On March 13, 2013, ZPEC held its Annual Meeting in Shanghai for the analysis and discussion of the 2012 results and for the arrangements and deployment of the 2013 targets. The meeting provided an excellent platform for all to understand the increased opportunities in the  overall market, for the strengthening of internal management, providing direction for the acceleration of the company’s internationalization strategy, as well as comprehensive expansion of production and real and projected operating results.

More than 40 employees from headquarters, the drilling company, the Beijing company, the Kunlun company, etc. participated in the meeting at the main venue.  Meanwhile, other employees of the various branch offices in Basra, Dubai, Beijing, Chengdu, etc. were able to simultaneously watch through a live video conferencing system.

In the meeting, ZPEC President, Mr. Li Chundi, presented a work report entitled, "Seizing the market, Executing detailed management, and Enhancing income-generating profitability.”  He pointed out that in 2012, ZPEC took decisive initiatives by seizing the favorable opportunity of the expanding demand in the international petroleum engineering market.  By vigorously promoting the overseas strategy, a major breakthrough was achieved, creating a series of new highlights, and further enhancing ZPEC’s international brand image.

President Li reported the production and business operations in 2012 and gave full affirmation to the new breakthroughs achieved by the drilling engineering sector in Iraq and in the other overseas markets.  He praised the drilling staff and dared them to fight a hard battle.  This was a key part in the initial strategic objective of "going abroad, standing firm, preparing to win”, and proved to provide strong support for the long-term healthy development of ZPEC.  He also gave a comprehensive summary and review of the achievements in scientific and technological innovation, market development, quality management, management innovation, teamwork building, and HSE management. Then, he analyzed the deficiencies of the work in 2012 such as marketing development, cost control, etc,, hoping that ZPEC could grasp the good opportunities available from the international oil companies and petroleum service companies in 2013.  He encouraged the leaders to proactively embrace the global strategic layout and to take the initiative to actively promote the process of industrial integration, specialization, and internationalization in accordance with the 3-5 year development plan.

With respect to the realization of operational objectives of 2013, President Li requested all companies to regard market development as the breakthrough point, to make more efforts, to get more orders, and to achieve tremendous development.  As the drilling engineering sector continues to warm up, it is time to seize the good opportunities of the current domestic and international drilling engineering market, to optimize market structure, to adjust the industrial layout, and to accelerate the development of new profit growth.  The equipment manufacturing sector shall also take advantage of the turning trends of the oil and gas equipment market, and enhance market development, resolutely break the deadlock, while turning the valuable market information into actual orders as soon as possible.  Combined with the actual situation, focusing on the deployment of cost management, the technological innovation and team building, President Li requested all companies to attach great importance to strictly implement and continuously enhance the core competencies and competitive advantages.  He made specific requirements for the management of company structure and mechanism in 2013.  He also proposed to rationalize the relationship between headquarters and secondary companies, further strengthening the operating mode of “independent accounting, self-management, self-financing."  This creates a perfect innovative and flexible mechanism, and establishes a mechanism of human resources, performance, incentive and restraint, and supervision and coordination.

President Li called on all companies to advance against difficulties, to stand together regardless of hardship, to improve scientific management abilities, and to enhance core competitiveness by the driving force of scientific and technological innovation, and, finally, to create a fruitful harvest year.

In the meeting, all affiliated companies signed their letter of responsibility for the annual business objectives in 2013.  The best teams, individuals, and collectives were praised. The head of every company and advanced individuals provided a speech to declare that they will cherish the opportunity to make greater achievements in their respective positions, and to dedicate themselves to the development of ZPEC.