Terminal Operations - The Group operates a liquid product terminal, Dongzhou Petrochemical Terminal, with a total storage capacity of approximately 260,000 cubic meters, including 180,000 cubic meters for gasoline and diesel [12]. - The Group is in the process of developing the second phase of the terminal, which includes the construction of liquefied natural gas (LNG) storage tanks on approximately 150,000 square meters of vacant land [13]. - The terminal is strategically located in the Greater Bay Area, attracting customers for the distribution of refined oils and providing storage for hazardous materials [16]. - Revenue from the terminal storage business is generated through leasing storage tanks and handling charges for cargo movement, along with ancillary services such as tank cleaning [17]. - The average leaseout rate for oil and petrochemical tanks was 97.5% in 2022, a slight decrease of 0.3 percentage points from the previous year [23]. - Terminal throughput dropped by 20.9% to 3,295,000 metric tons in 2022, with port jetty throughput down 14.2% and loading station throughput down 32.3% [23]. - Transshipment volume for oil increased by 117.6% to 54,557 metric tons, while petrochemicals increased by 84.1% to 91,663 metric tons [23]. Trading Business Performance - The number of sale contracts entered in the trading business fell by 37.6% to 58, and sales volume of oil and petrochemical products decreased by 74.1% to 116,000 metric tons [30]. - The Group's trading business has been impacted by external factors, including consumption tax on refined oil products and high volatility in crude oil prices [30]. - The decline in trading revenue was primarily due to the consumption tax imposed by the Chinese government on certain refined oil and petrochemical products since June 2021, which increased costs and dampened customer demand [40]. Financial Performance - The Group recorded total revenue of HK$694.9 million for the year ended December 31, 2022, a significant decrease of 64.8% compared to the previous year [40]. - Revenue from the sale of oil and petrochemical products was HK$543.6 million, accounting for 78.2% of total revenue, reflecting a decrease of 69.6% year-on-year [40]. - Terminal storage business generated revenue of HK$145.6 million, representing 21.0% of total revenue, with a decrease of 13.3% compared to the previous year [40]. - Rental income from a filling station was HK$5.6 million, down 64.4% from HK$15.7 million in the previous year [40]. - Gross profit for the year was approximately $93.6 million, down 12.4% from $106.8 million in 2021, but the gross profit margin increased to 13.5%, up by 8.1 percentage points year-on-year [54][56]. - EBIT increased by 18.3% to approximately $55.4 million from $46.8 million in 2021, driven by higher other income and reduced selling and administrative expenses [54][58]. - EBITDA for the year was approximately $112.3 million, a decrease of 8.7% from $123.0 million in 2021, reflecting the overall decline in trading activities [54][58]. - The Group's total cash and bank balances as of December 31, 2022, amounted to approximately $162.3 million, an increase from $118.2 million in 2021, mainly due to cash inflow from operating activities [67]. - As of December 31, 2022, total assets were approximately $1,976.7 million, down from $2,286.7 million in 2021, with net current assets decreasing to approximately $235.3 million [68]. - The gearing ratio as of December 31, 2022, was 38.9%, a slight improvement from 40.9% in 2021, indicating a reduction in leverage [69]. - The basic and diluted earnings per share for the year was $0.01, a turnaround from a loss of $0.41 per share in 2021, indicating improving earnings [66]. Strategic Initiatives - The Group aims to expand its customer base to end customers of filling stations by signing key fuel supply agreements and providing brand management services [27]. - The Group plans to actively expand its customer base and business scale as the pandemic situation stabilizes [31]. - The Group plans to attract customers engaged in new energy products, such as biodiesel, to support its transformation into the new energy industry [44]. - In 2023, the Group aims to increase the number of franchised filling stations under the "Hans Energy" brand to expand its market share [45]. - The second phase development of the DZIT project, including LNG tank construction, is expected to make substantial progress in 2023 [46]. Corporate Governance - The company has committed to high standards of corporate governance practices in compliance with the CG Code, with the Board stating compliance throughout the year except for certain deviations [141]. - The company has adopted many new requirements under the amended CG Code, which became applicable from January 1, 2022, reflecting its commitment to corporate governance [142]. - The Group's Anti-Bribery and Corruption Policy was introduced in November 2022, covering anti-corruption activities and reporting mechanisms for suspected corruption practices [146]. - The Group's Whistleblowing Policy was also introduced in November 2022, ensuring that any convicted cases will be reported to the chairman of the Audit Committee [146]. - The Board Diversity Policy was adopted in August 2013 and is subject to annual review, with a commitment to appoint at least one female Director by December 31, 2024 [151]. - The Group has no female Director currently but is actively seeking suitable candidates to meet gender diversity targets [152]. - The Group's practices align with new corporate governance requirements, emphasizing a healthy corporate culture to achieve sustainable growth [144]. Human Resources - The Group had approximately 172 employees as of December 31, 2022, a decrease from 230 employees in 2021 [105]. - The Group has adopted share option and share award plans to incentivize eligible employees [111]. - The Group aims to provide reasonable benefits to eligible employees through social insurance policies [111]. Investments and Financial Position - The Group's significant investments include unlisted equity securities in BTHL, with a total consideration for share subscriptions amounting to HKD 1.19 billion, HKD 12.58 billion, and HKD 8 million for respective shares [78]. - Following the completion of the BTHL acquisition, Glorify held 1,555.91 BTHL shares as of December 31, 2022, representing approximately 15.56% of the entire issued share capital in BTHL [85]. - The Group recorded a fair value loss of HK$140.0 million for the year ended December 31, 2022, compared to a gain of HK$309.3 million in 2021 [90]. - The total capital contribution into Templewater by the Group was approximately HK$78 million (equivalent to approximately US$10 million) as of December 31, 2022 [92]. - The Group had a maximum capital commitment of HK$156 million (equivalent to US$20 million) in Templewater, which had total committed capital of approximately US$187 million [92]. - The Group did not invest in Templewater during the year ended December 31, 2022, compared to an investment of HK$25.0 million in 2021 [97]. Risk Factors - The ongoing impact of the Russia-Ukraine war and global inflation presents uncertainties for the Company's development in 2023 [43]. - Management is confident that the Group has adequate financial resources to meet future debt repayments and support working capital and expansion needs [75]. - The Group will pay close attention to capital and debt market conditions to ensure efficient use of financial resources [79].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公佈的內容概不負責，對其準確性或完整性亦不發表任何聲明， 並明確表示，概不對因本公佈全部或任何部分內容而產生或因依賴該等內容而引致的任何損失承擔任何責任。 HANS ENERGY COMPANY LIMITED 漢思能源有限公司 (於開曼群島註冊成立的有限公司) (股份代號: 00554) 截至二零二二年十二月三十一日止年度 全年業績公佈 漢思能源有限公司（「本公司」）董事會（「董事會」）公佈，本公司及其附屬公司（「本集 團」）截至二零二二年十二月三十一日止年度之綜合業績如下: 截至二零二二年十二月三十一日止年度之綜合損益表 (以港元列示） 附註 二零二二年 二零二一年 千元 千元 收入 2 694,851 1,974,767 直接成本及經營費用 (601,234) (1,867,945) 毛利 93,617 106,822 其他收益 3 55,479 26,236 銷售及行政費用 (85,672) (156,309) ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公佈的內容概不 負 責，對 其 準 確 性 或 完 整 性 亦 不 發 表 任 何 聲 明，並 明 確 表 示，概 不 對 因 本 公 佈 全部或任何部分內容而產生或因依賴該等內容而引致的任何損失承擔任何責 任。 HANS ENERGY COMPANY LIMITED 漢思能源有限公司 （於 開 曼 群 島 註 冊 成 立 的 有 限 公 司） （股 份 代 號：00554） 截至二零二一年十二月三十一日止年度之 年報之補充公佈 茲提述漢思能源有限公司（「本公司」，連 同 其 附 屬 公 司，「本集團」）於二零二二 年四月二十五日刊發的截至二零二一年十二月三十一日止年度的年報（「二 零 二一年年報」）。本 公 司 謹 此 根 據 上 市 規 則 附 錄 十 六 第32(4A)段，提 供 以 下 本 集 團 重 要 投 資 的 更 多 資 料。 除 另 有 所 指 外，本 公 佈 所 用 詞 彙 與 二 零 二 一 年 年 報 所 界 定 者 具 相 同 涵 義。 重要投資 本 集 團 的 重 要 投 資 包 括 非 上 市 股 本 證 券 及 金 融 資 產 ...

