2025 Annual Report

Full content of 2024 Annual Report Full content of 2025 Annual Report A Letter to Investors Dear Investors: Strengthening the nation through industry to build new dreams; keeping our original aspiration like a torch to embark on a new journey. Standing firm in the real economy and moving towards prosperity, we have tempered our resilience within industry cycles and stood at the forefront of industrial transformation. On the occasion of the disclosure of the 2025 Annual Report, we carry our gratitude and commitment in this letter to express our most sincere thanks to global investors for your long-term trust and support! In 2025, amidst the surging industrial waves and accelerating evolution of industry changes, we have walked hand in hand with all shareholders, forging foundations with perseverance, breaking new ground through innovation, and creating value through hard work, marching towards the light on the path of high-quality development. Enhancing the foundation to improve quality and efficiency; expanding new horizons through chain synergy. In 2025, the global macro-economic environment remained complex, and the petrochemical industry was in a period of bottom adjustment within the cycle. Relying on its world-leading ultra-large integrated refining and chemical platform, the Company stabilized operations, improved quality and efficiency, and sought upgrades, achieving high-quality and steady development. On one hand, the Company continuously strengthened market judgment and overall production and operation coordination, achieving a total operating revenue of RMB 308.6 billion and total assets exceeding RMB 386.6 billion. On the other hand, the Company focused deeply on its core business, fully releasing its core advantages of the entire industrial chain integration—delving into internal potential for cost reduction and efficiency, while optimizing external layouts to extend the value chain. We have orderly advanced the tank farm and terminal engineering of the Jintang crude oil storage and transportation base to enhance logistics and storage resilience; laid out the Zhoushan-Ningbo petrochemical base interconnection pipeline project to achieve efficient synergy among the three major bases; implemented the ZPC refining and chemical integration transformation and enhancement project to strengthen the flexible adjustment capability of chemical and petroleum products; constructed chain-optimization and extension projects such as high-performance resins and Full content of 2025 Annual Report high-end new materials, accelerating the upgrade of the product structure toward high-end and differentiated fields. The 40 mtpa refining and chemical integration project primarily operated by the Company remains the largest single-entity project in the world; the production capacities of core products such as PX and PTA rank among the top globally. We have built a complete industrial ecosystem from "a drop of oil to everything in the world," forming