PETROCHINA CO LTD | CIK:0001108329 | 3

  • Filed: 4/27/2018
  • Entity registrant name: PETROCHINA CO LTD (CIK: 0001108329)
  • Generator: Donnelley Financial Solutions
  • SEC filing page: http://www.sec.gov/Archives/edgar/data/1108329/000119312518137017/0001193125-18-137017-index.htm
  • XBRL Instance: http://www.sec.gov/Archives/edgar/data/1108329/000119312518137017/ptr-20171231.xml
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  • ifrs-full:DescriptionOfAccountingPolicyForLeasesExplanatory

    (j) Leases

    Leases of property, plant and equipment where the Group assumes substantially all the benefits and risks of ownership are classified as finance leases. The Group has no significant finance leases.

    Leases of assets under which a significant portion of the risks and benefits of ownership are effectively retained by the lessors are classified as operating leases. Payments made under operating leases (net of any incentives received from the lessors) are expensed on a straight-line basis over the lease terms. Payments made to the Department of Natural Resources to secure land use rights (excluding mineral properties) are treated as operating leases. Land use rights are generally obtained through advance lump-sum payments and the terms of use range up to 50 years.