(LEAD) SK Innovation Q4 net losses narrow on lubricants businessFM Cho discusses visit to Beijing in 1st phone talks with Chinese counterpart

SEOUL, SK Innovation Co., South Korea's leading refiner, said Tuesday its net losses narrowed in the fourth quarter from a year earlier on increased sales in its lubricants business and overseas oil development projects.Net losses for the three months ended in December decreased to 10.89 billion won (US$8.17 million) from 481.76 billion won during the same period of 2022, the company said in a statement.The company shifted to an operating profit of 72.62 billion won in the fourth quarter from an operating loss of 764.89 billion won a year ago. Sales rose 2 percent to 19.53 trillion won from 19.14 trillion won.For all of 2023, however, net income plunged 71 percent to 546.33 billion won from 1.89 trillion won the previous year due to lower refining margins and weak sales of electric vehicle batteries.Equity gains from SK On, its wholly owned car battery unit, were reflected in SK Innovation's annual results."The Russian invasion of Ukraine in February 2022 pushed up oil prices and oil firms' refinin g margins. But last year, comparatively lower margins cut into the full-year bottom line," a company spokesperson said.The company expected demand for EV batteries to start recovering later this year as the Federal Reserve is expected to cut interest rates.Operating profit declined 51 percent to 1.9 trillion won from 3.92 trillion won during the same period. Sales fell 0.9 percent to 77.28 trillion won from 78.06 trillion won.SK Innovation owned a 89.52 percent in car battery unit SK On as of end-September.Source: Yonhap News AgencySEOUL, Foreign Minister Cho Tae-yul spoke by phone with his Chinese counterpart, Wang Yi, on Tuesday to discuss North Korea and other pending bilateral issues, his office said, the first such talks between the top diplomats since Cho's inauguration.Wang Yi also extended an invitation for Cho to visit Beijing, saying he hopes to cooperate closely with each other in the future to further advance their bilateral ties, the ministry said in a press release.Cho thanked Wang for the invitation and agreed to discuss via diplomatic channels his visit to China at a convenient time for both sides, it added.The ministers shared their assessment of the regional security situation and discussed bilateral ties, such as supply chains, according to the ministry.The two sides agreed on the need to strengthen "strategic exchanges and communication" at various levels, while Cho highlighted the importance of "minimizing the factors of conflict" and building trust between the two countries.Cho also urged efforts to acce lerate preparations for the next trilateral summit meeting between the leaders of South Korea, China and Japan as agreed at the foreign ministerial meeting in November last year, as he proposed follow-up consultations.On North Korea, Cho expressed concerns over its tensions-escalating provocations and growing military ties with Russia, as well as its nuclear and missiles development banned under U.N. Security Council resolutions.He called on Beijing to play a "constructive role" in bringing Pyongyang to dialogue and the path to denuclearization.Touching on China's forced repatriation of North Korean defectors, Cho urged special attention from the Chinese government to help them move to a country of their choice.Tuesday's phone talks marked the fifth of their kind since Cho took office early last month. Cho has held phone talks with his counterparts from the United States, Japan, Australia and Vietnam.Source: Yonhap News Agency