Core Points - The company has been informed of restrictive measures imposed by the UK government on Lukoil on October 15, 2025, and by the US Treasury's Office of Foreign Assets Control (OFAC) on October 22, 2025, which includes Lukoil and any entity that owns 50% or more of it [1] - In response to the sanctions, the company has initiated an internal assessment of any potential impacts and will ensure compliance with applicable laws and regulations [1] - The existing procurement and construction contracts with Lukoil's indirect wholly-owned subsidiary will be terminated by November 21, 2025, with a total receivable amount of approximately RMB 8.3 billion [1] - The revenue and gross profit generated from this contract account for about 4% and 7.5% of the company's revenue and gross profit for the six months ending June 30, 2025, respectively [1] - The company’s preliminary assessment indicates that the termination of the contract will not have a significant adverse impact on its business operations, financial condition, or overall shareholder interests [1] - Other business operations of the company remain normal and unaffected [1] - The company will continue to monitor and follow up on the developments and potential impacts of this matter, implementing response measures as feasible [2]
惠生工程与卢克石油附属签订的现有采购与施工合同将于11月21日前终止