ZPEC(SH:603619) Mei Ri Jing Ji Xin Wen·2025-09-25 15:49Core Viewpoint - The company Zhongman Petroleum plans to acquire a 49% stake in Rising Energy International Middle East FZCO for approximately 560 million RMB, aiming for full ownership of the company and its oil and gas assets in Kazakhstan [1][4][3]. Group 1: Acquisition Details - Zhongman Petroleum's wholly-owned subsidiary, Zhongman Haibay, will purchase the 49% stake from China Rising Energy International (Cayman) Co., Limited for 79.3183 million USD, equivalent to about 560 million RMB [4][6]. - Prior to the acquisition, Zhongman Haibay already held a 51% stake in Rising Energy, making it the controlling shareholder [6]. - The transaction is classified as a related party transaction due to the ownership structure, with the ultimate controlling party being Li Chundi, the actual controller of Zhongman Petroleum [2][7]. Group 2: Financial Implications - The independent directors of Zhongman Petroleum believe that the acquisition will enhance the company's oil and gas resource reserves, increase production, and ultimately improve financial performance [8]. - The valuation report indicates that the total equity value of Rising Energy is approximately 1.149 billion RMB, with a book value of 579 million RMB, resulting in a valuation increase of 570 million RMB, representing a 98.54% premium [10][11]. - The increase in value is primarily attributed to long-term equity investments, which saw a valuation rise from 392 million RMB to 963 million RMB, reflecting a 145.41% increase [11]. Group 3: Asset Overview - The project in question, the Jange oil and gas field, is located in southwestern Kazakhstan and is characterized as a medium-sized oil and gas field with developed surrounding infrastructure [12]. - According to a third-party assessment, the Jange oil field has a 2P (Proven and Probable) geological oil reserve of 64.41 million tons, with an economically recoverable reserve of 5.9753 million tons [12].