Business Operations - The Group operates a liquid product terminal, Dongzhou Petrochemical Terminal, with a total storage capacity of approximately 260,000 cubic meters, including 180,000 cubic meters for gasoline and diesel [11]. - The Group is expanding its trading business in Hong Kong to increase its customer base and business scale, maintaining long-term relationships with major energy companies like CNOOC and Sinopec [16]. - The Group's strategy includes expanding its customer base to end customers of filling stations by prioritizing fuel supply agreements, enhancing unit profit from the trading business [18]. - The Group owns a filling station in Guangzhou with a site area of approximately 12,500 square meters, which has been leased to an independent third party for rental income [19]. - Currently, there are nine filling stations under the "Hans Energy" brand located across Guangdong Province and Guangxi Province in the PRC [19]. - The Group is seeking various development opportunities to diversify its business and increase revenue sources, continuing its established business diversification strategies [20]. - The Group submitted an application for the second phase development of Dongzhou Petrochemical Terminal, utilizing approximately 150,000 square meters of vacant land for LNG storage facilities [13]. - The Group aims to maximize shareholder value by utilizing spare capacity from jetties and vacant land in its terminal storage business [13]. - The Group's terminal storage business is focused on generating more revenue through diversification and maximizing the use of existing resources [13]. - The Group actively expands its share of the refined oil retail market through various means, including leasing and brand management services [19]. Financial Performance - The Group recorded total revenue of $371.9 million for the six months ended June 30, 2022, a significant decrease of 77.6% compared to the same period last year [38]. - Revenue from the sale of oil and petrochemical products was $294.1 million, accounting for 79.1% of total revenue, with a decrease of 81.1% on a half-year basis [38]. - Terminal storage revenue was $74.9 million, representing 20.1% of total revenue, down 20.5% compared to the previous year [38]. - EBITDA increased by 26.5% compared to the same period last year, indicating effective cost reduction and efficiency improvement measures [45]. - The gross profit ratio improved by 9.3 percentage points over the same period last year, reflecting better operational efficiency [45]. - The Group plans to focus on reviving the terminal storage business and continue cost reduction efforts in the second half of 2022 [46]. - The decrease in trading revenue was attributed to the consumption tax on refined oil products and the impact of COVID-19 lockdowns in China [38]. - The Group's revenue for the six months ended 30 June 2022 was $371.9 million, a decrease of 77.6% compared to $1,659.1 million in the same period of 2021 [51]. - Gross profit margin increased to 13.1%, up by 9.3 percentage points from the previous year, primarily due to a reduction in low-margin trading activities [51]. - Direct costs and operating expenses were $323.2 million, representing a decrease of 79.8% from $1,596.3 million in the prior year [54]. - EBIT for the period was $15.4 million, an increase of 420.0% compared to a loss of $4.8 million in the same period last year [58]. - Basic and diluted losses per share improved to $0.35 cents from $0.87 cents in the prior year, reflecting a 59.8% reduction in losses [61]. Cash Flow and Liquidity - As of 30 June 2022, total cash and bank balances increased to $247.5 million from $118.2 million at the end of 2021, attributed to cash inflow from reduced working capital [63]. - The Group's total assets were $2,273.8 million, slightly down from $2,286.7 million at the end of 2021, with net current assets at $236.7 million [63]. - The gearing ratio remained stable at 40.9% as of 30 June 2022, unchanged from the end of 2021 [63]. - The Group is confident in its financial resources to meet future debt repayments and support working capital and expansion needs [63]. - The cash and cash equivalents as of June 30, 2022, were $247,528,000, an increase from $63,121,000 at the end of 2021 [164]. - The net increase in cash and cash equivalents for the six months ended June 30, 2022, was HK$190,133,000, compared to a decrease of HK$1,616,000 in 2021, showing improved liquidity [104]. - Cash generated from operations for the six months ended June 30, 2022, was HK$216,256,000, compared to HK$51,914,000 in 2021, representing a significant increase [102]. - Proceeds from new bank loans amounted to HK$113,431,000 in the first half of 2022, up from HK$23,980,000 in the same period of 2021, reflecting enhanced financing activities [102]. Employee and Shareholder Information - The Group's workforce decreased to approximately 180 employees as of June 30, 2022, down from 230 employees as of December 31, 2021 [74]. - The Group did not recommend any interim dividend for the six months ended June 30, 2022, consistent with the previous year [82]. - The Group has adopted a share option scheme and share award scheme to incentivize employees based on performance [74]. - Equity-settled share-based payment expenses recognized for the six months ended June 30, 2022, amounted to $15,872,000, a decrease from $29,378,000 for the same period in 2021 [189]. - The total number of issued ordinary shares remained at 3,956,638,000 as of June 30, 2022, unchanged from December 31, 2021 [184]. Segment Reporting and Compliance - The Group's segment reporting includes three reportable segments: Terminal Storage, Trading, and Other, allowing for detailed performance assessment [111]. - The measure used for reporting segment profit is "adjusted (losses)/profits before taxation," providing a clearer view of operational performance [112]. - The Group's interim financial report is prepared in accordance with HKAS 34, ensuring compliance with relevant accounting standards [109]. - The financial information for the year ended December 31, 2021, included in the interim report does not constitute statutory annual consolidated financial statements, but is derived from them [109]. - The Group has not applied any new standards or interpretations that are not yet effective for the current accounting period, ensuring consistency in financial reporting [109].

