China Petroleum & Chemical (386.HK) climbed over 3% during Hong Kong trading to HK$4.62, extending gains after the company reported stronger-than-expected first-half earnings.

The state-owned refiner posted a net profit of approximately 26.57 billion yuan for the first half, up about 12% year on year, on revenue of 1.44 trillion yuan. The exploration and production segment saw profit jump 21%, while the refining unit's profit surged 3.8 times and petrochemical losses narrowed by 94%. An interim dividend of 10.5 fen per share was declared, totaling nearly 12.7 billion yuan in payouts.

Separately, Iranian officials warned that oil exports through the Strait of Hormuz and Persian Gulf could be disrupted if the U.S. escalates economic pressure, adding volatility to crude prices and drawing attention to the energy sector.