In the morning of May 14^th, the Company's shareholders' joint audit exchange meeting was held in Quangang office building. Mr. Li Yuhui, deputy director of Sinopec Audit Bureau and director of Guangzhou Branch of Sinopec Audit Bureau, FREP OOP members Mr. Joost Emmen, Mr. Nouraddin A. Yousuf, Mr. Lin Xu and Mr. Zhao Tianxing attended the meeting.

Mr. Liao Guanfu, the chief auditor of the audit project, reported on the preliminary results of the audit and shared audit opinions on the Company’s operation performance, safety production, risk prevention, talent selection, performance assessment, etc.

Mr. Li Yuhui commented on the audit situation. He first thanked FREP for its proactive cooperation with the audit work and the joint efforts made by the auditors from each shareholder. He said that, within such a short period of time, through joint efforts of all parties, the shareholders’ joint audit was carried out efficiently and successfully completed, and audit opinions had been formed. He expected that FREP OOP would provide feedbacks to the audit opinions to improve the audit report, and rectify related issues to promote the next step of work.

In terms of the Company operation and management, Mr. Li Yuhui emphasized that first, it was necessary to carry out long-term strategic planning, set major operation and management objectives, and achieve sustainable development of the Company; second, pay attention to legal compliance risks and comply with all laws and regulations of the government; third, the Company should operate various operating assets in the aspect of maximizing enterprise value and optimizing efficiency, thus to maximize the value-added space.

Ms. Zhang Lin, ExxonMobil audit manager, said that a complete and detailed audit process was executed according to the standards of legal compliance. She was very glad to see that FREP had made great progress in high-risk management and achieved relatively good performance.

Mr. Halawani Feras Talal O (Firas), Saudi Aramco audit manager commented, for the findings and recommendations of the audit, FREP management should take this opportunity to further enhance the Company management and operation, and start long-term planning, so as to make the Company safer and more efficient.

Mr. Joost Emmen said that OOP would thoroughly understand and summarize the audit opinions together with the audit team. The next step was to formulate the rectification plan and ensure that all findings could be effectively solved. OOP would pay special attention on the items require cross-functional collaboration and efficient cooperation at the Company management level.

Mr. Joost Emmen commented that OOP would keep the audit opinions in mind and turn it into motive force to speed up the Company development, continuously improve internal supervision and control management mechanism, further enhance profitability, and commit to maximize shareholder returns and meet the expectations of shareholders.

Shareholders’ joint audit team members, FREP departments’ responsible persons, audit office members and related business personnel attended the meeting. (Zhang Lei)