning of the preceding year to the end of the preceding reporting period	Increase/(decrease)		Main Reason for Changes
			Amount	Percentage
	RMB millions			%
Asset impairment losses	(12)	425	(437)	(102.82)	Mainly due to the expected net realizable value of some inventories in the first quarter of 2012 are less than the carrying amount and impairment losses accrued accordingly.
Loss from changes in fair value	1,627	539	1,088	201.86	Increase in fair value of convertible and embedded derivatives due to the change of share price.
Income tax expense	6,175	4,437	1,738	39.17	Due to the increase in profit before taxation

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

3.2 The progress of significant events and their impacts as well as the analysis and explanations for the solutions

3.2.1 Complete the Placing of H Shares

An aggregate of 2,845,234,000 new H shares, representing approximately 3.2% of the total number of issued shares (as enlarged by the allotment and issue of the Placing Shares) and approximately 14.5% of the total number of issued H shares (as enlarged by the allotment and issue of the Placing Shares), have been allotted and issued by the Company on 14 February 2013 at the Placing Price of HK$8.45 per share to not more than ten Placees. The aggregate net proceeds amount to HK$23,970,100,618. As a result of the Placing, the total number of issued H shares has increased from 16,780,488,000 H shares to 19,625,722,000 H shares. For further details, please refer to the relevant announcements of Sinopec Corp. dated 14 February 2013, published on the websites of the Stock Exchange of Hong Kong Limited; and the relevant announcements dated 18 February 2013, published in China Securities Journal, Shanghai Securities News and Securities Times.

3.2.2 Acquisition of overseas oil and gas assets from China Petrochemical Corporation

On 22 March 2013, SHI (a wholly-owned subsidiary of Sinopec Corp.) and Tiptop HK (a wholly-owned subsidiary of China Petrochemical Corporation) entered into the Framework Agreement in Beijing, pursuant to which SHI and Tiptop HK agreed (1) to establish a joint venture company, namely Sinopec International Petroleum E&P Hongkong Overseas Limited, or JV HK, in Hong Kong. SHI and Tiptop HK shall respectively hold 50% of the issued share capital of JV HK, and SHI shall enjoy actual control over JV HK through contractual arrangements with Tiptop HK. JV HK shall hence become a non-wholly owned subsidiary of the Company through actual control; and (2) following the establishment of JV HK, JV HK (as the purchaser), to enter into the purchase agreements with the relevant vendors for the acquisition of the CIR Sale Shares, the Mansarovar Transaction Assets and the Taihu Transaction Assets. On 28 March 2013, JV HK entered into the purchase agreements with the relevant vendors. For further details, please refer to relevant announcements of Sinopec Corp., published on the websites of the Stock Exchange of Hong Kong Limited on 24 March 2013 and 28 March 2013 respectively; and announcements published in China Securities Journal, Shanghai Securities News and Securities Times dated 25 March 2013 and 29 March 2013 respectively.

3.3 Status of fulfillment of commitments undertaken by the Company, shareholder and actual controller.

√applicable □not applicable

(1) By the end of the reporting period, the major commitments made by China Petrochemical Corporation include:

compliance with the connected transaction agreements;

solving the issues regarding legality of the certificates for the land use rights and certificates for the property ownership rights within a specified period of time;

iii

implementation of the Re-organization Agreement (for definition, please refer to prospectus in relation to the offering of H shares);

granting licenses for intellectual property rights;

avoiding the competition with the Company;

abandonment of business competition and conflict of interests with Sinopec Corp.

The details of the above-mentioned commitments were included in the prospectus in relation to the offering of A shares of Sinopec Corp., which was published in China Securities Journal, Shanghai

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

Securities News and Securities Times on 22 June 2001;

vii

On 27 October 2010, Sinopec Corp. disclosed through a public announcement that, considering the major refining business of China Petrochemical Corporation has been injected into Sinopec Corp., China Petrochemical Corporation undertook to dispose of its minor remaining refining business within 5 years to eliminate the competition with Sinopec Corp. in terms of the refining business.

