On the morning of November 15, the third meeting of the third term Board Audit Committee of the Company was held via teleconference. BAC Chairman Liu Xiangdong chaired the meeting.

At the meeting, the follow-ups of the resolutions of the last BAC meeting, the internal audit work report, the internal audit five-year rolling plan and staffing plan, the external audit work report and the Company’s control status were reported.

The BAC members affirmed the improvement and efforts made by the Company’s management in the aspects of cyber security and information technology construction, as well as the progress made by the BAC office in improving the quality of internal audit, HSE management audit and information system audit. In addition, the BAC members expressed their concern about the Company's cyber security, shareholders audit gap closure, contractor management, field work safety management and emergency materials management, and expected the Company’s management to carry out self inspection to draw inferences to other cases, and review the overall business processes to systematically close the gaps with continuous improvement of efficiency and effectiveness of internal control.

At the meeting, the Five-year Rolling Plan of Internal Audit (2023 – 2027), the Internal Audit Work Plan and the Staffing Plan of 2023, and the FREP Internal Audit Work Manual 2022 Revision were approved. (Liu Zhaoyu)