China Petroleum & Chemical Corporation

1H 2007 Results Announcement

August 27, 2007Hong Kong

2007-08-27 2

Disclaimer

This presentation and the presentation materials distributed herein include forward-

looking statements. All statements, other than statements of historical facts, that address

activities, events or developments that Sinopec Corp. expects or anticipates will or may

occur in the future (including but not limited to projections, targets, estimates and

business plans) are forward-looking statements. Sinopec Corp.'s actual results or

developments may differ materially from those indicated by these forward-looking

statements as a result of various factors and uncertainties, including but not limited to

price fluctuations, actual demand, exchange rate fluctuations, exploration and

development outcomes, estimates of proven reserves, market shares, competition,

environmental risks, changes in legal, financial and regulatory frameworks, international

economic and financial market conditions, political risks, project delay, project approval,

cost estimates and other risks and factors beyond our control. In addition, Sinopec Corp.

makes the forward-looking statements referred to herein as of today and undertakes no

obligation to update these statements.

2007-08-27 3

Agenda

1H 2007 Overview

1H 2007 Operational Results

2H 2007 Operational Plan

1H 2007 Overview

2007-08-27 5

Review of Market Environment

China’s economy maintained steady and rapid growth, GDP increased by 11.5%

Domestic consumption of refined oil products grew by 4.2%

Domestic ethylene-equivalent consumption grew by 8.4%

International crude prices first declined and rose later

Chemical product prices remained high

Domestic refined oil products prices still tightly controlled

2007-08-27 6

Operational Overview

1H 2007 1H 2006 Change%

Crude oil production (mm bbls) 143.88 140.89 2.12

Natural gas production (bcf) 139.55 126.20 10.58

Refinery throughput (mm tonnes) 76.25 71.68 6.38

Domestic sales of refined oil products

(mm tonnes)

57.92 54.32 6.63

Incl. Retail (mm tonnes) 36.01 34.74 3.66

Ethylene production* (1,000 tonnes) 3,273 3,031 7.98

*Includes 100% production from YPC-BASF and Shanghai-Secco.

2007-08-27 7

Profit Growth

RMB million 1H 2007 1H 2006 Change%

Turnover and other revenues 566,830 491,221 15.39

EBITDA 72,599 50,437 43.94

EBIT 53,346 34,389 55.13

Net profit attributable to shareholders of the Company 36,190 21,870 65.48

EPS (RMB) 0.417 0.252 65.48

2007-08-27 8

Financial Position

RMB million 1H 2007 1H 2006

Net cash flow from operating activities 61,636 19,069

Net cash flow used in investing activities (46,316) (56,181)

Net cash flow (used in)/ generated from financing activities

(12,306) 32,532

RMB million As of 30 Jun. 2007 As of 31 Dec. 2006

Short-term debts 47,036 52,824

Long-term debts 70,592 61,617

Equity attributable to shareholders of the Company

289,614 262,845

2007-08-27 9

8.3%

13.1%12.2%

0%

3%

5%

8%

10%

13%

15%

2005 2006 1H 2007

ROCE and Dividend

ROCE

Note: ROCE for 1H 2007 is not annualized

Dividend Per Share

RMB Yuan

0.04 0.04 0.05

0.09

0.11

0.00

0.02

0.04

0.06

0.08

0.10

0.12

0.14

0.16

2005 2006 1H 2007

Interim Final

1H 2007 Operational Results

2007-08-27 11

E&P－ Operational Summary

1H 2007 1H 2006 Change%

Crude oil production (mm bbls) 143.88 140.89 2.12

Natural gas production (bcf) 139.55 126.2 10.58

Lifting cost (RMB/tonne) 550 487 12.94

Newly added proved reserves of crude oil (mm bbls) 147.88 143.89 2.77

Newly added proved reserves of natural gas (bcf) 158.63 175.5 (9.61)

Jun 30. 2007

Dec 31. 2006

Change%

Proved reserves of crude oil (mm bbls) 3,299 3,295 0.12

Proved reserves of natural gas (bcf) 2,875.8 2856.7 0.67

Proved reserves of oil and gas (mm boe) 3,778.3 3,771.1 0.19

2007-08-27 12

E&P－ Segment Performance

Crude Oil and Natural Gas Realized price

EBIT of E&P Segment

Crude OilRMB/tonne

Natural GasRMB/’000 cubic meter

34,533

22,750

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

1H 2006 1H 2007

3,3102,792

800748

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

1H 2006 1H 2007

0

100

200

300

400

500

600

700

800

900

Crude Oil Natural Gas

RMB million

2007-08-27 13

Refining－ Operational Summary

1H 2007 1H 2006 Change%

Refinery throughput (mm tonnes) 76.25 71.68 6.38

Gasoline production (mm tonnes) 12.16 11.23 8.28

Diesel production (mm tonnes) 28.92 28.32 2.12

Kerosene production (mm tonnes) 4.10 3.18 28.93

Light chemical feedstock production (mm tonnes)

12.09 11.47 5.41

Light yield (%) 74.49 74.81 (32bps)

Refining yield (%) 93.70 93.73 (3bps)

2007-08-27 14

Refining－ Segment Performance

EBIT of Refining SegmentRefining Margin /

Cash Operating Cost

Refining Margin(RMB/tonne)

Cash Operating Cost(RMB/tonne)

