Environmental, Social, and Governance (ESG) Report
Shandong Molong Petroleum Machinery Co., Ltd. (hereinafter referred to as "the Company," "we," or "Shandong Molong") publishes this Environmental, Social, and Governance Report (hereinafter referred to as "this Report" or "ESG Report") in adherence to the principles of materiality, quantifiability, balance, and consistency. The report provides detailed disclosures on specific measures, key practices, highlight cases, and key performance indicators related to the Company's proactive assumption of social responsibility and effective management of ESG risks and opportunities in 2025, actively responding to stakeholder expectations.
Reporting Period
This report is an annual report, with the reporting period aligned with the Company's annual report, covering January 1, 2025, to December 31, 2025. To ensure comprehensive information presentation, some content has been moderately expanded and retrospectively included.
Reporting Scope
Unless otherwise specified, the scope of this report is consistent with the consolidated financial statements of the Company’s annual report.
Report Preparation Basis
This report is prepared in accordance with the "Self-Regulatory Guidelines for Listed Companies No. 17 - Sustainable Development Reports (Trial)" issued by the Shenzhen Stock Exchange, the "Self-Regulatory Guidelines No. 3 - Guidelines for Preparing Sustainable Development Reports" and the Hong Kong Stock Exchange's "Main Board Listing Rules" Appendix C2 "Environmental, Social and Governance Reporting Guide" requirements.
Report Language and Access
This report is published in Simplified Chinese, Traditional Chinese, and English. It can be downloaded from the Company's official website (www.molonggroup.com), the Giant Tide Information Network (www.cninfo.com.cn), and the Hong Kong Stock Exchange website (www.hkex.com.hk).
Valuable Feedback
You can view or download the electronic version of this report on Shandong Molong's official website. The Company will continuously improve and enhance the level of report disclosure and its ESG governance. If you have any questions or suggestions regarding this report, please feel free to contact us at: Address: No. 999, Wensheng Street, Shouguang City, Shandong Province, Zip Code: 262700 Phone: 0536-5100890 Email: dsh@molonggroup.com
Board Statement
The Board of Directors of Shandong Molong has always adhered to the core ESG philosophy, deeply integrating it into the Company's strategic planning, major decisions, and daily operations. The Board balances high-quality corporate development, ecological environmental protection, and social value contribution, effectively fulfilling regulatory requirements and corporate social responsibilities, and working together to build a sustainable future.
As the highest decision-making body for ESG affairs, the Board clarifies the boundaries of responsibilities and divisions of labor at all levels, establishing a closed-loop management mechanism where the Board makes overall decisions, the management leads execution, various departments collaborate, and all employees participate in promoting ESG principles throughout the entire process of production, operation, technological innovation, and compliance management, driving deep integration and collaborative development of ESG with the Company's business.
The Board dynamically reviews the risks and opportunities faced in the ESG field based on changes in the domestic and international macro environment and the importance assessment results of ESG issues, promoting the implementation of development strategies; continuously improving the ESG goal review mechanism, assessing the effectiveness of initiatives, and urging relevant measures to be optimized and implemented; dynamically optimizing ESG goals and strategies in line with policy guidance and stakeholder concerns, continuously enhancing governance and practice levels.