Recently, ZPEC successfully completed the issuance of shares to specific targets, raising a total of approximately 1.184 billion yuan (~166.7M USD) in funds. This has further optimized the equity structure, enriched capital, enhanced financial stability and risk resistance, and provided medium and long-term capital guarantees for the company's continuous and steady development.

The final subscribers determined for this issuance include a total of 14 institutions and individual investors, including Guotai Asset Management Co., Ltd., Xingzheng Global Fund Management Co., Ltd., Tianan Life Insurance Co., Ltd., Ruizhong Life Insurance Co., Ltd., and CITIC Securities Co., Ltd.

In recent years, ZPEC was the first private enterprise in China to obtain the exploration right for conventional oil and gas blocks and the only one to obtain the mining rights for domestic conventional oil and gas blocks. ZPEC has gradually developed into an international oil and gas resource enterprise focusing on three major businesses: "Exploration and Production”, “Oilfield Services Engineering” and “High-end Equipment Manufacturing". Relying on the management model of combining the four major advantages of "Talent", "Equipment", "Management", and "Technology", the company has formed an integrated core competitiveness from exploration to production in the upstream of the oil & gas industry chain. The company's integrated development advantages and achievements are remarkable. In opening both the upstream and downstream industry chains, it has formed a "new model" of coordinated development and mutual promotion among the exploration and production, oilfield services engineering, and high-end equipment manufacturing sectors, becoming a pioneer among private enterprises in the oil and gas system reform and a "discoverer of industrial value".

The funds raised from this private placement are mainly used for increasing reserves and boosting production in oilfield projects. After the smooth construction of the projects, it will help further implement new reserves and release oilfield production capacity, bringing new development impetus to the company. The successful completion of this issuance is the capital market's high recognition of ZPEC's future development prospects. It is also a concentrated manifestation of the company's core competitive advantages, innovation capabilities, and long-term investment value. In the future, the company will continue to deeply cultivate the oil and gas industry chain, unswervingly expand and strengthen the oil and gas exploration and production business, combine capital operations to strengthen the enhancement of the company's intrinsic value, and help the company achieve high-quality development.

(Securities Affairs Department, Wang Bingyu)