1. FURTHER INFORMATION A. Incorporation We were established under the PRC law as a joint stock limited liability company on August 28, 2012. We established a place of business in Hong Kong at 9th Floor, Three Exchange Square, Central, Hong Kong, and was registered as a non-hong Kong company under Part XI of the Companies Ordinance on November 12, 2012. Liu Xiaohong of Flat H, 25th Floor, Hoi Tien Mansion, 18 Taikoo Wan Road, Hong Kong has been appointed as our agent for the acceptance of service of process in Hong Kong. 3rd Sch (21) 3rd Sch (29) LR8.14 LR8.02 CO 342 LR19A.13(2)(a) As we are established in the PRC, we are subject to the relevant laws and regulations of the PRC. A summary of the relevant aspects of PRC laws and principal regulatory provisions is set out in Appendix V to this document. A summary of our Articles of Association is set out in Appendix VI to this document. A1A5 B. Changes in the registered capital of our Company 3rd Sch (11) A1A26(1) The predecessor of our Company was established on July 24, 2007 with a registered capital of RMB400,000,000, which has been fully paid. At the time of the establishment of our Company on August 28, 2012, our initial registered capital was RMB3,100,000,000, divided into 3,100,000,000 Domestic Shares with nominal value of RMB1.00 each, 98% and 2% of which were fully paid up or credited as fully paid up and were held by our promoters, Sinopec Group and SAMC, respectively. C. Resolutions passed at our extraordinary shareholders meetings on September 3, 2012 and December 17, 2012 [ ] 2. REORGANIZATION We underwent the Reorganization, details of which are set out in the section headed History, Reorganization and Corporate Structure in this document. As confirmed by King & Wood Mallesons, our legal advisor as to PRC law, we have obtained all necessary approval from relevant PRC regulatory authorities required for the implementation of the Reorganization. These approvals include: (a) on June 1, 2012, SASAC issued an approval document (Guo Zi Gai Ge [2012] 305) to approve the proposal relating to the Reorganization; (b) ZhongHe Appraisal Co., Ltd. appraised the assets which were to be injected into the Company as of June 30, 2012 and issued an appraisal report (Zhong He Ping Bao Zi (2012) No. BJV2112); VII-1
(c) the appraisal report as referred to in paragraph (b) above was filed with SASAC (Filing Form No. 20120045); (d) on August 17, 2012, SASAC issued an approval (Guo Zi Chan Quan [2012] 676) approving the Company s management plan of the state-owned shares; (e) on August 20, 2012, SASAC issued an approval (Guo Zi Gai Ge [679]) approving the establishment of the Company; (f) on August 24, 2012, the Company convened an inaugural meeting and shareholders meeting, passing resolutions on the establishment of the Company; (g) on August 28, 2012, a new business license was issued by the State Administration for Industry and Commerce, whereupon we were formally established as a joint stock limited company. 3. FURTHER INFORMATION OF OUR SUBSIDIARIES Our principal subsidiaries as of December 31, 2012 are set out under the financial statements in the Accountants Report as included in Appendix I to this document. Save as disclosed below, there has been no alteration in the share capital of any of our subsidiaries within the two years immediately preceding the date of this document: on April 6, 2012, the registered capital of was changed from RMB219,500,000 to RMB500,000,000 as part of its conversion into a limited liability company; on April 9, 2012, the registered capital of TCC was changed from RMB324,750,000 to RMB350,000,000 as part of its conversion into a limited liability company; on April 10, 2012, the registered capital of SEI was changed from RMB347,691,000 to RMB500,000,000 as part of its conversion into a limited liability company; and on April 11, 2012 the registered capital of SFCC was changed from RMB127,775,000 to RMB350,000,000 as part of its conversion into a limited liability company. VII-2
4. FURTHER INFORMATION ABOUT OUR BUSINESS 3rd Sch (17) A. Summary of our material contracts A1A52 We have entered into the following contracts (not being contracts entered into in the ordinary course of our business) within two years immediately preceding the date of this document which are or may be material: (a) the [ ]; (b) the Non-Competition Agreement; (c) the nil-consideration equity transfer agreement dated March 27, 2012 and entered into between Sinopec Group and SE in respect of the transfer of the entire equity interest held by Sinopec Group in SEI to SE; (d) the nil-consideration equity transfer agreement dated March 27, 2012 and entered into between Sinopec Group and SE in respect of the transfer of the entire equity interest held by Sinopec Group in LEPC to SE at nil consideration; (e) the nil-consideration equity transfer agreement dated March 27, 2012 and entered into between Sinopec Group and SE in respect of the transfer of the entire equity interest held by Sinopec Group in SSEC to SE at nil consideration; (f) the nil-consideration equity transfer agreement dated March 27, 2012 and entered into between Sinopec Group and SE in respect of the transfer of the entire equity interest held by Sinopec Group in SNEC to SE at nil consideration; (g) the nil-consideration equity transfer agreement dated March 27, 2012 and entered into between Sinopec Group and SE in respect of the transfer of the entire equity interest held by Sinopec Group in SNEI to SE at nil consideration; (h) the nil-consideration equity transfer agreement dated March 27, 2012 and entered into between Sinopec Group and SE in respect of the transfer of the entire equity interest held by Sinopec Group in FCC to SE at nil consideration; (i) the nil-consideration equity transfer agreement dated March 27, 2012 and entered into between Sinopec Group and SE in respect of the transfer of the entire equity interest held by Sinopec Group in SFCC to SE at nil consideration; (j) the nil-consideration equity transfer agreement dated March 27, 2012 and entered into between Sinopec Group and SE in respect of the transfer of the entire equity interest held by Sinopec Group in TCC to SE at nil consideration; (k) [ ]. VII-3
