ZPEC(SH:603619) Zheng Quan Zhi Xing·2025-05-20 10:47Core Viewpoint - Company has made significant progress in oil and gas exploration in both domestic and overseas projects, with a focus on resource replacement and digital transformation to enhance operational efficiency and cash flow stability [2][3][10]. Exploration and Reserves - The company reported a geological reserve of approximately 133 million tons across various oil fields, with specific reserves including 30.11 million tons in the Wensu block and 18.08 billion tons in Iraq's EBN and MF blocks [2][3]. - New reserves reported for the Keke Ya, Hongqi Po, and Saike oil fields total 13.23 million tons of oil and 1.4 billion cubic meters of natural gas [2]. Financial Performance - In Q1 2025, the company achieved a revenue of 943 million yuan, a year-on-year increase of 16.9%, and a net profit of 230 million yuan, up 32.95% [10]. - The company reported a debt ratio of 62.91% and a gross profit margin of 45.98% [10]. Strategic Direction - The company aims to deepen its "resource + technology" dual-engine strategy, focusing on both domestic oil field development and overseas projects, particularly in Kazakhstan and Iraq [3][10]. - Plans to accelerate the development of the EBN and MF blocks in Iraq while continuing to bid for new domestic oil and gas blocks [3]. Risk Management and Cash Flow - The company has implemented measures to mitigate risks associated with international oil price fluctuations, including enhancing its integrated business model and embracing digital transformation [2][3]. - As of the end of 2024, the company reported cash reserves of 2.542 billion yuan, reflecting a year-on-year increase of 103.39% [8]. Future Development Plans - The company plans to drill 21 wells in the Kazakhstan Kenge oil field and 23 exploratory and development wells in the coastal oil field in 2025 [6]. - The company is focused on optimizing costs and enhancing profitability through infrastructure improvements and management enhancements [6].