Sinopec says it will push deeper into China’s fast-growing hydrogen energy sector in a move that could reverberate through the global oil industry, as the country’s biggest refiner unveiled record quarterly earnings, reported the Financial Times.
The state-backed company, which has RMB 87 billion ($13 billion) in cash, said on Thursday it planned to “reallocate some of our resources all along the hydrogen chain”, from refueling stations to investing in production of the energy source itself.
The push from one of the world’s largest oil refiners into hydrogen energy comes after China, which emits more than a quarter of the world’s carbon dioxide, in September pledged to cut emissions to almost zero by 2060, said the FT.
“Like solar, like wind, like batteries, this is a new clean energy business that China wants to dominate,” said Neil Beveridge, an analyst at Bernstein. “It’s still very, very early days, but clearly this is going to be a big, big industry in the future if China’s going to hit net zero.”