viii

On 15 March 2012, Sinopec Corp. disclosed in an announcement that, China Petrochemical Corporation undertakes to take Sinopec Corp. as the sole platform of its ultimate integration among the businesses such as exploration and production of oil and gas, oil refining, chemicals and sale of petroleum products. China Petrochemical Corporation will dispose its minor remaining chemicals business within the next five years in order to avoid the competition with Sinopec Corp. in this respect. Given that China Petrochemical Corporation engages in the same or similar businesses as Sinopec Corp. with regard to the exploration and production of oil and natural gas overseas, after a thorough analysis from political and economic perspectives, Sinopec Corp. may propose to acquire the overseas oil and gas assets owned by China Petrochemical Corporation (the “Assets”) when appropriate (the “Proposed Acquisitions”). China Petrochemical Corporation undertakes to transfer the Assets to Sinopec Corp., provided that the Proposed Acquisitions comply with the applicable laws and regulations, contractual obligations and other procedural requirements at the time of the respective Proposed Acquisitions.

During the reporting period, Sinopec Corp. was not aware of any breach of the above-mentioned major commitments by the aforesaid shareholder.

(2) As at the date of this quarterly report, Sinopec Corp. has no commitments with regard to results, assets injection or assets restructure which have not been fulfilled yet, nor did Sinopec Corp. make any earnings prediction for such assets or projects.

3.4 Caution and explanation as to the anticipated loss of accumulated net profits from the beginning of the year to the end of the next reporting period or significant changes over the same period of last year

□applicable √not applicable

3.5 Implementation of Cash Dividend in the Reporting Period

Authorized at the 6th Meeting of the Fifth Session of Board of Directors of Sinopec Corp. on 22 March 2013, the proposed final cash dividend is RMB 0.20 (tax inclusive) per share for 2012, combining with the interim cash dividend of RMB 0.10 (tax inclusive) per share paid in 2012, the total cash dividend for the year of 2012 will be RMB 0.30 (tax inclusive) per share. And based on the total number of shares of the Company on the Record Date, 2 bonus issue of shares from retained earnings and 1 bonus issue of share from capital reserve will be distributed for every 10 existing shares held by all shareholders.

The proposed profit distribution plan will be submitted to the annual general meeting for the year 2012, the first A shareholders class meeting for the year 2013, and the first H shareholders class meeting for the year 2013 for approval. The final cash dividend and the bonus shares will be distributed on Tuesday, 25 June 2013 to the shareholders whose names appear on the register of members of Sinopec Corp. on Tuesday, 18 June 2013 after close of trading. For the holders of H shares, the register of members of the Company will be closed from Wednesday, 12 June 2013 to Tuesday, 18 June 2013 (both days inclusive). In order to qualify for the final dividend and relevant bonus shares, the shareholders of H shares must lodge all share certificates accompanied by the transfer documents with the Company’s H share registrar, Hong Kong Registrars Limited (address: shops 1712-1716 on 17th Floor, Hopewell Centre, 183 Queen’s Road East, Wan Chai, Hong Kong) before 4:30 p.m. on Tuesday, 11 June 2013 for registration.

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

3.6 This quarterly report is published in both Chinese and English languages. In case of ambiguities and discrepancies between the languages, Chinese language shall prevail.

By Order of the Board

Chairman

Fu Chengyu

Beijing, PRC, 25 April 2013

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

A.	Quarterly financial statements prepared under China Accounting Standards for Business Enterprises

1.	Consolidated Balance Sheet

	As at 31 March		As at 31 December
	2013		2012
	RMB millions		RMB millions
	(unaudited)		(audited)
Assets
Current assets
Cash at bank and on hand		14,788		10,864
Bills receivable		19,027		20,045
Accounts receivable		102,121		81,395
Other receivables		10,294		8,807
Prepayments		6,339		4,370
Inventories		231,400		218,262
Other current assets		1,477		1,008
Total current assets		385,446		344,751
Non-current assets
Long-term equity investments		54,512		52,061
Fixed assets		582,922		588,969
Construction in progress		172,558		168,977
Intangible assets		51,234		49,834
Goodwill		6,257		6,257
Long-term deferred expenses		9,803		10,246
Deferred tax assets		15,092		15,130
Other non-current assets		12,194		11,046
Total non-current assets		904,572		902,520
Total assets		1,290,018		1,247,271

