On May 14, the second meeting of the Fourth Term BOD of the Company was held in Xiamen. Chairman Zhang Xiguo presided over the meeting, with directors, supervisors, OOP, and representatives from all shareholders in attendance.

At the meeting, the Company management presented reports on the Company's operational performance in 2024 and the first quarter of 2025, progress of the safety enhancement plan, tasks related to replacement and revamp of old facilities and development planning, and financial matters, deliberating and approving relevant matters.

It was noted at the meeting that in 2024, the Company implemented robust measures to stabilize production safety, proactively advanced preparations for the TA/revamp, and successfully completed the tasks under the TA/revamp in 2024 with safety, quality, efficiency, and punctuality. It fully acknowledged the outstanding performance in TA organization, cost reduction and profitability improvement, and corporate governance, expressing gratitude to the management and all employees for their hard work.

It was emphasized at the meeting that in the face of severe market challenges, the management and all employees must turn the blade inward, strengthen internal capabilities and persistently focus on the following tasks.

First, continuously strengthen safe operations. To this end, we must focus on enhancing safety leadership and frontline execution, effectively implement the "dual prevention" mechanism, establish measurement indicators for the implementation of safety measures, ensure the effectiveness of safety tools in direct operation steps, elevate process safety knowledge and capabilities across all levels, and reinforce the Company's safety management culture.

Second, prioritize optimizing and improving margin. To this end, we must proactively explore more opportunities during the execution of margin enhancement projects, continuously deepen and expand the list of such projects, establish methods for benchmarking against design indicators, historical bests, and industry bests to identify gaps, and strengthen the end-to-end management of project proposal, demonstration, implementation, and post-assessment.

Third, plan scientifically for effective development. To this end, we must accelerate the implementation of "Quick-Win" projects to leverage their supporting role in boosting margin and reducing costs. Meanwhile, we must attach great importance to the scheme optimization and investment control of legally mandatory projects, accelerate progress according to timelines, and ensure the Company's lawful and compliant operations.

Fourth, rigorously enforce compliance management. To this end, we must ensure the effective operation and management of the Board of Shareholders, Board of Directors, and Board of Supervisors by clarifying rules of procedure and decision-making processes, thereby guaranteeing the proper functioning of the corporate governance structure.

It was also emphasized at the meeting that the all of us in the Company must fully recognize the grim operational conditions and external environment. It is imperative to ensure production safety and stable operations, heighten the urgency for optimization and improvement, and, while implementing plans and measures, identify more opportunities to enhance margins and reduce costs, thereby effectively improving the Company's operational and managerial performance. (Text: Yu Wei    Photo: Zhang Lei)