B. Our intellectual property rights A1A28(4) Trademarks As at the Latest Practicable Date, we have registered the following trademarks in the PRC: No. Owner Trademark Registration Number Duration Class 1. SEI 1171833 April 28, 2008 April 27, 2018 42 2. SEI 3226213 April 7, 2004 April 6, 2014 42 3. SEI 3226214 February 28, 2004 February 27, 2014 37 4. SEI 3345884 July 14, 2004 July 13, 2014 42 5. FCC 3186587 April 14, 2004 April 13, 2014 37 6. 1129760 November 21, 2007 November 20, 2017 42 7. 5406770 September 14, 2009 September 13, 2019 42 8. Luoyang Gaoxinlongpu Petrochemical Development Co., Ltd. 956010 March 7, 2007 March 6, 2017 1 9. Luoyang Gaoxinlongpu Petrochemical Development Co., Ltd. 956580 March 7, 2007 March 6, 2017 4 VII-4
No. Owner Trademark Registration Number Duration Class 10. Luoyang Gaoxinlongpu Petrochemical Development Co., Ltd. 958658 March 7 2007 March 6, 2017 9 11. SSEC 1671695 November 21, 2011 November 20, 2021 42 12. SSEC 1671696 November 21, 2011 November 20, 2021 42 13. SSEC 4883134 May 14, 2010 May 13, 2020 42 14. SSEC 4991299 November 28, 2009 November 27, 2017 42 15. SNEC 7387283 August 21, 2010 August 20, 2020 7 16. SNEC 7387294 October 21, 2010 October 20, 2020 37 17. SNEC 7387304 October 21, 2010 October 20, 2020 40 18. SNEC 7387311 December 7, 2011 December 6, 2021 42 VII-5
Patents As at the Latest Practicable Date, the following are patents that our subsidiaries have been granted in the PRC and which we consider to be or may be material to our business: No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 1 A separation method of catalytic cracking gasoline ( Sinopec Corp. / SEI Invention 03128433.7 April 29, 2003 January 11, 2006 2 An improved light hydrocarbon deep cooling separation method ( Sinopec Corp. / SEI Invention 01132960.2 September 11, 2001 October 1, 2008 3 Method of recovering low-carbon olefins from the product gas when producing olefins ( Sinopec Corp. / SEI Invention 200510105587.3 September 29, 2005 October 21, 2009 4 Ethylene cracking furnace with new arrangement of one-pass tubes ( Sinopec Corp. / SEI / Sinopec Corp. Chemical Engineering Research Institute Invention 200710097704.5 April 28, 2007 May 4, 2011 5 A type of cracking furnace with its radiant section furnace tube using the U -shaped structure arrangement ( U Sinopec Corp. / SEI / Sinopec Corp. Chemical Engineering Research Institute Invention 200710097706.4 April 28, 2007 May 4, 2011 VII-6
No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 6 Method for recovering and cooling of catalytic reaction oil and gas heat energy ( SEI Invention 01123974.3 August 10, 2001 February 16, 2005 7 A type of cracking furnace with two-tube radiance passes ( Sinopec Corp. / SEI / Beijing Petrochemical Research Institute / Tian Hua Petrochemical Mechanics and Automation Research Institute Invention 200710097707.9 April 28, 2007 June 15, 2011 8 A type of two-tube radiance passes used in ethylene cracking furnace ( Sinopec Corp. / SEI / Beijing Petrochemical Research Institute / Tian Hua Petrochemical Mechanics and Automation Research Institute Invention 200410088701.1 October 29, 2004 October 29, 2008 9 A type of cracking furnace with single-tube reducing passes ( Sinopec Corp. / SEI / Beijing Petrochemical Research Institute / Tian Hua Petrochemical Mechanics and Automation Research Institute Invention 200410086298.9 October 29, 2004 September 19, 2007 10 A method for stopping alkene gas-phase polymerization reaction ( SEI Invention 200610112784.2 September 1, 2006 July 18, 2009 VII-7
No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 11 Improved deflegmation and fractional tower system ( SEI Invention 97111162.6 May 14, 1997 September 5, 2001 12 Lapping type two-stage regeneration technology for heavy oil fluid catalystic cracking ( SEI Invention 97121795.5 December 23, 1997 May 21, 2003 13 Catalytic conversion process for counter-flow moving bed with multiple reactors ( ) SEI Invention 98117972.X September 11, 1998 July 25, 2001 14 Method and device for stripping butyl rubber in three autoclaves ( SEI Invention 200910087203.8 June 19, 2009 April 18, 2012 15 Catalytic distillation selective hydrogenation process for cracking petroleum hydrocarbon vapor for producing C3 fraction composition ( SEI Invention 99112272.0 June 16, 1999 July 10, 2002 VII-8
No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 16 Method for separation of petroleum cracking C5 fraction by liquid phase feeding extraction rectification ( SEI / Beijing Petrochemical Research Institute / Shanghai Petrochemical Company Limited Invention 96116289.9 March 20, 1996 August 9, 2000 17 Method for recovering ethylene from dilute ethylene containing gas ( SEI / Sinopec Jinan Refinery Factory / Peking University / Sinopec Jinning Petrochemical Company Refinery Factory Invention 95117068.6 October 24, 1995 January 5, 2000 18 A hydrofining process integration method ( SEI Invention 200710178207.8 November 28, 2007 July 4, 2012 19 A type of fluid bed reactor used for gasoline desulfuration ( Sinopec Corp. / SEI Invention 200910076756.3 January 19, 2009 August 29, 2012 20 A high-temperature axial-flow type tail gas turbine ( ) SEI Invention 200910084939.X June 4, 2009 May 23, 2012 21 A method for stripping spent catalyst or regenerated catalyst ( SEI Invention 200910163079.9 August 24, 2009 July 4, 2012 VII-9
No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 22 A combined hydrocracking method ( Sinopec Corp. / Sinopec Zhenhai Petrochemical Engineering Company Limited / Sinopec Corp. Fushun Petrochemical Research Institute / Invention 200610008413.X January 19, 2006 June 10, 2009 23 Stripping method and equipment for catalytic conversion catalyst-regenerating ( Invention 00107162.9 April 29, 2000 February 4, 2004 24 A method for hydrocarbons fluid catalytic conversion ( Invention 00107163.7 April 29, 2000 January 8, 2003 25 Resultant oil separating method during hydrocarbon hydrotreatment ( Invention 98112915.3 July 10, 1998 October 1, 2003 26 Resultant oil separating method during hydrocarbon hydrogen conversion ( Invention 98112925.0 July 16, 1998 April 18, 2001 27 A type of radial gas-solid reactor ( Invention 99104594.7 May 10, 1999 February 5, 2003 VII-10
