Xinye Chemical wins 268 million yuan procurement order from Shengli Oilfield

The tender project number is NWZ260616-1015-125579-JZ-02. The tendered material is Type II oil displacement polyacrylamide granules suitable to high-temperature and high-salinity conditions in oilfields. The product specifications require an intrinsic viscosity of ≥2500 ml/g and an apparent viscosity of ≥13.5 mPa.s, suitable to reservoir recovery scenarios with a salinity of within 20,000 mg/L and temperatures below 80℃. The estimated total procurement scale to this tender is 68,730 tons. This figure is to reference only, as actual procurement volume will be dynamically adjusted based on oilfield production needs, and Sinopec Shengli Oilfield does not guarantee a minimum supply share to any shortlisted supplier.

A total of 7 companies were successfully shortlisted in this tender. Dongying Baomo Environmental ranked first among all suppliers in the complete evaluation score, with a corresponding total evaluated price (excluding tax) of 268.1 million yuan, ranking third in bid price among the seven shortlisted companies.

The announcement specifically mentioned that two completely different supply share allocation schemes were set to this tender, however the final implementation scheme has not yet been determined by the tenderer. Scheme 1 allocates shares based on the complete evaluation ranking, with higher rankings receiving a larger supply proportion; Scheme 2 prioritizes companies with reduce quotes, and then refers to complete scores to allocate orders within the same price range. There is a significant gap in the company's supply proportion under the two sets of rules, making it impossible to predict the actual scale of supply to the next two years at this stage.

Compared to the previous tender cycle, Baomo Environmental's bid price to this tender has increased, and the overall estimated total procurement volume to this framework has decreased compared to previous periods. Coupled with multiple variables such as the undetermined share allocation scheme, lack of minimum supply guarantee, and fluctuations in actual order volume with oilfield extraction, the company stated that it cannot accurately calculate the revenue and profit increments that this framework project can bring in the 2026-2027 fiscal years.

The company also disclosed a risk warning, stating that currently only the announcement of tender results has been completed, and Baomo Environmental has not yet signed a formal framework cooperation agreement with Shengli Oilfield. There is uncertainty regarding the subsequent progress of agreement signing and order issuance. The company will continue to follow up on the project's progress and fulfill information disclosure obligations immediately upon any major changes.

The company reminds investors that this is only a shortlisting to a framework tender and does not represent a locked-in fixed extensive order. Actual supply volume and contribution to performance are subject to significant uncertainty. Investment should be made with caution, and relevant risks should be assessed rationally.