260

(93)

140118

-150

-100

-50

0

50

100

150

200

250

300

1H 2006 1H 2007

-150

-100

-50

0

50

100

150

Refining Margin Cash Operating Cost

5,492

(16,626)-20,000

-15,000

-10,000

-5,000

0

5,000

10,000

1H 2006 1H 2007

RMB million

2007-08-27 15

Marketing－ Operational Summary

1H 2007 1H 2006 Change%

Domestic sales of refined oil product (mm tonnes) 57.92 54.32 6.63

Incl. Retail (mm tonnes) 36.01 34.74 3.66

Distribution (mm tonnes) 10.15 9.69 4.75

Total number of service stations 28,898 29,198 (1.03)

Incl. Company-operated 28,153 27,628 1.90

Franchised 745 1,570 (52.55)

Annualized throughput of company-operated stations

(tonnes/station)2,558 2,515 1.71

2007-08-27 16

Marketing－ Segment Performance

EBIT of Marketing SegmentRON #90 Gasoline Guidance PriceRMB/Tonne

#0 Diesel Guidance PriceRMB/Tonne

RMB/tonne 1H 2006 1H 2007

Marketing cash operating cost

149.75 171.80

RMB million

10,761

16,795

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

1H 2006 1H 2007

2,000

3,000

4,000

5,000

6,000

Jan Mar May Jul Sep Nov

2005 2006 2007

2,000

3,000

4,000

5,000

6,000

Jan Mar May Jul Sep Nov

2005 2006 2007

2007-08-27 17

Chemicals－ Operational Summary

Unit: 1,000 tonnes 1H 2007 1H 2006 Change%

Ethylene* 3,273 3,031 7.98

Synthetic resin* 4,767 4,184 13.93

Monomers & polymers for synthetic fibers 3,938 3,577 10.09

Synthetic fiber 718 770 (6.75)

Synthetic rubber 360 318 13.21

Urea 813 906 (10.26)

*Includes 100% production from YPC-BASF and Shanghai-Secco.

2007-08-27 18

Chemicals－ Segment Performance

EBIT of Chemicals SegmentChemicals Price Spread (2002 – Jul. 2007)

USD/tonne

RMB million

6,176

8,542

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

1H 2006 1H 2007

RMB/tonne IH 2006 1H 2007

Ethylene cash operating cost

1,262 1,320

0

100

200

300

400

500

600

700

800

900

1,000

Jan-2002 Jan-2003 Jan-2004 Jan-2005 Jan-2006 Jan-2007

LDPE-Naphtha PP-Naphtha

2007-08-27 19

Energy consumption per unit of production decreased by 3.95%

Energy consumption per unit of production for E&P segment decreased by 4.72%

Energy consumption per unit of production for Refining segment increased by 0.28%

Energy consumption of ethylene units decreased by 1.02%

Fresh water consumption and water discharge reduced substantially

Fresh water consumption reduced by 5%

Wastewater discharge reduced by 7%

COD in wastewater reduced by 15%

Environmental Record

2007-08-27 20

Effective Cost Control

RMB million

2,600

1,484

0

500

1,000

1,500

2,000

2,500

3,000

2007 plan 1H 2007 Actual

E&P Refining Marketing Chemicals

1H 2007 Cost Saving

2007-08-27 21

Capital Expenditure

33,746

110,060

0

20,000

40,000

60,000

80,000

100,000

120,000

2007 plan 1H 2007 Actual

E & P RefiningMarketing ChemicalsCorporate & Others

E&P: RMB 18.28 billion. Newly added production capacity of crude oil was 2.27 million tonnes per year and that of natural gas was 719 million cubic meters per year,

Refining: RMB 6.18 billion. Upgrade of Yanshan project was completed; Qingdao project progressed smoothly; Tianjin-Yanshan crude oil pipeline was completed.

Marketing and Distribution: RMB 4.92 billion. Construction of pipeline for refined oil products in Beijing was completed; newly added 307 stations.

Chemicals: RMB 3.30 billion. Tianjin ethylene, Zhenhai ethylene and Fujian Ethylene projects progressed smoothly

1H 2007 Capex

RMB million

2H 2007 Operational Plan

2007-08-27 23

Market Environment for 2H2007

China’s economy is expected to maintain rapid growth

Demand for oil products and petrochemicals will increase steadily

International crude oil prices will remain high

Refining business will still be under pressure

Petrochemical product prices will remain at a relative high level

2007-08-27 24

2H 2007 Operation Estimates

2H Estimate FY 2007E

Crude oil production (mm tonnes) 20.74 41.00

Natural gas production (bcm) 4.05 8.00

Refinery throughput (mm tonnes) 78.25 154.50

Total domestic sales of refined oil products (mm tonnes) 59.08 117.00

Ethylene production (mm tonnes) 3.27 6.54

2007-08-27 25

For Further Information

http://www.sinopec.com

Investor Relations

Beijing: Tel: (8610) 64990060 Fax: (8610) 64990489Email: ir@sinopec.com

Hong Kong: Tel: (852) 28242638 Fax: (852) 28243669Email: ir@sinopechk.com

New York: Tel: (212) 759 5085 Fax: (212) 759 6882Email: fangzq@sinopecusa.com

Media Relations

Tel: (8610) 64990092Fax: (8610) 64990093Email: media@sinopec.com