No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 28 Method and equipment for hydrocarbonconversion catalyst regeneration ( Invention 00101537.0 January 10, 2000 February 5, 2003 29 A process for hydrocarbons fluid catalytic conversion ( Invention 00108519.0 April 29, 2000 February 5, 2003 30 Quenching tower and quenching method for reaction product of hydrocarbon fluid catalytic conversion ( Invention 00108832.7 April 29, 2000 February 5, 2003 31 Continuous reforming device with four reaction areas ( Invention 01115290.7 June 7, 2001 June 9, 2004 32 A type of moving-bed radial gas-solid reactor ( Invention 01128724.1 July 14, 2001 March 3, 2004 33 Method for separating hydrocarbon hydrocracking products ( Invention 02114456.7 March 2, 2002 February 11, 2004 VII-11
No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 34 A process for hydrocarbons catalytic conversion ( Invention 03114517.5 February 21, 2003 August 17, 2005 35 Process and device for petroleum atmospheric vacuum distillation ( Invention 03108050.2 May 8, 2003 March 23, 2005 36 A type of method and device for preparing low carbon olefin hydrocarbon with oxygen-containing compounds ( Invention 200710111668.3 June 8, 2007 October 26, 2011 37 Method and device for cool coking effluent treatment ( East China Polytechnic University / Sinopec Zhenhai Petrochemical Company Limited / Invention 200410068149.X November 15, 2004 January 23, 2008 38 A new process for recovery and utilization of saturated hydrocarbons ( Invention 99104229.8 April 27, 1999 January 16, 2002 39 A regeneration process for hydrocarbon conversion catalyst ( Invention 99106878.5 May 19, 1999 August 28, 2002 VII-12
No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 40 A type of method and device for upgrading low-quality gasoline ( Invention 02139066.5 September 16, 2002 November 24, 2004 41 A type of catalyst for hydrogen generation using hydrocarbons and its preparation method ( Invention 200410060203.6 November 2, 2004 February 7, 2007 42 A type of catalytic cracking method and device ( ) Invention 200510017751.5 July 1, 2005 September 19, 2007 43 A type of catalyst for upgrading low-quality gasoline and its preparation method and application ( Invention 200610048409.6 July 17, 2006 June 25, 2008 44 Direct conversion method for producing olefins from multi-feeds of hydrocarbons ( Invention 97119048.8 October 20, 1997 September 20, 2000 45 Moving-bed continuous regeneration equipment for hydrocarbon conversion catalyst ( Invention 98112931.5 July 24, 1998 March 7, 2001 VII-13
No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 46 An aromatic extraction process ( Invention 99101697.1 March 16, 1999 February 4, 2004 47 A regeneration method for hydrocarbon conversion catalyst ( Invention 99106877.7 May 19, 1999 August 28, 2002 48 Spent catalyst distributor for fluid catalytic cracker ( ) Invention 03126336.4 September 2, 2003 June 29, 2005 49 A type of riser catalytic cracking method and device ( Invention 200610106993.6 September 6, 2006 May 14, 2008 50 A hydrogenation method for making clean fuels ( Invention 200610128328.7 December 4, 2006 November 26, 2008 51 An integrated process for malodorous gas treatment ( Invention 200810049515.5 April 4, 2008 September 7, 2011 52 A type of catalyst for production of ethylene and propylene from low-value olefins and its application ( ) Invention 02138789.3 July 13, 2002 February 16, 2005 VII-14
No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 53 A type of catalytic conversion method and device for upgrading low-quality gasoline ( Invention 02139064.9 September 16, 2002 November 17, 2004 54 A type of method and device for reducing gasoline olefins ( Invention 02139065.7 September 16, 2002 October 20, 2004 55 A conversion method for light olefins ( Invention 03126213.9 June 19, 2003 February 16, 2005 56 A type of catalytic cracking method and equipment ( Invention 03126241.4 July 3, 2003 November 17, 2004 57 An integrated process for heavy oil processing ( Invention 200310110205.7 December 9, 2003 June 28, 2006 58 A type of method and device for riser reactor catalytic cracking ( Invention 200410060430.9 July 28, 2004 November 9, 2005 59 An integrated process for amine production ( Invention 200410060461.4 August 16, 2004 April 5, 2006 VII-15
No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 60 A type of method and device for down-flow riser catalytic cracking ( Invention 200410060494.9 September 3, 2004 April 11, 2007 61 A hydro-upgrading process for low-quality gasoline ( ) Invention 200410060574.4 October 18, 2004 November 8, 2006 62 A catalytic conversion method for producing ethylene and propylene ( Invention 200410060575.9 October 18, 2004 August 23, 2006 63 A hydrogen generation method using hydrocarbons ( Invention 200410060202.1 November 2, 2004 September 13, 2006 64 A type of aromatization catalyst and its preparation method and application ( ) Invention 200410060301.X December 1, 2004 February 7, 2007 65 A type of riser reactor for fluid catalytic cracking of hydrocarbons ( ) Invention 200410060332.5 December 16, 2004 April 11, 2007 66 A low-quality diesel pre-treating method ( Invention 200510017365.6 February 17, 2005 November 8, 2006 VII-16
No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 67 A low-quality gasoline upgrading method ( Invention 200510017373.0 February 17, 2005 November 8, 2006 68 A method for producing dimethyl carbonate ( Invention 200510017781.6 July 12, 2005 May 27, 2009 69 A method for reducing sulfur content of fuel oil ( Invention 200510017835.9 August 1, 2005 May 16, 2007 70 A type of dual-riser catalytic cracking method and device for upgrading low-quality gasoline ( Invention 200510017861.1 August 8, 2005 February 7, 2007 71 A p-xylene producing method ( Invention 200510017946.X August 31, 2005 September 19, 2007 72 A tube type heating furnace ( Invention 200610017305.9 January 5, 2006 December 17, 2008 73 An process for processing heavy oil ( Invention 200610017653.6 April 17, 2006 February 6, 2008 74 Separating method for converting methanol to prepare low carbon olefin gas ( Invention 200610017775.5 May 15, 2006 July 2, 2008 VII-17
