(Yicai Global) Jan. 28 -- China Petroleum & Chemical, Asia's biggest oil refiner, expects profit to have hit a 10-year high last year, while PetroChina predicts a seven-year peak, thanks to rebounding demand for petroleum and petrochemical products, higher crude oil prices and China’s economic recovery.

Net profit at China Petroleum & Chemical, known as Sinopec, is likely have soared by between CNY34 billion and CNY40 billion (USD5.4 billion and USD6.3 billion) in the year ended Dec. 31, a gain of 103 percent to 122 percent from a year earlier, the Beijing-based company said yesterday.

Sinopec’s profit slumped 43 percent to CNY32.9 billion in 2020 on a 29 percent drop in operating revenue to CNY2.11 trillion (USD33,2 billion). Based on that, last year’s profit is expected to come in at between CNY66.9 billion and CNY72.9 billion.

Beijing-based PetroChina expects annual net profit to have climbed CNY71 billion to CNY75 billion, an increase of 374 percent to 395 percent, per its announcement on Jan. 12.

PetroChina reported CNY1.93 trillion in operating revenue and CNY19.0 billion in net profit in 2020, so last year’s net could be around CNY90 billion to CNY94 billion.

Sinopec’s revenue is set to meet expectations, Citibank said in a research report, with higher exploration and production profits from rising oil prices offsetting weak interest margins for chemicals because of rising prices of raw materials.

Editor: Tom Litting