From September 7^th to 16^th, ZPEC Group President Li Shiguang traveled to Iraq to conduct research and provide guidance, visit and extend greetings to ZPEC personnel working overseas, and make important arrangements for key tasks, including commercial production ramp-up of oilfields, expansion of the market footprint, localized equipment manufacturing, and international talent development. He encouraged all employees stationed in Iraq to cherish ZPEC’s broad development platform, do simple things to perfection, hone solid skills through frontline hands-on practice, resonate with the company and move forward together with it, write a commitment without regret in the vivid practice of carrying forward the “Iron-Blooded Journey” spirit, and strive tirelessly for the grand goal of “Building a Century ZPEC.”

Advancing Commercial Production of Oilfield Projects

From September 7^th to 13^th, Li Shiguang conducted on-site work and research at the Iraqi oilfield project company. He listened to work reports from key business departments, including contracts and procurement, drilling and workover, and surface facilities. He gained a detailed understanding of the progress of the commercial production ramp-up campaign at EBN and MF projects, as well as long-lead material procurement and surface facilities construction. He then set out specific guidance on investment budgets, bidding and procurement, contract management, and project coordination.

Li Shiguang emphasized the need to strengthen preliminary demonstration and scientifically and reasonably prepare the 2027 investment budget, strengthen full-process control over bidding for surface engineering and drilling and workover projects, advance the bidding for EPF, LOM, and FSF projects in a coordinated manner, ensure schedule linkage among projects, promote standardization of bidding documents and contract templates, strictly approve contract changes and settlements, establish an integrated project management team, and comprehensively improve project construction management. He fully affirmed the project team’s efforts to overcome the impact of the changing situation in the Middle East and actively advance various work, required all personnel to enhance their sense of responsibility and urgency, and ensure that the EBN and MF projects achieve first oil as soon as possible. He also affirmed the work of Li Xu, the newly appointed president of the project company.

Continuing to Enhance ZPEC’s Golden Brand

On September 13^th, Li Shiguang and his delegation went deep into the frontline operations of the Garraf oil area in Iraq for on-site inspection. They respectively visited drilling fluid, mud logging, directional drilling, cementing, and drill floor operation sites. They held cordial conversations with employees and gained a detailed understanding of production operations, safety management, and employee living conditions. They also listened to a special report on overall project operations and the operations of ZPEC’s Rig 29, and fully affirmed the solid and standardized safety education and the outstanding achievements made since the project was launched in 2014. He pointed out that, as the company’s second general contracting project undertaken in Iraq and its longest-running project, the PETRONAS Project has become a benchmark for Zhongman Technical Services in deeply cultivating the Iraqi market. He encouraged everyone to stay committed to their posts, diligently hone their skills, and grow into talented personnel through the practice of promoting safe and efficient project operations.

On September 14^th, Li Shiguang and his delegation drove more than four hours to the Zhongman Technical Services Rumaila base for research. They conducted on-site research at the base warehouse and in work areas including cementing, mud logging, well logging, and directional drilling. On behalf of the Group and the Chairman, he expressed solicitude and gratitude to all staff for remaining at their posts under difficult conditions caused by tensions in the Gulf situation and disruptions to material supply, and commended the base team for its can-do attitude of “doing everything possible to solve problems.”

For next steps, he put forward specific requirements: First, make good use of the equipment management system (PMS), carry out equipment repair and maintenance, and actively develop external markets while safeguarding the internal market. Second, accelerate the standardized, IT-enabled, digital, and intelligent construction of warehouses and promptly activate idle and backlogged materials. Third, increase efforts in international and local talent cultivation. He emphasized that the Group has initially achieved strategic transformation and that upstream oilfield resource reserves have huge potential. He expressed the hope that everyone will seize opportunities and continue to burnish ZPEC’s golden brand in the Middle East.

Consolidating Market Advantages in Technical Services and Engineering

From September 13^th to 15^th, Li Shiguang conducted on-site research at Zhongman Technical Services’ Baghdad office and Basra office on production operations, safety management, market development, and logistics support.

At the Baghdad office, he talked with shift rotation personnel, asked with concern about work-rest schedules, food support, and family conditions, and reminded everyone to always keep safety in mind and responsibility on their shoulders. He emphasized the need to accelerate talent development and strengthen the “strategic northward shift,” focus on developing the northern market while consolidating the southern Iraq market, thoroughly implement the “Iron-Blooded Journey Culture” and “ZPEC Home Culture,” improve the incentive and support system, continuously enhance employees’ sense of gain and happiness, and enable employees to share in the fruits of company development.

At the Basra office, Li Shiguang chaired a meeting of branch management and functional departments to comprehensively review the branch’s business development work in the first half of the year. Based on this research visit, he summarized three impressions: strong team synergy, key tasks well managed, and strong market breakthroughs. For key work in the second half of the year, he made six arrangements. First, in market development, coordinate established markets and maintain new markets. Second, deepen single-well performance assessment and promptly study assessment and incentive plans for merged turnkey projects. Third, optimize production operations and complete every meter of drilling footage with quality and quantity guaranteed. Fourth, adhere to the two main lines of talent development and step up recruitment and training of local university graduates. Fifth, improve unified safety management at large bases, benchmark against the safety management systems of international oil companies, and lay a foundation for ESG management of proprietary oilfields. Sixth, strictly implement maximum and minimum inventory systems, unify rig configuration standards, streamline parts categories, ensure the security of original PMS data and accelerate independent development, and support the launch of the Group’s WMS and SRM systems.

Promoting Localized Equipment Manufacturing

On the morning of September 15^th, President Li Shiguang, accompanied by Li Jing, Deputy General Manager of the Equipment Group and General Manager of Babylon Petroleum Equipment Company, arrived at the Babylon Petroleum Equipment plant area and inspected the equipment and facilities one by one. From the top drive maintenance area to the tank assembly area, from the materials warehouse to the final assembly area, from the pump repair area to the living camp, he carefully inspected each area and fully affirmed Babylon Petroleum Equipment Company’s proper equipment management and employees’ skilled maintenance techniques.

He emphasized that ZPEC Equipment is a vital link in the Group’s “integrated full-industry-chain” layout and that localized manufacturing and maintenance of high-end petroleum equipment will significantly improve ZPEC’s comprehensive benefits in project development and oilfield construction in Iraq. Babylon Petroleum Equipment Company should implement the Group’s strategic positioning as an equipment manufacturing and maintenance service platform in Iraq, accelerate land leasing and investment licensing, actively expand external markets, strive to build the Babylon brand, and provide strong support for ZPEC’s oilfield construction and drilling business in Iraq.

On September 16^th, Li Shiguang met with Ala Abdul Hussein Salman, Chairman of the Basra Provincial Investment Commission. The two sides reached a consensus on the landing of the Babylon Petroleum Equipment base and localized industrial cooperation.

(Text by Zhang Tiexuan, Li Pengfei and Qu Qilei; Photos by Li Pengfei and Qu Qilei)