No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 75 A method for preparing ethylene and propylene and catalyst used in such method ( Invention 200610018060.1 July 3, 2006 July 30, 2008 76 A type of catalytic cracking desulfurization method and device for low-quality gasoline ( Invention 200610048408.1 July 17, 2006 October 8, 2008 77 A hydrocarbon hydrocracking method ( Invention 200610106992.1 September 6, 2006 February 27, 2008 78 A method for producing clean fuels ( Invention 200610128327.2 December 4, 2006 June 24, 2009 79 A process for treating acidic dirt water containing hydrogen sulfide and ammonia ( Invention 200710053952.X February 5, 2007 October 14, 2009 80 A type of method and device for upgrading gasoline ( Invention 200710054770.4 July 13, 2007 December 15, 2010 81 A method for converting by-product of MTO reaction to alkane ( MTO Invention 200710054769.1 July 13, 2007 May 19, 2010 VII-18
No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 82 A type of inhibitor restraining H 2 S/CO 2 corrosion and its preparation method ( H 2 S/CO 2 / Luoyang Gaoxin Longpu Petrochemical Development Company Invention 200910065569.5 July 29, 2009 February 1, 2012 83 Catalyzing cracking regeneration catalyst on-line conversion device and system ( ) Invention 96109518.0 August 23, 1996 April 18, 2001 84 A new integrated process for delayed coking and solvent extraction ( Invention 97100673.3 March 11, 1997 October 3, 2001 85 Reaction method and device for dimethyl benzene isomerization and methylbenzene disproportionation ( East China Polytechnic University / Invention 01126968.5 October 8, 2001 September 21, 2005 86 A hydrocarbon oil hydrogenation process ( Invention 200810141293.X September 5, 2008 July 4, 2012 87 A liquid-solid two-phase hydrogenation method ( Invention 200810141352.3 September 12, 2008 August 22, 2012 88 A delayed coking process ( Invention 200910065261.0 June 25, 2009 June 27, 2012 VII-19
No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 89 A type of fluid catalytic cracking method and device ( Invention 200910065264.4 June 25, 2009 September 26, 2012 90 An integrated process for boiling bed hydrogenation and fixed bed hydrogenation ( Invention 200910065260.6 June 25, 2009 June 27, 2012 91 Method for separating catalytic splitting gas with high content of propylene and propane ( SSEC Invention 200410093433.2 December 23, 2004 August 9, 2006 92 Propylene multistage polymerization process and polymerization reactor ( SSEC Invention 03150757.3 September 3, 2003 June 10, 2009 93 Separation method for diene hydrocarbon in five fractions of petroleum cracked carbon ( SSEC Invention 200710043975.2 July 19, 2007 March 10, 2010 VII-20
No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 94 Heat-exchange method for ketone-benzol dewaxing device solvent recovery system ( SSEC Invention 200710171796.7 December 6, 2007 March 10, 2010 95 Method for separating isoprene by combined rectification ( SSEC Invention 200710043973.3 July 19, 2007 October 6, 2010 95 Postheating dimerization method for separating C5 diene ( SSEC Invention 200710043976.7 July 19, 2007 March 23, 2011 97 Method for preparing ethanol from wood fiber raw material ( SSEC Invention 200810033185.0 January 29, 2008 January 11, 2012 98 Equipment and process for treating waste liquid from production of acrylonitrile ( SNEC Invention 200610029088.5 July 16, 2006 July 1, 2009 99 A stripping method for process condensate in CO conversion ( CO SNEC / Ningbo Institute Invention 200910098944.6 May 22, 2009 April 27, 2011 VII-21
No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 100 Separation method for dimethyl ether prepared with synthetic gas through one-step process ( SNEC Invention 03134277.9 May 21, 2003 November 9, 2005 101 Low temperature methanol cleaning process ( SNEC Invention 02114514.8 April 3, 2002 September 14, 2005 102 A waste heat recovery method for CO conversion ( CO Sinopec Corp. / SNEC Invention 200710068402.5 April 27, 2007 July 21, 2010 103 Process for recovery of acidic gases by methanol absorption ( SNEC / PetroChina Company Limited Invention 02116578.5 April 12, 2002 May 25, 2005 104 A sulfur resisting conversion process under low water/ gas for gasifying powdered coal ( / Qingdao Lianxin Chemical Company Limited / Liuzhou Chemical Industry Company Limited / SNEC Invention 200710087573.2 March 30, 2007 April 13, 2011 105 Method for producing wet method phosphoric acid by mediumand low-grade phosphorus mine ( SNEI Invention 200510022547.2 December 23, 2005 May 23, 2007 VII-22
No. Patent Name Patentees Class of patents Patent No. Application Date Grant Date 106 Process for two-effect evaporation of phosphoric acid with wet method ( SNEI Invention 200810236248.2 November 27, 2008 April 13, 2011 107 Method for producing high-purity concentrated hydrochloric acid by adopting hydrogen chloride gas containing chlorosilane ( SNEI Invention 200910183870.6 August 3, 2009 January 26, 2011 Under PRC law, a granted invention has a validity period of 20 years from the date of its application and a granted utility model has a validity period of 10 years from the date of its application. In respect of the jointly-owned patents with Sinopec Corp. described above, we entered into an agreement with Sinopec Corp. in December 2012, pursuant to which we are entitled to a complete and non-restricted usage thereof. In addition, in respect of jointly-owned patents with Sinopec Group and its associates described above, we have been advised by our PRC legal advisor, King and Wood Mallesons, that we have the rights to use such jointly-owned patents independently and license others to use them by means of ordinary license in the course of our business and operations. The joint patent owners who are not subsidiaries of Sinopec Group are Independent Third Parties. As of the Latest Practicable Date, we have made the following patent applications in the PRC: No. Application Name Applicant(s) Class of patents Application No. 1 A fluidized bed reactor for gasoline desulfurization ( Sinopec Corp. / SEI Invention 200910076756.3 2 A startup method for olefins conversion units ( Sinopec Corp. / SEI Invention 200910170274.4 VII-23
