The Company Convened 2023 Annual Work Conference

On February 16, the Company convened the Annual Work Conference of 2023. The meeting summarized and reviewed the work accomplishments of 2022, analyzed the current domestic/ international situation and the challenges faced, comprehensively deployed the targets/ tasks of 2023, reached consensus on the action plan and the key tasks, and mobilized all cadres and employees to shoulder the responsibilities and new missions, forge ahead on a new journey to make new achievements and promote high-quality development of the Company.

Liu Xiangdong, Chairman of the Board and secretary of the Party Committee of the Company, attended the meeting and delivered a speech. OOP made a work report, and general managers and deputy general managers of all departments, business team managers, and employee representatives of the Company attended the meeting.

Liu Xiangdong commented that in 2022, all Party members, cadres and employees of the Company implemented the resolutions of Board of Directors and the work arrangements of the OOP, and continuously implemented the actions and measures to improve quality and profitability in accordance with the deployments of the Company's Party Committee for the theme action of "Keeping in mind the entrustment, making new achievements, creating better achievements, and preparing for, learning and implementing the spirit of the 20th CPC National Congress". We made new achievements in production and operation, ensured stable production and operation in general, reached a record high of aromatics output, achieved remarkable results in cost reduction/ energy saving/ consumption reduction/ market expansion/ sales promotion. The Company won the honorary titles of "Fujian Provincial Green Factory" and "Environmental Integrity Enterprise".

Liu Xiangdong stressed that 2023 was the first year to implement the spirit of the 20th CPC National Congress, a key connecting year of the "14th Five-Year Plan" period, and a year to celebrate the 40th anniversary of the founding of Sinopec. It was of great significance as well as our responsibility to complete the annual targets and tasks.

Liu Xiangdong stressed on three requirements: first, to align our mindset and understanding, and establish firm confidence in achieving the annual targets and tasks. We should align our mindset, strengthen confidence, give full play to the advantages of the integrated refining and chemical plant, adhere to market-oriented production and operation management mechanism, continuously strengthen effective measures to respond to the market quickly, improve quality and profitability, and fully complete the annual targets and tasks. At present, the increasing demand for jet fuel in the domestic market brought opportunities to us. We should seize the opportunity to increase profit, appropriately schedule production and operations, maximize profit and strive to achieve a "good start" in the first quarter.

Second, we should defend the bottom line of HSE and consolidate the foundation of all-round high-quality development. We should strengthen safety awareness, cultivate the safety culture, firmly implement the principle of "Only arrange production/ construction/ startup when it is safe", work hard to forge a "strict and meticulous" work style, and gradually form a good safety culture atmosphere of "I want safety". We should improve the safety responsibility system, implement the responsibilities level by level, adhere to promoting the concrete implementation of the "three management and three must", and assign safety responsibilities to each business department in a solid manner. We should strengthen the work of "three basic", consolidate the foundation of the management and the safety work at primary level with concentrated efforts, preferential policies, guaranteed resources, and gathered strength. More efforts should be made on strengthening management and rectification of risks/ hazards, and improve the ability of safety assurance. Contractor management should be strengthened, with strict control of risks in operation. We should resolutely remove formalism and bureaucracy in safety and environmental protection work, lay the foundation with a sense of responsibility of "staying on high alert all the time", strengthen implementation and make every effort to prevent and remove major risks and hazards, thus to comprehensively improve intrinsic safety and build a solid foundation for all-round high-quality development of the Company with first-class safety performance.

Third, we should work hard to drive integration and mutual promotion and give full play to the leading and safeguarding role of Party building. Efforts should be made to improve political awareness with stronger leadership, ensure production and operation from the political level, improve the awareness on the basis of production, and focus on improving the political leadership and organizational functions at primary level organization, and give full play to political advantages to solve issues in production. We should make in-depth integration to promote development, adhere to integrated promotion of Party building with production and operation objectives, business process and performance appraisal, and effectively transform the integration results into production/ operation performance. We should strengthen team management, and strengthen cultivation of employees, with special focus on youth employees training. Platform and resources should be provided to improve their basic knowledge and skills, so as to build a strong frontline backbone talent mix, and improve the comprehensive quality, ability and experience of employees through strengthened on-post training and skill competitions.

President Saleh Zaid summarized the Company's performance of 2022, analyzed in detail the highlights and gaps of 2022, shared the current business environment and operation situation, and defined the work targets and tasks of 2023. He commented that in 2023, the global economy would face the pressure of inflation and recession, crude oil prices would remain high and volatile, with shrinking refining product market demands and severe competition after startup of new capacity. In addition, the green and low-carbon transformation would be accelerated toward the carbon neutrality and carbon peak goals, and the Company's business environment would become more severe.

He stressed that in the face of the severe environment, there were both opportunities and challenges. We should strengthen confidence, and solidly promote the Company's work in the aspects of production and operation, safety and environmental protection, and green development. Focus shall be placed on the five key focus areas, and complete the "Top 10" Tasks of 2023 up to high quality. He required all employees to unite as one, cooperate closely, focus on implementation, face up to difficulties, take proactive actions, and adhere to the Company spirit of "teamwork and pursuit of excellence" to promote high-quality sustainable development of the Company.

Vice president Lin Xu, vice president Suchart Phowatthanasathian and vice president Li Ji made special reports on the key work of improving quality and profitability, sustainable development, safety, reliability, operation and personnel management respectively.

At the meeting, OOP issued the departmental target commitment letter to the responsible people of each department.

Outstanding teams and individuals were commended, and awarded 10 employees the honorary title of “Outstanding Employee”, i.e., Deng Shengxuan, Guo Tao, Zhang Bo, Wang Min, Ke Ning, Lin Longhai, Li Zepu, Zheng Lubo, Wu Xiaoxia and Li Lin. Among them, Zhang Bo won the "Outstanding Contribution in HSSE", Ke Ning won the "Outstanding Contribution in Reliability", and Li Zepu won the "Outstanding Contribution in Profit". Chen Jianming, Lai Renman, Chen Jingtao, Li Weiwei, Liu Dan and Wang Chuanhai were awarded as "Outstanding Employee Nomination Award". Su Kaiqi, Deng Peng, Tang Zhixiang and Xu Wenji were awarded as "Outstanding Young Employee of the Year". Three groups were awarded the honorary title of "Outstanding Team", including the cross-functional group for Aromatics Complex revamp and startup, the cross-functional group for Covid-19 prevention and control, and the support group for capital profit increase and cost reduction. Three primary level teams including the Shift Team #1 of HCU of Fuels-1 Business Team, the PO Team of Instrument& Control Group of Mechanical Department, and the Team #1 of Product Quality Center of Technical& Planning Department were awarded as "Outstanding Team". Business Analysis Module of Technical& Planning Department was awarded as "Outstanding Business Module".

During the conference, the attendees were break into five groups to discuss the "Top 10" Tasks of 2023. They put forward ideas and suggestions, and reported the discussion results at the conference. (Xiao Wanyuan, Zhang Lei)