CITIC Resources Outlook Revised To Positive On Improving Financials; 'BB-' Rating Affirmed

We expect CITIC Resources Holdings Ltd.'s financial leverage to remain much lower in the next 12 months than during the industry trough of 2015-2016, mainly on a recovery in oil prices. We expect the company's non-oil businesses to continue to contribute stable cash flows. On May 21, 2019, S&P Global Ratings revised its outlook on CITIC Resources to positive from stable. At the same time, we affirmed our 'BB-' long-term issuer credit rating on the Hong Kong-based oil producer. The positive outlook reflects our expectation that CITIC Resources will maintain its leverage at a much lower level than during the industry trough of 2015-2016. HONG KONG (S&P Global Ratings) May 21, 2019--S&P Global Ratings today took the rating actions listed

...May 21, 2019 - We expect CITIC Resources Holdings Ltd.'s financial leverage to remain much lower in the next 12 months than during the industry trough of 2015-2016, mainly on a recovery in oil prices. - We expect the company's non-oil businesses to continue to contribute stable cash flows. - On May 21, 2019, S&P Global Ratings revised its outlook on CITIC Resources to positive from stable. At the same time, we affirmed our '##-' long-term issuer credit rating on the Hong Kong-based oil producer. - The positive outlook reflects our expectation that CITIC Resources will maintain its leverage at a much lower level than during the industry trough of 2015-2016. HONG KONG (S&P Global Ratings) May 21, 2019--S&P Global Ratings today took the rating actions listed above. We revised the outlook to positive to reflect our view that CITIC Resources' profitability will be much better and its financial leverage much lower than levels in 2015-2016, when oil prices were in a trough. The improvement in...

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