No. Application Name Applicant(s) Class of patents Application No. 3 A cracking furnace with double-row arranged radiant furnace tubes ( Sinopec Corp. / SEI Invention 901004646.0 4 A cracking furnace with double-row arranged radiant furnace tubes ( Sinopec Corp. / SEI Invention 98135111.0 5 An ethylene cracking furnace ( Sinopec Corp. / SEI Invention 98135112.0 6 An ethylene cracking furnace ( Sinopec Corp. / SEI Invention 901004655.0 7 An ethylene cracking furnace with hydrocarbon steam cracking system ( Sinopec Corp. / SEI Invention 200910181015.1 8 High efficient purified desulfurizer for high acid oil and gas ( Sinopec Corp. / SEI Invention 200910233505.1 9 A method for storing bulk sulphur ( Sinopec Corp. / SEI Invention 201010271431.3 10 An automated loading method at designated points in fixed quantity for bulk sulphur ( Sinopec Corp. / SEI Invention 201010271448.9 11 A film-increasing bundle for evaporative air coolers ( ) Sinopec Corp. / SEI Invention 201110212044.7 12 A multi-liquid phase parallel distributed heat exchanger ( Sinopec Corp. / SSEC Invention 200910047174.2 13 A heat exchanger for evaporating immiscible liquid ( Sinopec Corp. / SSEC Invention 200910053207.4 14 A porous feeding heat exchanger for immiscible liquid ( Sinopec Corp. / SSEC Invention 200910055179.X 15 A continuous production method for separating acetic acid and water through azeotropic distillation ( Sinopec Corp. / SSEC Invention 200910195451.4 VII-24
No. Application Name Applicant(s) Class of patents Application No. 16 A method for recovering purified terephthalic acid ( Sinopec Corp. / SSEC Invention 201010022748.3 17 A method for synthetic preparing butyraldehyde from propylene and syngas carbonyl ( Sinopec Corp. / SSEC Invention 201010222948.3 18 A method for preparing butyraldehyde from propylene and synthesis gas ( Sinopec Corp. / SSEC Invention 201010222941.1 19 A method for preparing butyraldehyde from propylene and synthesis gas ( Sinopec Corp. / SSEC Invention 201010222903.6 20 A method for crushing raw material of expanded plant fibre ( Sinopec Corp. / SSEC Invention 201010263143.3 21 A method for separating propane in cumene devices ( Sinopec Corp. / SSEC Invention 201010504807.0 22 A method for separating propane in cumene devices ( Sinopec Corp. / SSEC Invention 201010504814.0 23 A method for recovering solvent in oligomers ( Sinopec Corp. / SSEC Invention 201110002378.1 24 A method for recovering solvent in oligomers ( Sinopec Corp. / SSEC Invention 201110002377.7 25 Pollution preventive emission system for cleaning and sterilizing sewage and its application in aseptic manufacturing process ( Sinopec Corp. / SSEC Invention 201110091642.3 26 An impermeable sealing method for vertical shaft in underground water-sealed oil storage cave ( Sinopec Corp. / SSEC Invention 201110093781.X VII-25
No. Application Name Applicant(s) Class of patents Application No. 27 An impermeable backfilling sealing method for vertical shaft in underground water-sealed oil storage cave ( Sinopec Corp. / SSEC Invention 201110093782.4 28 Anti-floating method in pond for joint level strut of cone anchor pier ( Sinopec Corp. / SSEC Invention 201110094837.3 29 Combined oil collecting device of surrounding floating weir in sewage conditioning tank ( Sinopec Corp. / SSEC Invention 201110107463.4 30 A method for producing a hydrogen peroxide diisopropylbenzene ( Sinopec Corp. / SSEC Invention 201110221449.7 31 A method for producing a hydrogen peroxide diisopropylbenzene ( Sinopec Corp. / SSEC Invention 201110221431.7 32 A method for preparing bis - (peroxide hydrogen isopropyl) benzene ( - Sinopec Corp. / SSEC Invention 201110221471.1 33 A method for preparing bis - (peroxide hydrogen isopropyl) benzene ( - Sinopec Corp. / SSEC Invention 201110221473.0 34 A method for producing 2 - (2 - hydroxy-isopropyl) benzene ( - 2- Sinopec Corp. / SSEC Invention 201110221487.2 35 A method for producing 2 - (2 - hydroxy-isopropyl) benzene ( - 2- Sinopec Corp. / SSEC Invention 201110221562.5 36 One step method for producing bis - (peroxide hydrogen isopropyl) benzene ( - ) Sinopec Corp. / SSEC Invention 201110221591.1 VII-26
No. Application Name Applicant(s) Class of patents Application No. 37 A group welding process at the top of the tank for single-inclusive double-walled cryogenic tanks ( Sinopec Corp. / SNEC / Ningbo Institute Invention 201010257199.8 38 A pretreatment system for magnetic mechanical oxygen analyzer samples ( Sinopec Corp. / SNEC / Ningbo Institute Invention 201110220190.4 39 A method for lowering the height of slip tail at the tail of equipment ( Sinopec Corp. / SNEC / Ningbo Institute Invention 201010257208.3 40 A method for recovering purge gas in the Fischer-Tropsch synthesis process ( Sinopec Corp. / SNEC / Ningbo Institute Invention 201010514849.2 41 A panel structure for fixed hydraulic balanced ultra-large tank ( Sinopec Corp. / SNEC / Ningbo Institute Invention 201110094079.5 42 A method for treating acidic water ( Sinopec Corp. / SNEC / Ningbo Institute Invention 201110112859.8 43 A method for manufacturing head module of quenching heat exchangers ( Sinopec Corp. / SNEC / Ningbo Institute Invention 201110204294.6 44 A method for treating acrylic sewage () Sinopec Corp. / SNEC / Ningbo Institute Invention 201110307877.1 45 A process for recovering CO 2 from flue gas ( CO 2 Sinopec Corp. / SNEC / Ningbo Institute Invention 201110387163.6 46 A separation device and separation method for CO 2 of transformation gas ( Sinopec Corp. / SNEC / Ningbo Institute Invention 201110387740.1 47 A type of sootblower ( Sinopec Corp. / Invention 201010219844.7 48 A type of gas-solid contact device for fluidized bed ( Sinopec Corp. / Invention 201010219845.1 VII-27