Terminal Operations - The Group operates a liquid product terminal, Dongzhou Petrochemical Terminal, with a total storage capacity of approximately 260,000 cubic metres, including 180,000 cubic metres for gasoline and diesel products[16]. - The terminal is strategically located in the Greater Bay Area, enhancing its appeal to customers for refined oil distribution and temporary storage of hazardous goods[18]. - The terminal is fully licensed to handle a wide range of dangerous and hazardous goods, ensuring compliance with safety and environmental regulations[18]. - The terminal features 94 oil and petrochemical tanks, with specific capacities allocated for different types of products[16]. - The terminal's operational area spans approximately 516,000 square metres, providing ample space for logistics and storage[16]. - The Group's strategic location and comprehensive services position it favorably within the competitive landscape of the energy sector in South China[18]. - The average leaseout rate for oil and petrochemical tanks was 97.8%, a slight decrease of 0.7 percentage points compared to the previous year[26]. - The number of domestic vessels visited increased by 53.5% year-on-year, while the overall transshipment volume decreased by 58.7%[26]. - Terminal throughput decreased by 11.7% to 4,165,000 metric tons from 4,718,000 metric tons in the previous year[24]. - The number of trucks served to pick up cargoes decreased by 4.3% to 64,634 from 67,517 in the previous year[24]. - Transshipment volume of oil decreased significantly by 70.3% to 25,071 metric tons[24]. Financial Performance - The Group's total revenue decreased from HKD 2,481.9 million to HKD 1,972.4 million, a decline of 20.5% year-on-year[39]. - Revenue from sales of oil and petrochemical products was HKD 1,791.1 million, accounting for 90.8% of total revenue, down 22.1% compared to the previous year[40]. - Revenue from terminal, storage, and transshipment activities for liquid chemicals was HKD 168.0 million, a slight increase of 2.2% year-on-year, but a decrease of about 4.7% when excluding currency appreciation effects[39]. - Revenue from operating a filling station decreased from HKD 18.4 million to HKD 13.3 million, a decrease of 27.7% year-on-year due to leasing the station to an independent third party[40]. - The Group expects better operating results and greater profitability in the coming year due to improved overall operating profit and increased net assets from financial investments[42]. - The Group's diversification strategy has begun to yield positive results, contributing to improved financial performance[42]. - Gross profit increased by 57.3% to approximately $104.4 million, with a gross profit margin of 5.3%, up by 2.6 percentage points year-on-year[53]. - Direct costs and operating expenses decreased by 22.7% to approximately $1,867.9 million, with inventory costs from oil and petrochemical products accounting for 94.2% of total direct costs[56]. - EBIT for the year was approximately $46.8 million, an increase of 304.9% from $11.6 million in 2020, driven by net fair value gains on financial assets[57]. - EBITDA increased by 43.3% to $123.0 million, compared to $85.9 million in the previous year[57]. Strategic Initiatives - The Group actively expanded its trading business in Hong Kong to increase customer base and business scale[28]. - The Group plans to enhance its market risk resistance and profitability by leveraging market price fluctuations through centralized procurement[33]. - The Dongzhou Petrochemical project is set to enhance revenue and profitability significantly, as handling and storage charges for LNG are several times higher than those for oil and liquid chemicals[43]. - The Group's international trading business commenced in 2021, compensating for declines in domestic refined oil trading, leading to an increase in overall trading volume and gross profit[44]. - The number of franchised filling stations under the "Hans Energy" brand reached eight by the end of 2021, with plans to continue signing new franchising agreements in 2022[44]. Management and Governance - The company has been led by Mr. Dai Wei as Chairman and Executive Director since July 2002, with extensive experience in petroleum and real estate sectors[83]. - Mr. Yang Dong has served as Executive Director and CEO since July 2016, bringing rich experience in international trade of petroleum and chemical products[83]. - The company has a strong management team with members holding advanced degrees and extensive industry experience, enhancing its operational capabilities[85]. - The independent non-executive directors contribute to the company's governance, with backgrounds in finance, accounting, and corporate advisory services[85]. - The company is focused on expanding its market presence and enhancing its operational efficiency through strategic management and governance[86]. - The management team emphasizes the importance of compliance and financial integrity in its operations, ensuring robust oversight mechanisms[86]. - The company is actively involved in mergers and acquisitions, leveraging its expertise to identify growth opportunities in the market[86]. Risk Management and Compliance - The Group's risk management framework includes both top-down and bottom-up risk review processes to ensure comprehensive risk identification and mitigation[167]. - The Board is responsible for maintaining adequate risk management and internal control systems to safeguard shareholder interests[165]. - The Company has established written guidelines for employees regarding securities transactions to prevent insider trading[161]. - The internal control framework covers all material controls, including financial, operational, and compliance controls[173]. - The Group's internal control system is designed to provide reasonable assurance, minimizing risks and allowing optimal achievement of business objectives[176]. - The Board and Audit Committee reviewed the effectiveness of the internal control system and found it to be operating effectively during the year[179]. Shareholder Communication - Shareholder meetings provide opportunities for communication between shareholders and the Board, with key personnel available to address inquiries[191]. - The Company emphasizes timely and effective communication with shareholders as part of good corporate governance[193]. - The Company maintains a website to provide extensive information on business developments, financial information, and corporate governance practices[194]. - Designated senior management maintains regular dialogue with existing shareholders, potential institutional investors, and analysts to keep them informed of the Company's developments[195].

