Guangxi DL & S Company Operational Policy

For the monopoly characteristic of the oil industry, Guangxi DL & S Company which is the unique petroleum refining companies among CNOPC'S 58 overseas companies does not have the competitive problems. Especially, with the high speed of Chinese economy's development during the past few years, the needs of light quality fuel oil is raised up by a wide margin. As Chinese government's control of the price of the finished oil, the domestic price can not be able to comparing with the international crude oil price which is rising gradually all the time. These lead to the small petroleum refining companies into the difficulty situation of manage. In recently years, the government has closed down and suspended operation of some tintype companies whose out puts is less than 5 million tons of per year. Although the Guangxi DL & S Company's processing amounts is only 1 million tons per annual, due to its advantage of geographic location, the company has a surplus in the successive year under the impact of Beibu Gulf Economy.Because of the opening of CNOPC'S Guangxi petroleum and chemical enterprise whose outputs can reach 20 million tons of per year, the pressure of internal conglomerate, and the deficiency of Guangxi DL & S Company, Guangxi DL & S company lump into an unknown difficult situation.The author uses the theory of oil refining and relative manage theory to analyze the inside environment, and then gives analysis and the forecast of the inside of general Beibu Gulf economy circle and situation of CNOPC. Guangxi DL & S Company can be benefited from those studies, and can get a clear understanding of opportunity and challenge. Those can make Guangxi DL & S Company adjust the development of self countermeasure, realize of sustainable development, and provide the value reference to make development policy. All of those have practical meanings and significance reference value to Guangxi DL & S Company.