No. Application Name Applicant(s) Class of patents Application No. 49 A method for recovering naphthenate from hydrocarbon oil and its device ( Sinopec Corp. / Invention 201010219925.7 50 A method for injecting catalyst and its device ( Sinopec Corp. / Invention 201010219922.3 51 A type of flame-heating furnace tube rack ( Sinopec Corp. / Invention 201010219933.1 52 A method for utilizing mixed C_4 ( Sinopec Corp. / Invention 201010256506.0 53 A method for catalytic conversion of C_4 ( Sinopec Corp. / Invention 201010256488.6 54 A method and process for preparing light olefins catalyst ( Sinopec Corp. / Invention 201010256552.0 55 A salt deposition inhibitors and its preparation process ( Sinopec Corp. / Invention 201010256542.7 56 A method for preventing fractionator from salt depositing ( Sinopec Corp. / Invention 201010256536.1 57 A device for waste oil dehydration () Sinopec Corp. / Invention 201010261697.X 58 A method for recovering residual heat from flue gas ( Sinopec Corp. / Invention 201010261623.6 59 A device for hydrocarbon oil electric dehydration ( Sinopec Corp. / Invention 201010261592.4 60 A device for waste oil electric dehydration ( Sinopec Corp. / Invention 201010261601.X 61 A method for preparing alloy coating on steel surface ( Sinopec Corp. / Invention 201010261614.7 VII-28
No. Application Name Applicant(s) Class of patents Application No. 62 A method for producing aromatics from coker gasoline ( Sinopec Corp. / Invention 201010267301.2 63 A method for alkylation ( Sinopec Corp. / Invention 201010267290.8 64 A process for degassing liquid sulfur () Sinopec Corp. / Invention 201010267190.5 65 A dust collector ( Sinopec Corp. / Invention 201010600706.3 66 An alkylation catalyst ( Sinopec Corp. / Invention 201010605454.3 67 A passivation treatment solution on zinc coating surface ( Sinopec Corp. / Invention 201110008435.7 68 A method for removing NO from flue gas ( NO Sinopec Corp. / Invention 201110039827.X 69 A catalyst for removing NO from flue gas and its preparation process ( NO Sinopec Corp. / Invention 201110039828.4 70 A type of nonionic aqueous polyurethane dispersion and its preparation process ( Sinopec Corp. / Invention 201110039939.5 71 A type of sewage treatment process for anoxic - aerobic biological fluidized bed ( - Sinopec Corp. / Invention 201110039932.3 72 A type of electrostatic coalescence crude oil dehydrator ( Sinopec Corp. / Invention 201110099620.1 73 A method for demetallization of crude oil ( Sinopec Corp. / Invention 201110099618.4 74 An anaerobic fluidized bed reactor ( Sinopec Corp. / Invention 201110105526.2 VII-29
No. Application Name Applicant(s) Class of patents Application No. 75 A material handling method for ethylbenzene preparation process from raw material containing ethylene ( ) Sinopec Corp. / Invention 201110105517.3 76 A separation process for light olefin gases ( Sinopec Corp. / Invention 201110105507.X 77 A type of aluminum hot rolling oil ( Sinopec Corp. / Invention 201110105482.3 78 A type of oil-soluble corrosion inhibitor and its preparation process ( Sinopec Corp. / Invention 201110105529.6 79 A type of oil-soluble corrosion inhibitor and its preparation process and application ( Sinopec Corp. / Invention 201110105469.8 80 A type of enhanced heat transfer tube with twisted-leaves ( Sinopec Corp. / Invention 201110114493.8 81 A type of air preheater and its application ( Sinopec Corp. / Invention 201110145098.6 82 A type of gas soot blower ( Sinopec Corp. / Invention 201110145083. Ø 83 A type of soot bellowing method for furnace ( Sinopec Corp. / Invention 201110166075.3 84 A device for waste oil dehydration () Sinopec Corp. / Invention 201110166109.9 85 A type of flame heating furnace ( Sinopec Corp. / Invention 201110192495.9 86 A type of sealing device for graphite-tube heat exchange tubes and sheets and heat exchange tubes ( Sinopec Corp. / Invention 201110211107.7 VII-30
No. Application Name Applicant(s) Class of patents Application No. 87 A dry distillation method for coal and its device ( Sinopec Corp. / Invention 201110219229.0 88 A method for lowering energy consumption of oxygenates olefins units ( Sinopec Corp. / Invention 201110253698.4 89 A method for lowering energy consumption of oxygenates olefins units ( Sinopec Corp. / Invention 201110253681.9 90 A method for producing liquid ammonia () Sinopec Corp. / Invention 201110253741.7 91 A type of composition of cold rolling sheet rolling oil ( ) Sinopec Corp. / Invention 201110253720.5 92 A type of liquid colleting, mixing and dispensing device ( / ) Sinopec Corp. / Invention 201110341005.7 93 A process for producing alkyl aromatics ( Sinopec Corp. / Invention 201110341009.5 94 A method for treatment of refinery wastewater organics ( ) Sinopec Corp. / Invention 201110354173.X 95 A catalytic cracking process for reducing carbon dioxide emissions ( Sinopec Corp. / Invention 201110354175.9 96 A fine desulfurization method for carbon fraction ( Sinopec Corp. / Invention 201110354202.2 97 A process for removing oxynitride in flue gas with ozone oxidization method ( Sinopec Corp. / Invention 201110360702.7 98 A type of dust collector ( Sinopec Corp. / Invention 201110420240.3 VII-31
No. Application Name Applicant(s) Class of patents Application No. 99 A process for coker gasoline upgrading ( Sinopec Corp. / Invention 201110420264.9 100 A type of scalable gas-type soot blower ( Sinopec Corp. / Invention 201110419810.7 101 A composite metal removal agent and preparation method thereof ( Sinopec Corp. / Invention 201110420348.2 102 A method for reducing oxynitride emissions with char ( Sinopec Corp. / Invention 201110437093.0 103 A type of water-soluble grinding fluid () Sinopec Corp. / Invention 201110437052.1 104 A type of dry distillation method and device for fluidized bed of oil shale ( Sinopec Corp. / / China Coal Group Company Limited Invention 201110413789.X 105 Dry distillation method and device for fluidized bed of oil shale ( Sinopec Corp. / / China Coal Group Company Limited Invention 201110413756.5 106 Dry distillation method and device for fluidized bed of oil shale ( Sinopec Corp. / / China Coal Group Company Limited Invention 201110413811.0 107 Dry distillation method and device for fluidized bed of oil shale ( Sinopec Corp. / / China Coal Group Company Limited Invention 201110413827.1 108 Dry distillation method and device for fluidized bed of oil shale ( Sinopec Corp. / / China Coal Group Company Limited Invention 201110413866.1 109 A type of dry distillation method and device for fluidized bed of oil shale ( Sinopec Corp. / / China Coal Group Company Limited Invention 201110413869.5 110 A method for removing sulfolane in hydrocarbon oil ( Sinopec Corp. / / Guangzhou Zhongyuan Invention 201010267178.4 111 A specimen holder for corrosion test ( Sinopec Corp. / / Guangzhou Zhongyuan Invention 201110253661.1 VII-32