Operational Performance - The leaseout rate for oil and petrochemical products increased to 98.7% from 97.9%, representing a growth of 0.8 percentage points[19] - The total sales volume of petrol filling for the six months ended June 30, 2021, was approximately 1.8 million liters, a 37.7% increase from 1.3 million liters in the same period of 2020[36] - Terminal throughput increased by 14.2% year-on-year, reaching 3,748,000 metric tons, driven by an increase in domestic vessels and trucks served[30] - The overall transshipment volume decreased by 80.8% in the first half of the year, primarily due to certain customers planning to relocate factories and reduce production[30] - The sales volume of oil and petrochemical products increased by 6.3%, from 254,000 metric tons in 2020 to 270,000 metric tons in 2021[30] - The company actively expanded its refined oil trade business in Hong Kong, contributing to the overall sales volume increase despite challenges in the mainland market[32] Revenue and Financial Performance - The Group's total revenue increased from $1,029.3 million to $1,659.1 million, representing a 61.2% increase compared to the same period last year[42] - Revenue from trading oil and petrochemical products was $1,553.7 million, accounting for 93.6% of total revenue, while terminal, storage, and transshipment activities generated $94.2 million, a 27.0% increase year-over-year[58] - The gross profit margin increased to 3.8%, up by 1.7 percentage points from 2.1% in the previous year[59] - Loss before interest and tax (LBIT) decreased to approximately $4.8 million, a 61.0% reduction from $12.3 million in the previous year[63] - EBITDA increased to $35.8 million, up 50.8% from $23.7 million in the same period of 2020[63] - The Group's loss for the period was HKD 32,720,000, a slight improvement from a loss of HKD 36,622,000 in the previous year, representing a reduction of 10.3%[90] Assets and Liabilities - The Group's total assets were $1,969.2 million, down from $2,020.5 million at the end of 2020, while net current assets decreased to $653.7 million from $665.4 million[67] - The gearing ratio improved to 49.9% as of June 30, 2021, down from 51.2% at the end of 2020, indicating a reduction in leverage[69] - Non-current assets decreased from HK$975,709,000 as of December 31, 2020, to HK$952,591,000 as of June 30, 2021, representing a decline of approximately 2.4%[95] - Current assets decreased from HK$1,044,771,000 as of December 31, 2020, to HK$1,016,609,000 as of June 30, 2021, a reduction of about 2.7%[95] - Total creditors as of June 30, 2021, were HK$80,543,000, down from HK$127,861,000 as of December 31, 2020[184] Cash Flow and Liquidity - Net cash generated from operating activities for the six months ended June 30, 2021, was HK$50,996,000, compared to a cash used of HK$38,669,000 in 2020, indicating a significant improvement[108] - The net cash used in investing activities was HK$13,274,000 for the first half of 2021, a decrease from HK$27,719,000 in the same period of 2020[108] - The company reported a net cash used in financing activities of HK$39,338,000 for the six months ended June 30, 2021, compared to HK$50,825,000 in 2020, reflecting a reduction in financing outflows[108] - Cash and cash equivalents at June 30, 2021, were HK$286,239,000, up from HK$852,653,000 at the same time in 2020, showing a recovery in liquidity[110] Strategic Initiatives - The Group aims to increase its share of the refined oil retail market through acquisitions, leasing, and franchising strategies[20] - The Group is actively discussing the DZIT Phase II construction project, expected to initiate in the second half of the year, which will enhance storage capacity and profitability[50] - The Group's strategy includes increasing the number of branded filling stations to boost domestic refined oil trading and enhance profitability[47] - The Group aims to develop the hydrogen energy industry chain in Hong Kong, collaborating with key suppliers and local bus companies[53] Employee and Operational Statistics - As of June 30, 2021, the Group had approximately 240 employees, an increase from 230 employees as of December 31, 2020[79] - Total staff costs for the first half of 2021 were HK$59,000,000, significantly higher than HK$24,007,000 in 2020[145] Compliance and Reporting - The interim financial report has been prepared in accordance with HKAS 34, ensuring compliance with the applicable disclosure provisions[113] - The company has not applied any new standards or interpretations that are not yet effective for the current accounting period, ensuring consistency in financial reporting[116]

Business Operations - Hans Energy Company Limited operates integrated facilities for petroleum and liquid chemicals in South China, including jetties, storage tanks, and logistics services[10]. - The company provides value-added services in its own ports and storage tank farms, focusing on terminal storage, trading of oil and petrochemical products, and retail operations[11]. - The annual report indicates a strong emphasis on expanding terminal storage business and enhancing trading capabilities to capture market opportunities[10]. - Future outlook includes plans for market expansion and potential acquisitions to strengthen the company's position in the energy sector[10]. - The company aims to leverage its existing infrastructure to increase efficiency and reduce operational costs in the coming years[10]. - Hans Energy is committed to developing new technologies and products to meet evolving market demands and improve service offerings[10]. - The management discussion highlights a strategic focus on enhancing customer relationships and service quality to drive growth[10]. - The company is exploring partnerships and collaborations to enhance its service portfolio and market reach[10]. Financial Performance - In 2020, the total revenue of the Group increased significantly from $314.8 million to $2,481.9 million, representing a growth of 688.3% compared to the previous year[29]. - The trading business, acquired in December 2019, accounted for 92.6% of the Group's total revenue during the year, generating $2,299.1 million[28]. - The retail business from the filling station, which commenced operations in April 2020, contributed revenue of $18.4 million[28]. - Revenue from terminal storage and