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

1.	Consolidated Balance Sheet (continued)

	As at 31 March		As at 31 December
	2013		2012
	RMB millions		RMB millions
	(unaudited)		(audited)
Liabilities and shareholders’ equity
Current liabilities
Short-term loans		107,677		70,228
Bills payable		5,534		6,656
Accounts payable		209,989		215,628
Advances from customers		62,890		69,299
Employee benefit payable		2,445		1,838
Taxes payable		18,521		21,985
Other payables		51,023		61,721
Short-term debentures payable		25,000		30,000
Non-current liabilities due within one year		44,719		15,754
Total current liabilities		527,798		493,109
Non-current liabilities
Long-term loans		40,812		40,267
Debentures payable		91,920		121,849
Provisions		21,812		21,591
Deferred tax liabilities		15,839		16,043
Other non-current liabilities		3,824		3,811
Total non-current liabilities		174,207		203,561
Total liabilities		702,005		696,670

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

1.	Consolidated Balance Sheet (continued)

	As at 31 March			As at 31 December
	2013			2012
	RMB millions			RMB millions
	(unaudited)			(audited)
Liabilities and shareholders’ equity(continued)
Shareholders’ equity
Share capital		89,666			86,820
Capital reserve		47,061			30,574
Specific reserve		4,487			3,550
Surplus reserves		184,603			184,603
Retained profits		225,280			209,446
Foreign currency translation differences		(1,672	)		(1,619	)
Total equity attributable to shareholders of the Company		549,425			513,374
Minority interests		38,588			37,227
Total shareholders’ equity		588,013			550,601
Total liabilities and shareholders’ equity		1,290,018			1,247,271

These financial statements have been approved by the board of directors on 25 April 2013.


Fu Chengyu	Wang Tianpu	Wang Xinhua
Chairman	Vice Chairman, President	Chief Financial Officer
(Authorised representative)

(Company Chop)

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

2.	Balance Sheet

	As at 31 March		As at 31 December
	2013		2012
	RMB millions		RMB millions
	(unaudited)		(audited)

Assets
Current assets
Cash at bank and on hand		5,312		5,468
Bills receivable		1,932		1,333
Accounts receivable		30,140		21,041
Other receivables		47,881		42,055
Prepayments		6,068		5,003
Inventories		147,497		148,844
Other current assets		1,538		707
Total current assets		240,368		224,451

Non-current assets
Long-term equity investments		117,024		111,467
Fixed assets		470,649		475,417
Construction in progress		153,391		152,199
Intangible assets		44,525		43,114
Long-term deferred expenses		8,407		8,617
Deferred tax assets		10,254		10,146
Other non-current assets		6,801		5,290
Total non-current assets		811,051		806,250
Total assets		1,051,419		1,030,701

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

2.	Balance Sheet (continued)

	As at 31 March		As at 31 December
	2013		2012
	RMB millions		RMB millions
	(unaudited)		(audited)

Liabilities and shareholders’ equity
Current liabilities
Short-term loans		2,773		1,692
Bills payable		3,257		4,000
Accounts payable		124,443		121,184
Advances from customers		58,080		58,570
Employee benefits payable		1,916		1,315
Taxes payable		15,492		17,854
Other payables		110,675		118,311
Short-term debentures payable		25,000		30,000
Non-current liabilities due within one year		43,982		15,644
Total current liabilities		385,618		368,570
Non-current liabilities
Long-term loans		39,473		38,560
Debentures payable		91,920		121,849
Provisions		19,810		19,598
Deferred tax liabilities		8,588		8,749
Other non-current liabilities		1,641		1,688
Total non-current liabilities		161,432		190,444
Total liabilities		547,050		559,014

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

2.	Balance Sheet (continued)

	As at 31 March		As at 31 December
	2013		2012
	RMB millions		RMB millions
	(unaudited)		(audited)
Liabilities and shareholders’ equity(continued)
Shareholders’ equity
Share capital		89,666		86,820
Capital reserve		55,610		39,146
Specific reserve		3,823		3,017
Surplus reserves		184,603		184,603
Retained profits		170,667		158,101
Total shareholders’ equity		504,369		471,687
Total liabilities and shareholders’ equity		1,051,419		1,030,701

These financial statements have been approved by the board of directors on 25 April 2013.