No. Application Name Applicant(s) Class of patents Application No. 112 A method for replacing low temperature economizer of waste heat boiler ( Sinopec Corp. / Sinopec Group / Ningbo Institute Invention 201010290716.1 113 A type of gas-type soot blower ( Sinopec Corp. / Guangzhou Zhongyuan / Invention 201110105498.4 114 A type of cracking furnace with double-row arranged radiant section furnace tubes ( Sinopec Corp. / SEI Invention 200810224279.6 115 A type of series reactor process for olefin polymerization (research) ( Sinopec Corp. / SEI Invention 200910009747.2 116 Device and process for olefin polymerization reaction ( Sinopec Corp. / SEI Invention 201010160512.6 117 Process and device for rapidly leading oil and gas to prevent coking of heavy oil catalytic settler ( ) Sinopec Corp. / SEI Invention 201010263125.5 118 Process for separating acetic acid and water ( Sinopec Corp. / SSEC Invention 201010530505.0 119 Process for acetic acid dehydration ( Sinopec Corp. / SSEC Invention 201010530484.2 120 Distillation method of acetic acid dehydrator ( Sinopec Corp. / SSEC Invention 201010530479.1 121 Process for separating acetic acid and water ( Sinopec Corp. / SSEC Invention 201010530473.4 122 Process for separating acetic acid and water ( Sinopec Corp. / SSEC Invention 201010529840.9 123 Process for separating acetic acid and water with acetic acid dehydrator ( Sinopec Corp. / SSEC Invention 201010529836.2 VII-33
No. Application Name Applicant(s) Class of patents Application No. 124 Process for distillation separation of acetic acid and water with acetic acid dehydrator ( ) Sinopec Corp. / SSEC Invention 201010529823.5 125 Process for producing acetic acid with water gas ( Sinopec Corp. / SSEC Invention 201110303455.7 126 Centrifugal sedimentation method for treatment of catalyst liquid waste in the acrylonitrile industry ( Sinopec Corp. / SNEC / Ningbo Institute Invention 201010223178.4 127 A type of tube array support device in methanol reactor ( Sinopec Corp. / SNEC / Ningbo Institute Invention 201010514820.4 128 Process for delivering lignite ( Sinopec Corp. / SNEC / Ningbo Institute Invention 201110067835.5 129 Catalytic cracking process and device for reducing gasoline olefin ( Sinopec Corp. / Invention 201010219944.X 130 A type of delayed coking process () Sinopec Corp. / Invention 201010256498.X 131 A process for flue gas desulfurization and denitrification ( Sinopec Corp. / Invention 201010256555.4 132 A process for treatment of salt fouling in fractionator ( Sinopec Corp. / Invention 201010256526.8 133 Process and device for oil blending online ( Sinopec Corp. / Invention 201010261679.1 134 Device for electric desalting and dehydration ( Sinopec Corp. / Invention 201010267281.9 135 Hydrogenation anti-scaling and corrosion inhibitor and application thereof ( Sinopec Corp. / Invention 201010267284.2 VII-34
No. Application Name Applicant(s) Class of patents Application No. 136 A type of hydrogenation combined process () Sinopec Corp. / Invention 201010605419.1 137 A type of filament oil agent for poly phthalimido phenylenediamine fiber ( Sinopec Corp. / Invention 201010605429.5 138 A type of automatic catalyst feeder and method for automatic catalyst feeding ( Sinopec Corp. / Invention 201110039830.1 139 A type of fixed bed residuum hydrogenation process ( Sinopec Corp. / Invention 201110069595.2 140 A method for slowing down coking of oil-gas pipeline on top of coke drum ( Sinopec Corp. / Invention 201110089927.3 141 A type of delayed coking process () Sinopec Corp. / Invention 201110089909.5 142 A type of process and device for catalytic cracking ( Sinopec Corp. / Invention 201110096827.3 143 A type of catalytic cracking process () Sinopec Corp. / Invention 201110096794.2 144 A type of process and device for catalytic cracking ( Sinopec Corp. / Invention 201110096836.2 145 A type of process and device for catalytic cracking ( Sinopec Corp. / Invention 201110096829.2 146 A type of delayed coking process () Sinopec Corp. / Invention 201110211077.x 147 A type of coking process ( Sinopec Corp. / Invention 201110210997.x 148 Ultrasonic demulsification dehydration unit ( Sinopec Corp. / Invention 201110210925.5 VII-35
No. Application Name Applicant(s) Class of patents Application No. 149 A type of delayed coking process ( Sinopec Corp. / Invention 201110210974.9 150 Regenerable wet flue gas desulfurization process ( Sinopec Corp. / Invention 201110211142.9 151 A type of regenerable wet flue gas desulfurization process ( ) Sinopec Corp. / Invention 201110211171.5 152 Process for electric desalting and dehydration ( Sinopec Corp. / Invention 201110253718.8 153 A type of electric desalting and dehydrator and electric desalting and dehydration process ( Sinopec Corp. / Invention 201110272247.5 154 A type of device and process for electric desalting and dehydration of crude oil ( Sinopec Corp. / Invention 201110272257.9 155 A type of delayed coking process () Sinopec Corp. / Invention 201110341026.9 156 A type of hydrogenation process for deep desulfurization of gasoline ( Sinopec Corp. / Invention 201110360714.X 157 Process for removing metals in crude oil ( Sinopec Corp. / Invention 201110420371.1 158 A type of catalytic cracking process () Sinopec Corp. / Invention 201110341017.X In respect of the patent applications jointly submitted by our Group and Sinopec Corp. as described above, we entered into an agreement with Sinopec Corp. in December 2012, pursuant to which we are entitled to a complete and non-restricted usage of the relevant patent once the relevant application has been approved. Domain Names As at the Latest Practicable Date, we have registered the following domain names: Domain Name www.segroup.cn Registrant Our Company VII-36