transshipment activities for liquid chemicals products was $164.4 million, an increase of 8.1% year-on-year[28]. - The Group's revenue from continuing operations was approximately $2,481.9 million, representing an increase of 688.3% compared to 2019[42]. - Revenue from trading of oil and petrochemical products was $2,299.1 million, accounting for 92.6% of the Group's total revenue[42]. - The gross profit from continuing operations was approximately $66.4 million, an increase of 58.6% over the last year[42]. - The gross profit margin was 2.7%, reduced by 10.6 percentage points on a yearly basis[42]. - The Group's efforts in expanding procurement and sales channels helped mitigate the impact of COVID-19, resulting in only a slight decrease in sales volumes[23]. - The Group expects continuous growth across all business segments in 2021, aiming to provide better returns to shareholders[32]. Operational Metrics - The average leaseout rate for the terminal reached 98.5%, an increase of 7.3 percentage points compared to the previous year[20]. - Terminal throughput increased to 4,718,000 metric tons, representing a growth of 31.4% from 3,591,000 metric tons in the previous year[18]. - The number of foreign vessels visiting the terminal rose to 180, a 13.9% increase from 158 in the previous year[18]. - The number of trucks served for cargo pickup increased by 14.2% to 67,517 from 59,113 in the previous year[18]. - Transshipment volume for oil increased by 30.0% to 84,470 metric tons from 64,971 metric tons in the previous year[18]. - The terminal's port jetty throughput grew by 22.4% to 2,551,000 metric tons from 2,084,000 metric tons in the previous year[18]. - The number of drums filled increased by 22.2% to 16,250 from 13,297 in the previous year[18]. - The number of sales contracts entered by Shanghai Di You reached 118 in 2020, with total sales volume of approximately 472,000 metric tons, reflecting a significant increase of 1,687.9% compared to 2019[22]. - Cumulative sales volume at the new filling station reached 3.9 million liters since its operation began in April 2020[25]. Corporate Governance - The Company has complied with the Corporate Governance Code throughout the year, except for a deviation from Code Provision E.1.2[100]. - The Board consists of seven members, including four executive directors and three independent non-executive directors as of December 31, 2020[105]. - The Company has established formal procedures for the appointment and succession planning of directors[108]. - All independent non-executive directors (INEDs) have confirmed their independence according to the guidelines set out in Rule 3.13 of the Listing Rules[107]. - The Board is responsible for major decisions, including approval and monitoring of policy matters, overall strategies, and financial information[103]. - The day-to-day management of the Company is delegated to the chief executive and senior management, with periodic reviews of delegated functions[105]. - The Company regularly reviews its corporate governance practices to ensure compliance with the CG Code[102]. - The Board has full access to relevant information and the advice of the Company Secretary to ensure compliance with applicable rules and regulations[103]. - The INEDs contribute to the effective direction of the Company through active participation in Board meetings and serving on Board committees[107]. - The Company has a balanced composition of skills and experience on the Board necessary for independent decision-making[105]. Risk Management - The Group's risk management framework includes both top-down and bottom-up processes for comprehensive risk identification and mitigation[168]. - The internal control framework covers all material controls, including financial, operational, and compliance controls[174]. - The Board and Audit Committee reviewed the effectiveness of the internal control system, concluding it operated effectively during the year[175]. - The principal risks and uncertainties facing the Group's business are discussed in the Management Discussion and Analysis section of the annual report[197]. Shareholder Communication - The Company emphasizes timely and effective communication with shareholders as part of good corporate governance[191]. - Designated senior management maintains regular dialogue with existing shareholders and potential institutional investors[191]. - The Company provides opportunities for communication between shareholders and the Board during shareholders' meetings[189]. - Shareholders can send written enquiries to the Company, as verbal or anonymous enquiries are not normally accepted[184]. - The Company has established procedures for handling and disseminating inside information to comply with statutory disclosure requirements[187]. Financial Position - As of December 31, 2020, the Group's total cash and bank balances were approximately $353.2 million, down from $974.5 million in 2019[52]. - The Group had total assets of approximately $2,020.5 million and net current assets of approximately $665.4 million as of December 31, 2020, with a current ratio of 2.75[52]. - Outstanding bank borrowings increased to $789.8 million in 2020 from $702.5 million in 2019, while total equity rose to approximately $986.2 million[52]. - The gearing ratio slightly reduced to 51.2% in 2020 from 54.0% in 2019, indicating a decrease in leverage[52]. - The Group's distributable reserves as of December 31, 2020, amounted to approximately HK$649 million, an increase from approximately HK$602 million in 2019[200]. - The Board does not recommend the payment of a final dividend for the year ended December 31, 2020, due to cash requirements for bank loan repayment and business development[200]. - The Group's expected working capital requirements and future expansion plans will also influence dividend decisions[200]. Employee Management - As of December 31, 2020, the Group had approximately 230 employees, with 205 working for the terminals, maintaining the same total employee count as in 2019[70]. - The Group's employee remuneration is based on industry practices and individual performance, with a budget devised annually for total salary and bonus plans[70]. - The Group is required to cover social insurance for every qualified employee in the PRC, including retirement, medical, and unemployment insurance[70].

