Announcement on Opening Special Accounts for Raised Funds and Signing Tripartite Supervision Agreements
The company and its board of directors guarantee the truthfulness, accuracy, and completeness of the information disclosed, and are free from any false representations, misleading statements, or material omissions.
I. Basic Situation of Raised Funds
With the approval of the China Securities Regulatory Commission's "Approval on Yantai Jereh Oilfield Equipment & Technology Co., Ltd.'s Private Offering of Shares" (Zhengjian Permit [2022] No. 685), Yantai Jereh Oilfield Equipment & Technology Co., Ltd. (hereinafter referred to as the "Company") issued 69,098,949 A shares through inquiry at an issuance price of RMB 36.18 per share. The total raised funds amounted to RMB 2,499,999,974.82. After deducting issuance expenses of RMB 12,516,152.98 (excluding tax), the net raised funds were RMB 2,487,483,821.84. These funds were received on June 23, 2022, and have been verified by Zhongxi Certified Public Accountants (Special General Partnership) in their "Capital Verification Report" (Zhongxi Capital Verification 2022Y00074).
The Company has managed the raised funds through dedicated accounts and signed relevant supervision agreements with the deposit bank and the sponsor.
On January 18, 2024, the Company held its first extraordinary general meeting of shareholders in 2024, which approved the "Proposal on Adjusting the Use of Some Raised Funds." The Company terminated the "Industrialization Project for New Energy Intelligent Fracturing Equipment and Core Components" (hereinafter referred to as the "Original Project") and reallocated all remaining raised funds to the "Oil and Gas Technology Services Project" (hereinafter referred to as the "New Project"). As of November 30, 2023, the balance of raised funds for the Original Project was RMB 75,820.50 million (including interest and investment income of RMB 1,981.65 million, net of handling fees of RMB 0.22 million). After the termination of the Original Project, the remaining raised funds were fully reallocated to the New Project. For details, please refer to the Company's announcements No. 2023-098 and 2024-006 on the Juchao Information Network.
To ensure the steady implementation of the Company's raised fund investment projects and mitigate risks, the Company held the 24th meeting of the sixth board of directors and the 21st meeting of the sixth supervisory board on June 25, 2025. Both meetings approved the "Proposal on Re-evaluation and Extension of Raised Fund Investment Projects." The Company, without changing the project implementation entity, the use of raised funds, or the investment amount, has extended the planned completion date for the "Digital Transformation Phase I Project" and the "Oil and Gas Technology Services Project" to December 31, 2027. For details, please refer to the Company's announcements No. 2025-044, 2025-045, and 2025-046 on the Juchao Information Network.