Core Viewpoint - In the first half of the year, Daqing Oilfield focused on stabilizing crude oil production, advancing natural gas output, and accelerating new energy projects, achieving growth across oil, gas, and new energy production [1][2] Group 1: Oil and Gas Production - Domestic crude oil production increased by 10,900 tons year-on-year, while natural gas production rose by 222 million cubic meters [1] - The exploration in the Songliao Basin has steadily increased oil reserves, with significant developments in deep-layer tight gas exploration [1] - The implementation of "lean oil reservoir management" led to a production of 791,000 tons of oil in the South District, exceeding the plan by 42,000 tons [1] Group 2: New Energy Development - New energy projects achieved an operational scale of 538,700 kilowatts, generating 554 million kilowatt-hours of electricity, completing 52% of the annual plan [1] - New energy production equivalent reached 286,700 tons of standard coal, with wind and solar power generation at 554 million kilowatt-hours [2] - The geothermal heating area covered 751,100 square meters, with clean thermal energy utilization amounting to 39,600 tons of standard coal, all exceeding plans [2] Group 3: Technological Advancements - The "Digital Daqing Oilfield" initiative is accelerating, with digital technology integrated into the entire business chain, achieving a single well digital coverage rate of 97.65% and station coverage of 89.1% [2] - As of the end of June, 166 invention patent applications were filed, with 45 granted, and a technology achievement from the Oil Extraction Technology Research Institute was recognized as an excellent case for national achievement transformation [2] - The technology transformation rate in recent years reached 89% [2]

Investment Rating - The investment rating for the company is "Outperform the Market" (maintained) [1][6]. Core Viewpoints - The company is actively implementing ESG principles, showcasing its commitment to social responsibility and sustainable development [3][4]. - In 2024, the domestic natural gas production of the company is expected to account for 54.4% of its total oil and gas equivalent production, indicating an optimization of its energy structure [2]. - The company has set ambitious goals for its renewable energy business, aiming for a 7% share of its total capacity by 2025 and a balanced division between renewable and oil and gas businesses by 2035 [4][22]. Summary by Relevant Sections ESG Development - The company has established a comprehensive ESG governance system and is committed to long-term planning in ESG development [3][11]. - The company integrates ESG principles into its overall development strategy and operational management, with a structured governance framework involving the board of directors and specialized committees [11][13]. Renewable Energy and Low-Carbon Transition - The company is rapidly advancing in its renewable energy business, with a 21.7% year-on-year increase in new energy investments and a doubling of wind and solar power generation [2][26]. - The company has launched the "Green Low-Carbon Development Action Plan 3.0," focusing on clean energy development and carbon neutrality [4][22]. - By 2024, the company plans to invest 24.05 billion yuan in renewable energy, reflecting a significant commitment to low-carbon technologies [26]. Social Responsibility - The company actively participates in ensuring energy security and contributes to rural revitalization, with over 1,000 projects across 28 provinces [45][47]. - The company emphasizes employee welfare and development, fostering a harmonious labor relationship and enhancing employee satisfaction [45][49]. Financial Projections - The company is projected to achieve net profits of 167.4 billion yuan, 170.9 billion yuan, and 174 billion yuan for the years 2025, 2026, and 2027, respectively, with diluted EPS of 0.91, 0.93, and 0.95 yuan [58].