Operational Performance - The leaseout rate for oil and petrochemical products increased to 97.9%, up by 4.1 percentage points compared to the previous period[14]. - The Group's first filling station commenced operations in April 2020, covering an area of approximately 12,500 square meters, providing petrol filling services and additional convenience services[16]. - The total storage capacity of the DZIT terminal is approximately 260,000 cubic meters, with 180,000 cubic meters specialized for gasoline, diesel, and similar petroleum products[9]. - The Group continues to operate the DZIT terminal after the substantial disposal of GD (Panyu) on May 28, 2019, focusing on terminal storage and logistics services[9]. - The terminal's cargo throughput is a key performance indicator, with higher throughput leading to increased handling fee income[18]. - The Group's terminal storage business offers integrated facilities for petroleum and liquid chemicals in South China, enhancing its competitive position in the market[7]. - The filling station's construction standards meet those of local flagship stations, indicating a commitment to quality and service[16]. - The Group's trading business is supported by a strong operational license, allowing it to engage effectively in the oil and petrochemical market[10]. - The Group's strategic focus includes expanding its terminal storage and retail operations to enhance overall market presence and revenue streams[7]. - Transshipment volume increased by 17.5% to 124,882 metric tons, while terminal throughput rose by 92.2% to 3,282,000 metric tons[21]. - The number of vessels visited increased by 12.0% for foreign vessels, while domestic vessels decreased by 20.4%[21]. - The number of drums filled surged by 66.9% to 7,339[21]. - The Group entered into 68 sales contracts with a total sales volume of approximately 254,000 metric tons during the first half of 2020[24]. - Revenue from terminal, storage, and transshipment activities for liquid chemicals was $74.2 million, a 2.8% increase on a half-year basis[29]. - The Group plans to commence construction of the DZIT Phase II project to enhance terminal storage business operations[35]. - The Group's first joint-venture filling station opened in April 2020, with a daily refueling capacity of approximately 15 tons, expected to contribute significantly to profits by year-end[39]. - The Group plans to add 5 or more filling stations in Southern China by the end of 2020 through various flexible methods such as acquisition and leasing[40]. Financial Performance - The Group's total revenue increased significantly from $72.2 million to $1,029.3 million, representing a 1,326.2% increase compared to the same period last year[29]. - The trading business operated by SHDY, acquired in December 2019, accounted for 92.2% of the Group's total revenue during the period[29]. - Revenue from trading of oil and petrochemical products was $949.0 million, accounting for 92.2% of the Group's total revenue[46]. - The Group's gross profit for the same period was $21.6 million, an increase of 33.0% year-on-year, with a gross profit margin of 2.1%, down 20.4 percentage points[50]. - Direct costs and operating expenses increased to $1,007.8 million, a rise of 1,700.7% compared to the previous year, with inventory costs from refined oil and petrochemical products accounting for 94.8% of total costs[49]. - The loss before interest and tax (LBIT) from continuing operations was approximately $12.3 million, a decrease of 36.4% from $19.4 million in the previous year[52]. - EBITDA from continuing operations increased to $23.9 million, compared to $14.8 million in the same period last year[53]. - For the six months ended June 30, 2020, the basic and diluted losses per share from continuing operations were $0.98 cents, compared to $1.2 cents in 2019[56][59]. - The Group's total assets as of June 30, 2020, were $2,254.7 million, an increase from $2,074.5 million as of December 31, 2019[61]. - The Group's outstanding bank borrowings were $666.2 million as of June 30, 2020, compared to $702.5 million as of December 31, 2019[61]. - The gearing ratio as of June 30, 2020, was 59.6%, up from 54.0% as of December 31, 2019[61]. - The Group's net current assets were $763.9 million as of June 30, 2020, down from $999.8 million as of December 31, 2019[61]. - The current ratio as of June 30, 2020, was 2.08, a decrease from 4.36 as of December 31, 2019, indicating a change in liquidity position[61]. - The Group's revenue from continuing operations for the six months ended June 30, 2020, was $1,029.3 million, representing an increase of 1,326.2% compared to $72.2 million in the same period last year[45]. - Loss from operations for the same period was HK$12,336,000, an improvement compared to a loss of HK$19,407,000 in 2019[74]. - Loss before taxation decreased to HK$36,741,000 from HK$42,690,000 in the previous year, indicating a reduction of about 14%[74]. - The loss for the period from continuing operations was HK$36,622,000, compared to a loss of HK$45,682,000 in 2019, reflecting a 20% improvement[74]. - Total comprehensive income for the period was a loss of HK$42,592,000, compared to a profit of HK$1,107,261,000 in 2019[79]. - Other income for the period was HK$4,851,000, up from HK$1,243,000 in the previous year[74]. - The company reported a net decrease in cash and cash equivalents of HK$117,213,000 for the six months ended June 30, 2020, compared to an increase of HK$288,269,000 in 2019[94]. - The total cash and cash equivalents at the beginning of the period on January 1, 2020, were HK$974,510,000, compared to HK$881,071,000 in 2019[94]. - The Group reported revenue of HKD 56,506,000 from storage and warehousing for the six months ended June 30, 2020, compared to HKD 55,431,000 for the same period in 2019, reflecting an increase of approximately 1.94%[105]. - The Group's financial position and performance have not been materially affected by recent amendments to HKFRSs[101]. Cash Flow and Liquidity - As of June 30, 2020, the Group's total cash and cash equivalents amounted to approximately $852.7 million, down from $974.5 million as of December 31, 2019[61]. - The balance of cash and cash equivalents reflects a significant liquidity position despite the decrease, indicating ongoing operational capacity[81]. - Net cash used in operating activities for the six months ended June 30, 2020, was HK$38,669,000, an improvement from HK$58,736,000 in 2019[92]. - Net cash generated from investing activities was HK$27,719,000 in 2020, compared to HK$654,291,000 in 2019, indicating a significant decrease[92]. - Proceeds from new bank loans were nil in 2020, compared to HK$763,511,000 in 2019, reflecting a shift in financing strategy[92]. - The repayment of bank loans amounted to HK$23,194,000 in 2020, a decrease from HK$903,700,000 in 2019[92]. - Interest paid in 2020 was HK$24,033,000, slightly lower than HK$25,324,000 in 2019, indicating a potential reduction in borrowing costs[92]. - The effect of foreign exchange rate changes resulted in a decrease of HK$4,644,000 in cash and cash equivalents in 2020, compared to a decrease of HK$3,465,000 in 2019[94]. Assets and Liabilities - Current liabilities increased to HK$1,468,140, up 13.1% from HK$1,297,727 at the end of 2019[81]. - Inventories rose significantly to HK$265,313, an increase of 77.8% compared to HK$149,154 at the end of 2019[81]. - Trade and other receivables increased to HK$350,174, up 101.5% from HK$174,063 at the end of 2019[81]. - The Group's total receivables, including prepayments, reached HK$350,174,000 as of June 30, 2020, compared to HK$174,063,000 at the end of 2019[153]. - The Group's total assets less current liabilities amounted to HK$1,550,418, a decrease of 12.7% from HK$1,776,532 as of December 31, 2019[81]. - The Group's bank loans totaled $666,178,000 as of June 30, 2020, down from $702,499,000 at the end of 2019[165]. - Contract liabilities rose to $80,745,000 as of June 30, 2020, from $31,333,000 at the end of 2019[159]. - The Group had banking facilities secured by property, plant, and equipment with a net book value of $357,208,000 as of June 30, 2020[165]. - The Group's non-current amounts due to related parties were $167,448,000 as of December 31, 2019, which are unsecured and interest-free[167]. Strategic Initiatives and Future Outlook - The Group is actively seeking suitable investment projects to expand its business chain and enhance service offerings[42]. - The trading segment, although not meeting initial expectations, has generated significantly higher operating revenue than traditional business operations, indicating successful entry into a new business field[43]. - Management expressed confidence in having adequate financial resources to meet future debt repayment and support working capital and expansion requirements[61]. - The COVID-19 pandemic has brought additional uncertainties but has had an immaterial impact on the Group's operations and financial position[198]. - The Group is closely monitoring the impact of COVID-19 developments on its business[198]. Shareholder Information - No interim dividend was recommended for the six months ended June 30, 2020, consistent with the previous year[74]. - The loss attributable to ordinary equity shareholders for continuing operations in the first half of 2020 was HK$35,887,000, compared to a loss of HK$44,641,000 in the same period of 2019[144]. - Basic and diluted losses per share for continuing operations were HK(0.98) cents, while for discontinued operations, it was HK$33.23 cents in 2019[145].