5. FURTHER INFORMATION ABOUT OUR DIRECTORS AND SUPERVISORS A. Particulars of Directors and Supervisors Contracts A1A46(1) Each of the executive Director and non-executive Directors, entered into a service contract with our Company on April 22, 2013. The principal particulars of these service agreements are (a) for a term of three years commencing from the date on which the relevant Shareholders approvals for the appointment were obtained and (b) are subject to termination in accordance with their respective terms. The service agreements may be renewed in accordance with our Articles of Association and the applicable rules and regulations. Each of the Supervisors entered into a contract in respect of, among others, compliance with relevant laws and regulations, observation of the Articles of Association and provision on arbitration with our Company on April 22, 2013. Save as disclosed above, none of the Directors or Supervisors has or is proposed to have a service contract with any member of our Group (other than contracts expiring or determinable by the employer within one year without the payment of compensation (other than statutory compensation)). B. Remuneration of Directors and Supervisors A1A46(2) The aggregate amounts of compensation (including fees, salaries, contributions to pension schemes, housing allowances and other allowances, benefits in kind and discretionary bonuses) which were paid to the Directors and Supervisors during the three years ended December 31, 2010, 2011 and 2012 were approximately RMB1,645,000, RMB2,038,000 and RMB2,769,000, respectively. A1A33(2)(a) Save as disclosed above, no other payments have been paid or are payable by us to the Directors and Supervisors in respect of the three years ended December 31, 2012. There is no arrangement under which any Director has waived or agreed to waive future emoluments, nor has there been any waiver of emoluments by any Director during the current financial year. Under the existing arrangements currently in force, the aggregate remuneration payable and benefits in kind granted to the Directors and the Supervisors for the year ending December 31, 2013 are estimated to be approximately RMB776,849 and RMB2,274,799, respectively. A1A46(3) Each of the Directors is entitled to reimbursement for all reasonable expenses properly incurred in the performance of his or her duties. VII-37
6. DISCLOSURE OF INTERESTS A. Disclosure of Interests To the best of the knowledge of our Directors, the following person(s) will have an interest or short position in the Shares or underlying shares which are required to be disclosed under certain rules and regulations, or, directly or indirectly, be interested in 10% or more of the nominal value of any class of share capital carrying the rights to vote in all circumstances at the general meetings of the Company: Approximate Shareholder Number of shares held Nature of interest Approximate percentage of shareholding in the relevant class of Shares (1) percentage of shareholding in the total share capital of the Company (2) Sinopec Group (3)... 2,967,200,000 Domestic Shares Beneficial owner/interest of controlled corporation 100% 67.01% Notes: (1) The calculation is based on the percentage of shareholding in Domestic Shares of the Company. (2) The calculation is based on the total number of 4,428,000,000 Shares in issue. (3) Sinopec Group will directly or indirectly hold 2,967,200,000 Domestic Shares, representing 100% of the domestic share capital and approximately 67.01% of the total share capital of the Company, respectively. SAMC is a wholly-owned subsidiary of Sinopec Group and will hold 59,344,000 Domestic Shares, representing 2% of the domestic share capital and approximately 1.34% of the total share capital of the Company, respectively. Pursuant to certain rules and regulations, Sinopec Group is also deemed to be interested in the Domestic Shares held by SAMC. VII-38
B. Disclaimers Save as disclosed in this document: (a) none of the Directors or Supervisors is interested in the promotion of our Company, or has any direct or indirect interest in any assets which have been, within the two years immediately preceding the date of this document, acquired or disposed of by or leased to, our Company, or are proposed to be acquired or disposed of by or leased to our Company; A1A47(1)(a) A1A47(1)(b) (b) none of the Directors or Supervisors is materially interested in any contract or arrangement subsisting at the date of this document which is significant in relation to our business taken as a whole; A1A47(2) (c) save in connection with the [ ] and the [ ], none of the parties in the aforesaid paragraph: (i) is interested legally or beneficially in any of our Shares or any shares in any of our subsidiary; or (ii) has any right (whether legally enforceable or not) to subscribe for or to nominate persons to subscribe for our securities; (d) none of the Directors or Supervisors is a director or employee of a company which is expected to have an interest in the Shares falling to be disclosed under certain rules and regulations; (e) as at the Latest Practicable Date, none of the Directors, Supervisors, their respective associates, or any of the Shareholders (who to the knowledge of the Directors owns more than 5% of our issued share capital), had any interest in any of our top five suppliers and top five clients in respect of each of our business segments; (f) none of the Directors, Supervisors and chief executives of our Company has for the purpose of certain rules and regulations, nor is any of them taken to or deemed to have under certain rules and regulations, any interests and short positions in the shares, underlying shares and debentures of the Company or any associated corporations or any interests which will have to be entered in the register to be kept by the Company pursuant to certain rules and regulations or which will be required to be notified pursuant to certain rules and regulations; A1A45(1)(a) A1A45(1)(b) A1A45(1)(c) A1A45(1A)(a) A1A45(1A)(b) A1A45(2) (g) no amount, securities or benefit has been paid, allotted or given within the two years preceding the date of this document to the promoter nor is any such amount, securities or benefit intended to be paid, allotted or give. None of the Directors is interested in any business which competes or is likely to compete, either directly or indirectly, with our business; and 3rd Sch (16) VII-39