On November 17, the Company held the third meeting of the third term of the BOD via teleconference. Board Chairman Liu Xiangdong chaired the meeting. Directors of the Company attended the meeting, and the Company Supervisors, members of the Office of Presidents, General Managers of HSE Department, Technical& Planning Department, Marketing& Sales Department, Finance Department, HR& Admin Department and representatives of shareholders attended the meeting as non-voting attendees.

At the meeting, the Company management reported the business performance from January to October 2022 and the 2022 outlook, the Business Plan (2023-2026), the capital investment projects, the important contracts and strategies, the finance related report and the People Management Plan of 2023, and reviewed/ approved relevant items.

The board directors affirmed the accomplishments of the Company since 2022 in the aspects of epidemic prevention and control, reliability, margin improvement, energy efficiency, operation optimization, etc., and thanked the Company’s management and employees for their hard work. It was commented at the meeting that the board attached great importance to production safety work, and required the Company to learn in-depth from the incidents happened in petrochemical industry and other industries, to ensure effective and sustainable implementation of the Safety Culture Improvement Plan.

The directors highly concerned the profit results of the Company in 2022. It was expected at the meeting that the Company management could fully understand the challenging and severe business environment, strive to increase profit, save cost and drive the performance toward the first quartile of benchmarking. The Company was expected to respond to market changes more promptly, take the adjusted epidemic response policies and the recovery market growth in the fourth quarter this year, strive for higher domestic sales and exports of production oil, as well as better chemical profitability. In addition, more effective measures shall be taken to improve internal management, and more efforts shall be made to remove operation constraints, cut controllable costs, diversify raw materials and optimize inventory. (Yu Wei)