11:00     SHANGHAI PECHEM<00338> - Announcement (18)                          

                                   Petrochemical Corporation of               
                                   financial services                         
    `Comprehensive Services        the framework agreement to be              
    Framework                      entered into between the                   
    Agreement'                     Company and China                          
                                   Petrochemical Corporation in               
                                   relation to the provision by               
                                   China Petrochemical                        
                                   Corporation and its                        
                                   associates of certain                      
                                   services to the Company                    
    `Director(s)'                  director(s) of the Company,                
                                   including independent                      
                                   non-executive directors                    
    `Framework Agreements'         the Sales and Purchases                    
                                   Framework Agreement and the                
                                   Comprehensive Services                     
                                   Framework Agreement                        
    `HK$'                          Hong Kong dollars, the lawful              
                                   currency of Hong Kong                      
    `Hong Kong'                    Hong Kong Special                          
                                   Administrative Region of the               
                                   PRC                                        
    `Hong Kong Stock Exchange'     The Stock Exchange of Hong                 
                                   Kong Limited                               
    `Hong Kong Listing Rules'      The Rules Governing the                    
                                   Listing of Securities on The               
                                   Stock Exchange of Hong Kong                
                                   Limited                                    
    `Independent Board Committee'  the committee of independent               
                                   non-executive Directors,                   
                                   consisting of Gu Chuanxun,                 
                                   Wang Xingyu, Wang Yongshou                 
                                   and Chen Xinyuan, formed to                
                                   advise the Independent                     
                                   Shareholders in respect of                 
                                   the terms of the Continuing                
                                   Connected Transactions and                 
                                   the caps for three years                   
                                   ending 31 December 2007 on                 
                                   the relevant Continuing                    
                                   Connected Transactions                     
    `Independent Shareholders'     shareholders other than China              
                                   Petroleum & Chemical                       
                                   Corporation and its                        
                                   associates                                 
    `PBOC'                         People's Bank of China                     
    `RMB'                          Renminbi, the lawful currency              
                                   of China                                   
    `Sales and Purchases           the framework agreement to be              
    Framework Agreement'           entered into between the                   
                                   Company and China Petroleum &              
                                   Chemical Corporation in                    
                                   relation to the sale and                   
                                   purchase of certain raw                    
                                   materials, petroleum products              
                                   and petrochemical                          
                                   products.                                  
    `Shanghai Listing Rules'       the listing rules of the                   
                                   Shanghai Stock Exchange.                   
    `Shareholders'                 the shareholders of the                    
                                   Company                                    
                                                                              
                                                                              
                                                                              
    As at the date of this announcement, the executive directors of the       
    Company are Lu Yiping, Rong Guangdao, Du Chonyjun, Han Zhihao, Wu         
    Hajun and Gao Jinping; the non-executive directors of the Company are     
    Liu Wenlong and Zhang Baojian, and the independent non-executive          
    directors of the Company are Gu Chuanxun, Wang Yongshou, Wang Xingyu      
    and Chen Xinyuan.                                                         
                                                                              
                                                                              
                                                                              
    By Order of the Board                                                     
    Zhang Jingming                                                            
    Company Secretary                                                         
                                                                              
    Shanghai, PRC, 28 April 2005