Citi Treasury and Trade Solutions
34
The Challenge
China National Petroleum Corporation (CNPC) is
a Chinese state-owned oil and gas corporation
and the largest integrated energy company in
China: it was ranked fourth in the Fortune 500
2014 list. With CNPC’s massive internationalization
of its business, treasury has been evolving to
ensure it can meet growth requirements and the
additional complexity brought about by operating
worldwide. Specifically, the following challenges
needed to be addressed:
•
Lack of account visibility:
CNPC has large
number of accounts held by thousands of
subsidiaries across the world. The complexity
of account structure caused limited account
visibility.
•
Complexity of settlements:
Settlements
are handled by many different banks with
diversified settlement channels, which made
settlements complicated and inefficient.
•
Decentralized liquidity management:
Centralization of massive funds relies on
external banks systems. The extent, depth
and timeliness of cash concentration needed
to be improved.
CHINA NATIONAL PETROLEUM CORPORATION
Solving the Challenges of Global Expansion
China National Petroleum Corporation (CNPC) is one of the world’s most international companies
with oil and gas projects in 30 countries across Asia Pacific, Africa, South America, and the
Middle East. CNPC provides engineering and technical services in over 50 countries. The
company has accelerated expansion in recent years, often in emerging markets that present FX
and cash management challenges. By implementing an Integrated Treasury System (ITS), CNPC
transformed their treasury and finance function, and establish world-class cash management
capabilities to drive business growth and increase operational efficiency.
Industrials
Energy, Power
and Chemicals
Technology, Media and
Telecommunications
Consumer and
Healthcare
Non-Bank Financial
Institutions
