Liaohe Oilfield, Value Chain Analysis And Restructuring Of The Design,

The Liaohe oil-field Company is a large state owned enterprise which mainly exploit and process petroleum and nature gas. The Liaohe oil-field was discovered in the end of 1960s,and was exploited from March 1970. As the third oil-field in China,the Liaohe oil- field company has discovered about 20.6 billion ton petroleum,established 26 petroleum and gas field,produce petroleum 2.49 billion ton and produce nature gas about 400 billion steres by the end of 1999. With the development of oil industry in the world,the Chinese Petroleum and nature Gas Corporation made an important restructure on its assets in the late 1999. After the restructure,the Chinese Petroleum and nature Gas limited Corporation was set up,which would come into the stock market in Hongkong and New York markets. It will help the stated owned enterprises to get capital in the international capital market. During the restructure,there are about 13 oil fields involving in it,including the Liaohe oil-field company. So the Liaohe oil-field company needs to divide its major activities and others. The article discusses how to divided the two kind of activities according to the value chain of Liaohe oil-field company,and offers the solution of the restructure.