In the evening of May18, the Drilling Company leaders and the department managers gathered to study the documents of material purchasing and management of capital accounts.  These were distributed the day before with the purpose of creating a new related management system and methods to be combined with operational documentation of ZPEC.

Material procurement and contract management is one of the most important areas the Drilling Company is focusing on this year.  After studying, analyzing, researching the documents of “Materials Management Practices of ZPEC” and “Material Procurement Contract Management & Approved Rules”, the drilling company managers of Material Supply Department, Engineering Technology Department, and Equipment Management department expressed their opinions and views on the base of their own works.  After careful discussion and research, the Drilling Company edited and perfected these two systems, and provided suggestions and measures for Materials Purchasing.

Mr. Shi Shuyi, General Manager of the Drilling Company, further defined the rights and obligations to the personnel in the Purchasing Department and sorted out the purchasing process and train of thoughts.  He admonished the team and said that the purchasing work must be undertaken by special people desiring to better the department, and should be according to the process.  He stated that, if there were any problems which influence the company’s interests, we must be held accountable and punished in accordance with relevant provisions.

In order to ensure production and to improve their logistics capabilities, we centralized the management system for the purchasing staff, appointed a special person for purchasing, and clarified their responsibilities in order to improve their work efficiencies.
 
Since the beginning of the year, the Drilling Company not only engages in production, but also provides top priority to system set-up and proper company administration.  This has resulted in several meetings dedicated to studying the spirit of the related documents issued by ZPEC group.  Meanwhile, the changes made to these various management rules and systems have added additional guarantees that the Drilling Company continues to develop and deliver on its obligations and its high quality tasks.