Sinopec, PetroChina Dismiss Merger Rumors

Sinopec Corp and PetroChina (PCCYF) on Monday dismissed media reports their parents would merge to create a state giant, saying they have never received any official information about such a restructuring.

"Neither the company nor its controlling shareholder has ever received any information, written or verbal, from any government authority," Sinopec said in a filing with the Hong Kong stock exchange.

Its major rival PetroChina, the country's dominant oil and gas producer, issued a similar statement via the Shanghai stock exchange late on Monday.

This is the first time Sinopec Corp, Asia's largest refiner, and PetroChina have formally downplayed Chinese and foreign media reports over the past few months that Beijing is considering merging Sinopec's parent with China National Petroleum Corp, which controls PetroChina.

Shares of Sinopec and PetroChina surged in Shanghai and Hong Kong on Monday after state media reported that China will likely cut the number of central government-owned conglomerates to 40 through a series of mergers as Beijing pushes forward a plan to overhaul the underperforming state sector. (Reporting by Charlie Zhu