Fu Chengyu	Wang Tianpu	Wang Xinhua
Chairman	Vice Chairman, President	Chief Financial Officer
(Authorised representative)

(Company Chop)

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

3.	Consolidated Income Statement (unaudited)

		For three-month period
		ended 31 March
		2013			2012
		RMB millions			RMB millions
Operating income			695,571			671,365
Less:	Operating costs		590,055			574,798
	Sales taxes and surcharges		48,022			47,415
	Selling and distribution expenses		10,410			9,301
	General and administrative expenses		16,804			14,167
	Financial expenses		2,511			2,613
	Exploration expenses, including dry holes		3,600			4,160
	Impairment losses		(12	)		425
	Loss from changes in fair value		1,627			539
Add:	Investment income		549			678
Operating profit			23,103			18,625

Add:	Non-operating income		350			179
Less:	Non-operating expenses		447			263
Profit before taxation			23,006			18,541
Less:	Income tax expense		6,175			4,437
Net profit			16,831			14,104
Attributable to:	Equity shareholders of the Company		15,834			12,829
Minority interests			997			1,275

Basic earnings per share (RMB: Yuan)			0.179			0.148
Diluted earnings per share (RMB: Yuan)			0.178			0.147

These financial statements have been approved by the board of directors on 25 April 2013.


Fu Chengyu	Wang Tianpu	Wang Xinhua
Chairman	Vice Chairman, President	Chief Financial Officer
(Authorised representative)

(Company Chop)

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

4.	Income Statement (unaudited)

		For three-month period
		ended 31 March
		2013			2012
		RMB millions			RMB millions
Operating income			389,294			398,314
Less:	Operating costs		309,209			324,824
	Sales taxes and surcharges		38,116			37,546
	Selling and distribution expenses		8,111			7,779
	General and administrative expenses		13,871			11,791
	Financial expenses		2,216			2,215
	Exploration expenses, including dry holes		3,590			4,149
	Impairment losses		(13	)		429
	Loss from changes in fair value		1,622			540
Add:	Investment income		2,944			3,075
Operating profit			15,516			12,116
Add:	Non-operating income		316			162
Less:	Non-operating expenses		398			230
Profit before taxation			15,434			12,048
Less:	Income tax expense		2,868			1,965
Net profit			12,566			10,083

These financial statements have been approved by the board of directors on 25 April 2013.


Fu Chengyu	Wang Tianpu	Wang Xinhua
Chairman	Vice Chairman, President	Chief Financial Officer
(Authorised representative)

(Company Chop)

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

5.	Consolidated Cash Flow Statement (unaudited)

	For three-month period
	ended 31 March
	2013			2012
	RMB millions			RMB millions
Cash flows from operating activities:
Cash received from sale of goods and rendering of services		748,248			747,045
Refund of taxes and levies		210			162
Other cash received relating to operating activities		6,651			2,962
Sub-total of cash inflows		755,109			750,169
Cash paid for goods and services		(638,914	)		(682,357	)
Cash paid to and for employees		(11,633	)		(9,123	)
Payments of taxes and levies		(78,982	)		(82,731	)
Other cash paid relating to operating activities		(17,360	)		(6,874	)
Sub-total of cash outflows		(746,889	)		(781,085	)
Net cash flows from operating activities		8,220			(30,916	)
Cash flows from investing activities:
Cash received from disposal of investments		85			16
Cash received from returns on investments		100			33
Net cash received from disposal of fixed assets, intangible assets and other long-term assets		58			14
Other cash received relating to investing activities		865			530
Sub-total of cash inflows		1,108			593
Cash paid for acquisition of fixed assets, intangible assets and other long-term assets		(48,240	)		(34,385	)
Cash paid for acquisition of investments		(2,924	)		(746	)
Other cash paid relating to investing activities		(1,101	)		(1,894	)
Sub-total of cash outflows		(52,265	)		(37,025	)
Net cash flows from investing activities		(51,157	)		(36,432	)

