* End-June fuel stocks up nearly 1 mln tonnes and at a
* Apparent fuel demand up 7.2 pct in first half
* Jan-June gas imports at 14.1 bcm, suggesting record buy in
(Adds details, background)
By Jim Bai and Ken Wills
BEIJING, July 19 China's refined oil product
stocks at the end of June increased nearly 1 million tonnes from
a year earlier and were at a normal level, after fuel
consumption slowed down since mid-April, a government report
showed on Tuesday.
Fuel consumption averaged 665,000 tonnes a day in the second
quarter, off a record daily rate of 701,000 tonnes in March, the
National Development and Reform Commission (NDRC) said in a
report on its website (www.ndrc.gov.cn).
Apparent consumption of refined oil products gained 7.2
percent on year to 118.39 million tonnes in the first six
months, in which diesel consumption rose 6 percent to 74.47
million tonnes and gasoline use grew 8.7 percent to 35.25
Apparent fuel consumption gained 9.3 percent on year to
57.93 million tonnes in the first quarter, the commission said.
The commission did not explain the gauges or the methods it
uses to derive the figures.
China's fuel demand has shown signs of slowdown in past
months as oil plants underwent heavy maintenance amid poor
refining margins and Beijing's tightening economic policy cut
into oil use.
Reuters calculations based on preliminary official data
showed implied oil demand, a combination of crude oil throughput
and net imports of refined oil products, averaged 8.97 million
barrels per day (bpd) in June, down 3.2 percent from May, and
slipped below the 9 million bpd mark for the first time in 8
RECORD GAS IMPORTS
The commission said China's natural gas imports in the first
half of this year grew 100 percent from a year ago to 14.1
billion cubic metres (bcm).
This suggests the country brought in a record 2.7 bcm of the
fuel last month based on January-to-May import figure released
earlier by the commission.
Of the imports in the first six months, gas piped in from
central Asia totalled 6.9 bcm and imports in the form of
liquefied natural gas were at 7.2 bcm, it said.
The overall imports accounted for 22.4 percent of China's
national gas consumption, 9 percentage points higher than a year
Apparent gas consumption in the first half gained 21 percent
on year to 63.1 bcm, according to the commission.
PetroChina , China's dominant gas producer,
supplied 1.83 bcm of gas to six gas-fired power plants in Henan
and Jiangsu provinces in the first half, 64.9 percent more than
a year earlier.
It also increased supplies to Zhejiang province by 15.4
percent to 1.06 bcm in the January-to-June period.
The National Energy Administration, China's top energy
watchdog, was reported by state media last week to have asked
PetroChina and Sinopec Corp to further increase gas
supplies to power plants during peak electricity demand time.
Jiangsu has 14 gas-fired power generators with total
capacity of 3.66 gigawatts (GW) or 6 percent of overall power
generating capacity in the province, while Zhejiang has 18
generators with capacity of 3.95 GW or 10 percent its total
capacity, the administration said.
Gas-fired power production, more expensive than coal-fuelled
power generation, accounts for only a tiny part of China's
China is in the early stages of a massive development of its
gas market. Traditionally a coal user, it is striving to switch
to cleaner fuels in the course of this decade and gas is
expected to meet much of the incremental demand for power, along
with hydro, nuclear and wind power.
(Editing by Jacqueline Wong)