Financial Performance - The Group's revenue from continuing operations for the year ended 31 December 2019 was approximately HK$314.8 million, representing an increase of 122.4% compared to HK$141.6 million in 2018[54]. - Gross profit from continuing operations was approximately HK$41.9 million, an increase of 24.6% from HK$33.6 million in the previous year[55]. - Loss before interest and tax from continuing operations was approximately HK$77.9 million, which is a 56.1% increase from HK$49.9 million in 2018[58]. - The Group recorded LBITDA of HK$9.1 million for the year, compared to EBITDA of HK$16.1 million in 2018, indicating a significant decline in operational profitability[58]. - The gross profit margin decreased by 10.4 percentage points from 23.7% to 13.3% year-on-year due to the dilution effect from the oil and petrochemical products trading business[55]. - Revenue from terminal, storage, and transshipment activities for liquid products was approximately HK$152.1 million, an increase of 7.4% compared to the previous year[42]. - Revenue from trading oil and petrochemical products was approximately HK$162.8 million since the completion of the Acquisition of SHDY[42]. - The net loss margin improved to 41.7% in 2019 from 69.7% in 2018, reflecting the positive impact of increased revenue despite the overall loss[58]. Business Expansion and Strategy - The Group plans to expand its main business from terminal storage to oil and petrochemical trading, and further into the retail market with the first gas station in Guangzhou expected to commence operations in 2020[26]. - The Group aims to continue identifying market potential and expand its oil and chemical storage volume by initiating the construction of DZIT Phase II[35]. - The Group plans to expand its retail business by identifying high-quality filling stations in mainland China, particularly in the Pearl River Delta region[54]. - The Group will vigorously develop the filling station retail business as part of its strategy[46]. - The Group anticipates a substantial increase in trade volume and amount in 2020 compared to 2019, driven by both domestic and international trading efforts[54]. - The Group aims to build LNG/LPG storage tanks with a capacity of over 1 million cubic meters and improve existing terminal functions[47]. - The Group will explore various forms of investment and cooperation to optimize and expand traditional port and oil terminal operations[47]. Acquisitions and Investments - The Group entered into an equity transfer agreement to acquire 99% equity interest in Shanghai Diyou Industry Co., Ltd., which operates in the wholesale of refined oil products[18]. - Following the acquisition of SHDY on December 10, 2019, the company entered into six sales contracts with a total sales volume of 26,400 metric tons by the end of December 2019[38]. - The acquisition of 99% equity interest in SHDY was completed for a consideration of RMB10,265,334.97, enhancing the Group's sourcing and supply of refined oil products[68]. - Creative Apex International Holding Limited committed a maximum capital of US$20 million (approximately HK$156 million) for a limited partnership to diversify investments in the energy sector[67]. Operational Statistics - The terminal's throughput for 2019 reached 3,591,000 metric tons, an increase of 11.7% compared to 2018[33]. - The lease-out rate for oil and chemical products was 91.2% in 2019, up by 2.2 percentage points from 89.0% in 2018[33]. - The number of foreign vessels visiting the terminal increased by 100.0% to 158 in 2019, while the number of drums filled surged by 292.4% to 13,297[33]. - The terminal provides ancillary services such as tank cleaning and waste treatment, generating additional income from these services[30]. - The terminal's operational statistics indicate a total of 59,113 trucks served to pick up cargoes in 2019, a decrease of 3.3% from the previous year[33]. Financial Position and Stability - As of 31 December 2019, the Group's total cash and cash equivalents were approximately HK$975 million, up from HK$881 million in 2018[62]. - The Group's total assets increased to approximately HK$2,074 million in 2019 from HK$1,955 million in 2018, with net current assets improving to approximately HK$1,000 million[62]. - The current ratio improved significantly to 4.36 in 2019 from 0.94 in 2018, indicating better liquidity[62]. - Outstanding bank borrowings decreased to HK$702 million in 2019 from HK$880 million in 2018[62]. - The total equity of the Group as of 31 December 2019 was approximately HK$954 million, compared to a total deficit of HK$84 million in 2018[62]. - The gearing ratio significantly reduced to 54.0% in 2019 from 104.3% in 2018, reflecting improved financial stability[62]. Corporate Governance - The Company has committed to high standards of corporate governance practices in compliance with the Corporate Governance Code, with deviations explained in the annual report[98]. - The Board comprises seven members, including four executive Directors and three independent non-executive Directors as of December 31, 2019[105]. - The Company has established formal procedures for the appointment and succession planning of Directors, ensuring transparency[110]. - The Company encourages Directors to participate in relevant training courses at the Company's expense[114]. - The Company has established three Board committees: the Nomination Committee, Remuneration Committee, and Audit Committee, each with defined written terms of reference[125]. - The Company has provisions requiring Directors to abstain from voting on transactions where they have a material interest[119]. - The Company has maintained an effective internal control system, which has been reviewed by the Audit Committee and the Board[150]. Leadership and Management - Mr. Yang Dong has been the CEO since July 2016, with extensive experience in international trade of petroleum and chemical commodities[79]. - Ms. Liu Zhijun has over 25 years of experience in financial management and has been an executive director since April 2006[80]. - The company has a strong leadership team with diverse backgrounds in finance, management, and the petrochemical industry[86]. - The leadership team is committed to driving growth through innovation and new product development in the petrochemical sector[90]. - The financial controller has a strong background in auditing and financial management, contributing to the company's financial health[80]. Shareholder Information - The Company did not recommend the payment of a final dividend for the year ended December 31, 2019, consistent with the previous year where no dividend was paid[175]. - The Company reserves the right to update its Dividend Policy at any time without creating a legally binding commitment to pay dividends[123]. - The Company emphasizes maintaining timely and effective communications with shareholders as part of good corporate governance[169]. - The Board is committed to attending future shareholders' meetings to enhance communication with investors[169]. - All resolutions at shareholder meetings are voted by poll, with results posted on relevant websites immediately after the meetings[154].