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

5.	Consolidated Cash Flows (unaudited)(continued)

	For three-month period
	ended 31 March
	2013			2012
	RMB millions			RMB millions

Cash flows from financing activities:
Cash received from borrowings		264,709			228,307
Cash received from capital contributions		20,363			57
Including: Cash received from minority shareholders’ contributions to subsidiaries		954			57
Sub-total of cash inflows		285,072			228,364
Cash repayments of borrowings		(237,167	)		(161,661	)
Cash paid for dividends, profits distribution or interest		(944	)		(1,657	)
Sub-total of cash outflows		(238,111	)		(163,318	)
Net cash flows from financing activities		46,961			65,046
Effects of changes in foreign exchange rate		112			(1	)
Net increase/ (decrease) in cash and cash equivalents		4,136			(2,303	)

These financial statements have been approved by the board of directors on 25 April 2013.


Fu Chengyu	Wang Tianpu	Wang Xinhua
Chairman	Vice Chairman, President	Chief Financial Officer
(Authorised representative)

(Company Chop)

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

6.	Cash Flows (unaudited)

	For three-month period
	ended 31 March
	2013			2012
	RMB millions			RMB millions
Cash flows from operating activities:
Cash received from sale of goods and rendering of services		441,439			456,950
Refund of taxes and levies		143			52
Other cash received relating to operating activities		5,662			29,202
Sub-total of cash inflows		447,244			486,204
Cash paid for goods and services		(343,261	)		(399,499	)
Cash paid to and for employees		(9,256	)		(7,795	)
Payments of taxes and levies		(61,389	)		(64,601	)
Other cash paid relating to operating activities		(18,664	)		(6,932	)
Sub-total of cash outflows		(432,570	)		(478,827	)
Net cash flows from operating activities		14,674			7,377
Cash flows from investing activities:
Cash received from disposal of investments		25			-
Cash received from returns on investments		3,093			152
Net cash received from disposal of fixed assets, intangible assets and other long-term assets		40			3
Other cash received relating to investing activities		15			70
Sub-total of cash inflows		3,173			225
Cash paid for acquisition of fixed assets, intangible assets and other long-term assets		(24,101	)		(30,247	)
Cash paid for acquisition of investments		(5,328	)		(2,501	)
Other cash paid relating to investing activities		-			(1,785	)
Sub-total of cash outflows		(29,429	)		(34,533	)
Net cash flows from investing activities		(26,256	)		(34,308	)

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

6.	Cash Flows (unaudited) (continued)

	For three-month period
	ended 31 March
	2013			2012
	RMB millions			RMB millions

Cash flows from financing activities:
Cash received from borrowings		53,577			61,661
Cash received from capital contributions		19,407			-
Sub-total of cash inflows		72,984			61,661
Cash repayments of borrowings		(60,597	)		(40,764	)
Cash paid for dividends, profits distribution or interest		(961	)		(1,380	)
Sub-total of cash outflows		(61,558	)		(42,144	)
Net cash flows from financing activities		11,426			19,517
Net decrease in cash and cash equivalents		(156	)		(7,414	)

These financial statements have been approved by the board of directors on 25 April 2013.


Fu Chengyu	Wang Tianpu	Wang Xinhua
Chairman	Vice Chairman, President	Chief Financial Officer
(Authorised representative)

(Company Chop)

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

7.	Segment Reporting (unaudited)

	For three-month period
	ended 31 March
	2013			2012
	RMB millions			RMB millions
Income from principal operations
Exploration and production
External sales		13,580			12,839
Inter-segment sales		42,728			45,647
		56,308			58,486
Refining
External sales		48,645			49,672
Inter-segment sales		284,062			262,908
		332,707			312,580

Marketing and distribution
External sales		356,308			346,321
Inter-segment sales		1,915			1,999
		358,223			348,320
Chemicals
External sales		90,379			87,523
Inter-segment sales		14,769			11,285
		105,148			98,808
Others
External sales		177,330			165,798
Inter-segment sales		171,205			174,568
		348,535			340,366
Elimination of inter-segment sales		(514,679	)		(496,407	)
Income from principal operations		686,242			662,153

