Core Insights - The company reported a slight increase in revenue but continued to face significant losses due to high exploration and development costs [1][4][6] - Despite notable progress in oil exploration and development, the company's profitability remains challenged [5][6] Financial Performance - The company achieved an annual revenue of 486 million, representing a year-on-year growth of 1.10% [1] - The net profit attributable to shareholders was -53 million, indicating a reduction in losses by 58.80% year-on-year [1] Exploration and Development Progress - Significant advancements were made in multiple oil blocks, including the successful completion of feasibility studies and design work for the Nanhai Weizhou 5-3 oil field [4] - The exploration in Bohai 09/17 block confirmed the oil and gas characteristics of the deep Ordovician mountain belt, while oil production in Xinjiang Jiu1-Jiu5 block showed steady growth [4] Cost Pressures - Increased exploration and development investments led to a substantial rise in oil and gas asset depreciation and exploration expenses [4] - The company's rising debt levels resulted in higher interest expenses, contributing to ongoing losses despite slight revenue growth [4][6] Technical Services Achievements - The company made significant strides in technical service projects, such as the innovative establishment of accurate velocity models for complex geological structures [5] - However, the profitability from these technical services did not see a significant improvement, with an operating profit of -64 million, a year-on-year loss reduction of 47.56% [5] Future Outlook - The company faces ongoing challenges, including high exploration costs and interest expenses, as well as potential adverse effects from international oil price fluctuations and increased market competition [6] - Opportunities exist with the advancement of the Nanhai Weizhou 5-3 oil field development project, which may lead to significant increases in oil production in the coming years [6] - The technical service achievements provide a solid foundation for future exploration and development efforts [6]