In the first half of 2020, the total amount of commodities produced by the Group was
6,653,100 tons, representing a decrease of 3.27% from the same period of last year. From January to June, 7.0183 million tons of crude oil were processed (including 211,700 tons of crude oil processing on given materials), a decrease of 6.08%
over the same period last year. The production of refined oil was 3.9475 million tons, a year-on-year decrease of 11.58%, of which gasoline was 1,473,900 tons, a year-on-year decrease of 12.69%; diesel was 1,836,100 tons, a year-on-year decrease of 0.82%;
aviation kerosene was 637,600 tons, a year-on-year decrease of 31.08%; LPG was 430,500 tons, a
year-on-year decrease of 5.58%. The production of ethylene was 409,000 tons, a
year-on-year decrease of 3.06%; para-xylene was 320,200 tons, a year-on-year decrease of
2.82%. Production of synthetic resins and plastics was 531,400 tons (excluding polyester and polyvinyl alcohol), an increase of 4.83% year-on-year. The production of
synthetic fiber raw materials was 273,600 tons, a year-on-year decrease of 9.19%; the production of synthetic fiber polymers was 165,600 tons, a year-on-year decrease of 13.62%; the production of synthetic fibers was 72,600 tons, a
year-on-year decrease of 22.93%. In the first half of the year, the product sales rate and payment return rate of the Group were 100.45% and 100.00% respectively.
The epidemic prevention and control achieved phased success. Since the outbreak of COVID-19, the Group
has immediately taken action to respond and carry out orderly pandemic control measures on Company staff and contractors, guaranteed material supply for pandemic control, and cooperated with local communities to prevent and control the pandemic,
etc. Meanwhile, the Group prioritized the production of medical-grade polypropylene, as well as successfully developed and produced raw materials of melt-blown nonwovens for mask manufacturing. As a result, the Group produced in total 10,452 tons of
Y2600T polymer chips base material, 5,728 tons of Y2600T-F polypropylene and 3,289 tons of specialized materials for melt-blown nonwovens. The Group vigorously promoted information technology
applications, optimized daily routines and working arrangements to achieve zero infection case internally or imported from the external, and therefore ensured the stability of the team and the Group.
Safety and environmental protection situations were under control. In the first half of the year, the Group fully implemented process safety
management measures, strengthened fundamental environmental protection management and LDAR (leak detection and repair) which basically achieved full coverage. In order to enhance safety management ability, the Group formulated and implemented a
special rectification plan, and carried out a series of educational promotion and emergency drills in Safe Production Month. From January to June, the Group achieved 100% wastewater discharge compliance rate, while the total emissions of
COD, ammonia nitrogen, SO2, and NOX decreased by 10.69%, 8.16%, 10.76% and 11.61% year-on-year, respectively. The average concentration of VOCs at the boundary of the
plant decreased by 19.71% year-on-year. The Groups accumulated comprehensive energy consumption was 0.755 tons of standard coal per RMB10,000, representing an
increase of 1.29% compared with the annual total of 0.745 tons of standard coal per RMB10,000 last year.
-15-