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

7.	Segment Reporting (unaudited)(continued)

	For three-month period
	ended 31 March
	2013			2012
	RMB millions			RMB millions

Income from other operations
Exploration and production		3,412			3,824
Refining		1,326			1,249
Marketing and distribution		2,548			2,035
Chemicals		1,812			1,845
Others		231			259
Income from other operations		9,329			9,212
Consolidated operating income		695,571			671,365

Operating profit/(loss)
By segment
Exploration and production		16,142			19,433
Refining		1,976			(9,668	)
Marketing and distribution		8,666			10,284
Chemicals		105			1,211
Others		(232	)		136
Elimination		35			(297	)
Total segment operating profit		26,692			21,099

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

7.	Segment Reporting (unaudited) (continued)

	For three-month period
	ended 31 March
	2013			2012
	RMB millions			RMB millions
Investment income/ (loss)
Exploration and production		65			50
Refining		(143	)		(262	)
Marketing and distribution		162			300
Chemicals		172			369
Others		293			221
Total segment investment income		549			678
Financial expenses		(2,511	)		(2,613	)
Loss from changes in fair value		(1,627	)		(539	)
Operating profit		23,103			18,625
Add: Non-operating income		350			179
Less: Non-operating expenses		447			263
Profit before taxation		23,006			18,541

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

B.	Quarterly financial statements prepared under International Financial Reporting Standards (“IFRS”)

1.	Consolidated Income Statement (unaudited)

	For three-month period
	ended 31 March
	2013			2012
	RMB millions			RMB millions
Turnover and other operating revenues
Turnover		686,242			662,153
Other operating revenues		9,329			9,212
		695,571			671,365
Operating expenses
Purchased crude oil, products and operating supplies and expenses		(569,326	)		(555,071	)
Selling, general and administrative expenses		(16,149	)		(13,714	)
Depreciating, depletion and amortisation		(18,591	)		(17,263	)
Exploration expenses, including dry holes		(3,600	)		(4,160	)
Personnel expenses		(12,240	)		(11,865	)
Taxes other than income tax		(48,022	)		(47,415	)
Other operating expenses, net		(74	)		(67	)
Total operating expenses		(668,002	)		(649,555	)
Operating profit		27,569			21,810
Finance cost
Interest expenses		(2,679	)		(3,046	)
Interest income		304			286
Unrealised loss on embedded derivative component of the convertible bonds		(1,622	)		(540	)
Foreign currency exchange (loss)/gain, net		(136	)		147
Net finance costs		(4,133	)		(3,153	)
Investment income		29			42
Share of profits less loss from associates and jointly controlled entities		520			646
Profit before taxation		23,985			19,345
Tax expenses		(6,293	)		(4,632	)
Profit for the period		17,692			14,713
Attributable to:
Equity shareholder of the Company		16,677			13,406
Non-controlling interests		1,015			1,307
Profit for the period		17,692			14,713
Earnings per share(RMB: Yuan)
Basic		0.189			0.154
Diluted		0.188			0.153

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

2.	Consolidated Balance Sheet

	As at 31 March			As at 31 December
	2013			2012
	RMB millions			RMB millions
	(unaudited)			(audited)
Non-current assets
Property, plant and equipment		582,922			588,969
Construction in progress		172,558			168,977
Goodwill		6,257			6,257
Interest in associates		28,918			28,812
Interest in jointly controlled entities		23,013			21,388
Investments		2,666			2,001
Deferred tax assets		14,132			14,288
Lease prepayments		36,420			36,240
Long-term prepayments and other assets		36,726			34,746
Total non-current assets		903,612			901,678
Current assets
Cash and cash equivalents		14,592			10,456
Time deposits with financial institutions		196			408
Trade accounts receivable, net		102,121			81,395
Bills receivable		19,027			20,045
Inventories		231,400			218,262
Prepaid expenses and other current assets		33,119			34,449
Total current assets		400,455			365,015
Current liabilities
Short-term debts		119,779			73,063
Loans from Sinopec Group Company and fellow subsidiaries		57,617			42,919
Trade accounts payables		209,989			215,628
Bills payable		5,534			6,656
Accrued expenses and other payables		145,120			169,062
Income tax payable		4,768			6,045
Total current liabilities		542,807			513,373
Net current liabilities		(142,352	)		(148,358	)
Total assets less current liabilities		761,260			753,320
Non-current liabilities
Long-term debts		95,577			124,518
Loans from Sinopec Group Company and fellow subsidiaries		37,155			37,598
Deferred tax liabilities		15,839			16,043
Provisions		21,812			21,591
Other liabilities		5,520			5,534
Total non-current liabilities		175,903			205,284
		585,357			548,036

