Sinopec releases timetable for private financing  

(ECNS) -- China's state-owned oil giant Sinopec is expected to finish private financing by the third quarter at the earliest.

Board chairman Fu Chengyu released the timetable for the move on Monday afternoon.

Sinopec launched an asset audit and evaluation on Feb 19 and set up Yijie Sales Co., Ltd. on March 17. The retail business of the company would be operating independently as a wholly owned subsidiary by March 31. The audit and evaluation will have been finished and a specific investment plan is to be released by the end of June.

Sinopec is only opening its downstream retail business to private investors. Oil retail is a lucrative business with over 30,000 gas stations nationwide. Together with China National Petroleum Corp, they own nearly half of China's gas stations.

Sinopec is the first oil company to introduce private capital since the central government unveiled its plan last month to reform state-controlled enterprises and encourage diversified ownership.

The move is meant to explore new business models and improve efficiency.

According to Sinopec's annual report, in fiscal year 2013, the company's total revenue was 2.88 trillion yuan, with a yearly increase of 3.4 percent. Net profit was up by 5.8 percent to 67.179 billion yuan. In 2012, the net profit dropped by 11.4 percent.

However, Sinopec's swinging back to profitability was largely attributable to the refinery business, while other business sectors saw their profits slide, including retail.