Sinopec Oilfield Service Corporation (SSC) held the 2nd Extraordinary General Meeting in KUNTAI Royal Hotel, Beijing on December 24th, 2018. Participants in the meeting deliberated and approved resolutions on continuing connected transactions, nominating Mr. Liu Zhongyun as nonexecutive director of the board, and guaranteeing its fully-owned subsidiaries. SSC directors, supervisors, management and heads of the departments received training on revised edition of public company governance principles by Haiwen & Partners. Then in the 9th session of the 9th board meeting, Mr. Liu Zhongyun was elected as chairman of the 9th board meeting. Members of strategy committee and the audit committee of the 9th board meeting were adjusted accordingly. Mr. Liu Zhongyun also had further communications with the directors who gave many useful suggestions on the company’s future development.
Mr. Liu Zhongyun who is Sinopec Group vice president and SSC board director spoke at the meeting that international oil prices continued to increase and domestic companies enhanced oil and gas E&P in 2018. SSC has been active in deepening reforms, exploring markets, cutting costs and enhance effiency. The work volume and revenue increased compared to the same period of last year. It is expected that the company would reduce losses and turn profitable for 2018 as planned, and remove the title of special treatment (*ST) in the A-share stock market as expected.
In 2019, China’s three biggest oil companies will implement national strategy of energy security and continuously increase upstream E&P CAPEX. Seizing the opportunities above, SSC will vigorously explore markets to make more profits. It will make efforts to enlarge the space for development through extending the industry chain and co-operations including joint ventures. Closely following trends of automation and artificial intelligence, SSC will focus on technical innovation to fasten speed and increase efficiency. Also it will continue to condense management levels and streamline logistics and auxiliary entities to reduce operation costs, which will lead to further optimization of the organization structures. It will move forward to reduce headcount and increase profits by improving production efficiency. The company will make concerted efforts to open up a new prospects and make new achievements. (Rong Liming)