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

2.	Consolidated Balance Sheet (continued)

	As at 31 March		As at 31 December
	2013		2012
	RMB millions		RMB millions
	(unaudited)		(audited)


Equity
Share capital		89,666		86,820
Reserves		457,205		424,094
Total equity attributable to equity shareholders of the Company		546,871		510,914
Non-controlling interests		38,486		37,122
Total equity		585,357		548,036

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

3.	Consolidated Statement of Cash Flows (unaudited)

		For three-month period
	Note	ended 31 March
		2013			2012
		RMB millions			RMB millions

Net cash generated from operating activities	(a)		8,111			(30,970	)
Investing activities
Capital expenditure			(44,730	)		(33,281	)
Exploratory wells expenditure			(3,401	)		(1,050	)
Purchase of investments, investments in associates and investments in jointly controlled entities			(2,906	)		(741	)
Proceeds from disposal of investments and investments in associates			85			16
Proceeds from disposal of property, plant and equipment			58			14
(Increase)/ decrease in time deposits with maturities over three months			(28	)		(1,715	)
Interest received			219			286
Investment and dividend income received			100			33
(Purchase)/ disposal of derivative financial instruments, net			(427	)		65
Acquisitions of non-controlling interests of subsidiaries			(18	)		(5	)
Net cash used in investing activities			(51,048	)		(36,378	)
Financing activities
Proceeds from borrowings			264,709			228,307
Repayments of borrowings			(237,167	)		(161,661	)
Proceeds from issuing additional stock			19,409			-
Distributions by subsidiaries to non-controlling interests			(357	)		(85	)
Contributions to subsidiaries from non-controlling interests			954			57
Interest paid			(587	)		(1,572	)
Net cash generated from financing activities			46,961			65,046
Net increase/ (decrease) in cash and cash equivalents			4,024			(2,302	)
Cash and cash equivalents at 1 January			10,456			24,647
Effect of foreign currency exchange rate changes			112			(1	)
Cash and cash equivalents at 31 December			14,592			22,344

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

3.	Consolidated Statement of Cash Flows (unaudited) (continued)

Note to consolidated statement of Cash Flows

(a)	Reconciliation of profit before taxation to net cash generated from operating activities

	For three-month period
	ended 31 March
	2013			2012
	RMB millions			RMB millions

Operating activities
Profit before taxation		23,985			19,345
Adjustments for:
Depreciation, depletion and amortisation		18,591			17,263
Dry hole costs written off		974			1,594
Share of profits less loss from associates and jointly controlled entities		(520	)		(646	)
Investment income		(29	)		(42	)
Interest income		(304	)		(286	)
Interest expense		2,679			3,046
Unrealised loss/ (gain) on foreign currency exchange rate changes and derivative financial instruments		141			(112	)
Loss on disposal of property, plant and equipment, net		33			2
Unrealised loss on embedded derivative component of the convertible bonds		1,622			540
Operating profit before change of operating capital		47,172			40,704
Accounts receivable, bills receivable, prepaid expenses and other current assets		(17,130	)		(26,143	)
Inventories		(13,138	)		(35,085	)
Accounts payable, bills payable, other payables and other current liabilities		(1,158	)		(5,080	)
		15,746			(25,604	)
Income tax paid		(7,635	)		(5,366	)
Net cash generated from operating activities		8,111			(30,970	)

