Research On CNPC's Overseas Oil And Gas Exploration And Development Cooperation-competition Strategy

Along with reform and open-up policy, China's rapid economic growth proposes a higher requirement for its oil and gas industry. From the beginning of 1990s, Chinese oil enterprises have set an expand-out journey, which have witnessed China's overseas oil and gas exploration and development (E&D) path, from null to plenty, small to tremendous and weak to strong. From a global view, oil and gas E&D activity has been ever-increasingly dynamic. Meanwhile, with further imbalance of demand and supply of oil and gas, combined with the ever-high price of oil, many resource host countries have tightened their foreign cooperation policy and raised the economic benefits proportions taken by government and the admittance threshold of foreign oil companies. However, the current financial crisis and the plummeting oil price have a striking impact on worldwide main oil and gas producing areas. In addition, some emergencies, like geological disasters and political turmoil etc., also have great impact on normal oil and gas production. Under such circumstances, China National Petroleum Corporation (CNPC), as China's national petroleum company, cannot just implement its overseas oil and gas E&D activities independently. Consequently, how to choose a competition-and-cooperation strategy has become a significant research subject.This paper, firstly, introduces the theoretical development path of cooperation-competition, mainly focusing on the theory implication in oil and gas E&D field. By generalizing the status quo of global oil and gas E&D industry, the current situation of global oil and gas production and reserve, as well as oil and gas E&D industry's development trend, this paper demonstrates the necessity and feasibility of carrying out cooperation-competition strategy in oil and gas E&D field for oil companies. Based on the above analysis, this paper divides the primary international cooperation-competition bodies into different categories and analyzed their inter competition-and-cooperation relationship and process, and presents the already formed actuality of cooperation-competition in the world. Next, this paper analyses different oil companies in varying areas and summarizes the extra-factors that can have influence on CNPC's competition-and-cooperation strategy choice. Furthermore, this paper discusses CNPC's advantages and disadvantages from the perspective of technology, market strength, development plan, and capital power and government policy. Finally, based on individual oil and gas block, this paper puts up concrete suggestions about CNPC's cooperation-competition strategy choice as well as supporting measures for implementing.