Operational Performance - For the six months ended June 30, 2019, the number of foreign vessels visited increased by 78.6% to 75, while domestic vessels decreased by 16.5% to 294[13]. - The number of drums filled surged by 108.8% to 4,397, and transshipment volume for petrochemicals rose significantly by 2,050.3% to 74,401 metric tons[13]. - Terminal throughput increased by 12.7% to 1,708,000 metric tons, with port jetty throughput growing by 2.4% to 971,000 metric tons and loading station throughput rising by 30.0% to 737,000 metric tons[13]. - The total number of trucks served to pick up cargoes increased by 18.0% to 29,413[13]. - Following the disposal of GD (Panyu), premium customers relocated their services to DZIT, driving growth in transshipment volume and terminal throughput[15]. - The relocation of loading and storage businesses by some original customers to DZIT has resulted in a significant improvement in key performance indicators, including a notable increase in terminal throughput and transshipment volume[25]. Financial Performance - For the six months ended June 30, 2019, the revenue from terminal, storage, and transshipment activities for liquid products was approximately HK$72.2 million, a decrease of 2.3% compared to the same period last year[22]. - The decline in revenue was mainly due to a depreciation of the RMB exchange rate by approximately 5.7% compared to the same period last year; excluding this effect, revenue increased[22]. - The Group's revenue from continuing operations for the six months ended June 30, 2019, was approximately HK$72.2 million, a decrease of 2.3% compared to HK$73.9 million in 2018[34]. - Gross profit from continuing operations decreased by 24.5% to approximately HK$16.2 million, down from HK$21.5 million in 2018, leading to a gross profit margin decline from 29.1% to 22.5%[34]. - EBITDA from continuing operations reduced to HK$14.8 million, a significant drop of 58.3% from HK$35.5 million in 2018, with a net loss margin increasing to 63.3% from 26.1%[37]. - The Group reported a loss for the period from continuing operations of HKD 45,682,000, compared to a loss of HKD 19,307,000 in the prior year[83]. - The Group incurred a loss from operations of HKD 19,407,000 compared to a profit of HKD 1,324,000 in the previous year[83]. - The total loss for the period amounted to HK$45,682,000, compared to HK$1,833,000 under HKAS 17[160]. Asset and Equity Position - As of June 30, 2019, the Group's total cash and cash equivalents were approximately HK$1.166 billion, an increase from HK$881 million as of December 31, 2018[41]. - Total assets as of June 30, 2019, were approximately HK$1.995 billion, up from HK$1.955 billion at the end of 2018[42]. - The Group's net current assets improved to approximately HK$955 million as of June 30, 2019, compared to net current liabilities of HK$78 million at the end of 2018[42]. - The total owners' equity increased to approximately HK$1,043 million as of June 30, 2019, compared to a total owners' deficit of HK$84 million as of December 31, 2018[44]. - The gearing ratio improved to 47.7% as of June 30, 2019, significantly reduced from 104.3% as of December 31, 2018[44]. Cash Flow and Financing Activities - The net cash used in operating activities for the six months ended June 30, 2019, was HK$58,736,000, compared to HK$101,786,000 generated in the same period of 2018[104]. - The net proceeds from the disposal of discontinued operations amounted to HK$668,972,000 for the six months ended June 30, 2019[104]. - The company received HK$763,511,000 from new bank loans during the financing activities[104]. - The repayment of bank loans totaled HK$903,700,000 for the six months ended June 30, 2019[104]. - The net increase in cash and cash equivalents for the six months ended June 30, 2019, was HKD 288,269,000, compared to HKD 12,766,000 in 2018, representing a significant increase[106]. Discontinued Operations - The gain on disposal of discontinued operations amounted to HK$1,307,768,000 in 2019, which significantly impacted the overall financial results[186]. - Discontinued operations for storage and warehousing income generated $8,990 thousand in 2019, significantly lower than $69,372 thousand in 2018, indicating a decline of approximately 87.0%[167]. Accounting Standards and Policies - The company has applied HKFRS 16 starting from January 1, 2019, which affects the presentation of financial statements[90]. - The Group has adopted HKFRS 16, which requires the recognition of a right-of-use asset and a lease liability for all leases, except for short-term leases and leases of low-value assets[119]. - The initial application of HKFRS 16 was effective from January 1, 2019, with the cumulative effect recognized as an adjustment to the opening balance of equity[119]. - The Group's accounting policies remain consistent with those adopted in the 2018 annual financial statements, except for expected changes in 2019[110]. Employee and Staff Costs - As of June 30, 2019, the Group had a workforce of approximately 233 employees, a reduction from 462 employees as of December 31, 2018[65]. - Staff costs for the six months ended June 30, 2019, totaled HK$88,970,000, a significant increase from HK$34,783,000 in 2018, reflecting a rise in operational expenses[192].