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

4.	Segment Reporting (unaudited)

	For three-month period
	ended 31 March
	2013			2012
	RMB millions			RMB millions
Turnover
Exploration and production
External sales		13,580			12,839
Inter-segment sales		42,728			45,647
		56,308			58,486
Refining
External sales		48,645			49,672
Inter-segment sales		284,062			262,908
		332,707			312,580
Marketing and distribution
External sales		356,308			346,321
Inter-segment sales		1,915			1,999
		358,223			348,320
Chemicals
External sales		90,379			87,523
Inter-segment sales		14,769			11,285
		105,148			98,808
Corporate and others
External sales		177,330			165,798
Inter-segment sales		171,205			174,568
		348,535			340,366

Elimination of inter-segment sales		(514,679	)		(496,407	)
Turnover		686,242			662,153
Other operating revenues
Exploration and production		3,412			3,824
Refining		1,326			1,249
Marketing and distribution		2,548			2,035
Chemicals		1,812			1,845
Corporate and others		231			259
Other operating revenues		9,329			9,212
Turnover and other operating revenues		695,571			671,365

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

4.	Segment Reporting (unaudited) (continued)

	For three-month period
	ended 31 March
	2013			2012
	RMB millions			RMB millions
Result
Operating profit/(loss)
By segment
-Exploration and production		16,230			19,551
-Refining		2,204			(9,172	)
-Marketing and distribution		9,126			10,277
-Chemicals		164			1,309
-Corporate and others		(190	)		142
-Elimination		35			(297	)
Total segment operating profit		27,569			21,810

Share of profit less loss from associates and jointly controlled entities
-Exploration and production		65			50
-Refining		(144	)		(263	)
-Marketing and distribution		145			265
-Chemicals		172			373
-Corporate and others		282			221
Aggregate share of profit less loss from associates and jointly controlled entities		520			646

Investment income
-Refining		1			1
-Marketing and distribution		17			35
-Chemicals		-			6
-Corporate and others		11			-
Aggregate investment income		29			42

Net finance costs		(4,133	)		(3,153	)
Profit before taxation		23,985			19,345

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

C.)	Differences between Financial Statements prepared in accordance with the accounting policies complying with ASBE and IFRS (unaudited)

Other than the differences in the classifications of certain financial statements captions and the accounting for the items described below, there are no material differences between the Group’s financial statements prepared in accordance with accounting policies complying with ASBE and IFRS. The reconciliation presented below is included as supplemental information, is not required as part of the basic financial statements and does not include differences related to classification, display or disclosure. Such information has not been subject to independent audit or review. The major differences are:

(i)	Government Grants

Under ASBE, grants from the government are credited to capital reserve if required by relevant governmental regulations. Under IFRS, government grants relating to the purchase of fixed assets are recognized as deferred income and are transferred to the income statement over the useful life of these assets.

(ii)	Safety Production Fund

Under ASBE, safety production fund should be recognized in profit or loss with a corresponding change in reserve according to PRC regulations. Such reserve is reduced for expenses incurred for safety production purposes or, when safety production related fixed assets are purchased, is reduced by the purchased cost with a corresponding increase in the accumulated depreciation. Such fixed assets are not depreciated thereafter. Under IFRS, expense is recognized in profit or loss when incurred, and fixed assets are depreciated with applicable methods.

Effects of major differences between the net profit under ASBE and the profit for the period under IFRS are analysed as follows:

		For three-month period
		ended 31 March
	Note	2013		2012
		RMB millions		RMB millions

Net profit under ASBE			16,831		14,104
Adjustments:
Government grants	(i)		27		23
Safety production fund	(ii)		834		586
Profit for the period under IFRS			17,692		14,713

	中国石油化工股份有限公司	二零一三年第一季度报告
	China Petroleum & Chemical Corporation	First Quarterly Report for 2013

Effects of major differences between the shareholders’ equity under ASBE and the total equity under IFRS are analysed as follows:

		As at 31 March			As at 31 December
	Note	2013			2012
		RMB millions			RMB millions

Total Shareholder’s equity under ASBE			588,013			550,601
Adjustments:
Government grants	(i)		(1,696	)		(1,723	)
Safety production fund	(ii)		(960	)		(842	)
Total equity under IFRS			585,357			548,036

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	China Petroleum & Chemical Corporation



	By:	/s/ Huang Wensheng

	Name:	Huang Wensheng

	Title:	Secretary to the Board of Directors

Date: April 26, 2013