According to Cailian Press, transformer enterprises in multiple regions across China are operating at full capacity, with abundant export orders, and some have production schedules extending to 2027. Ultra-large-scale AI data centers have power loads exceeding 1 GW, comparable to the summer peak electricity consumption of a mid-sized city. Driven by growing global power infrastructure spending, ex-China demand for transformers remains robust and exports have hit new highs. Caixin Securities recommends paying attention to transformer producers with advantages outside China and related parts enterprises.

SMM News on June 18: Metal Market: As of the midday close, most domestic base metals rose, with SHFE nickel down 0.5%. SHFE copper rose 0.15%, SHFE aluminum rose 1.42%. SHFE zinc rose 0.87%, SHFE tin rose 0.13%. SHFE lead fell 0.71%. In addition, the main continuous futures contract for foundry aluminum rose 0.79%, and the main continuous contract for alumina rose 1.4%. Lithium carbonate rose 0.17%, silicon metal rose 0.95%, and polysilicon fell 0.47%. The ferrous metals series generally rose, with iron ore down 0.72%, rebar up 0.13%, and HRC up 0.36. Stainless steel rose 0.04%. In the coking coal and coke sector: coking coal fell 0.44%, and coke rose 0.59%. In the overseas metal market, as of 11:50 a.m., LME metals all rose, with LME copper, LME lead, LME aluminum, and LME nickel all up less than 0.4%. LME zinc rose 0.63%, and LME tin rose 0.73%. In the precious metals market, as of 11:50 a.m., COMEX gold was flat at $3,407/oz, and COMEX silver rose 0.47%. Domestically, SHFE gold fell 0.17%, and SHFE silver rose 2.37%, hitting a record high of 9,047 yuan/kg during the session. As of the midday close, the most-traded contract for the European container shipping index rose 4.49% to 2,118.6. As of 11:50 a.m. on June 18, midday futures market movements for some contracts: 》SMM Metal Spot Prices on June 18 Spot and Fundamentals Copper: Today, spot #1 copper cathode in Guangdong was quoted at a premium of 140-220 yuan/mt against the front-month contract, with an average premium of 180 yuan/mt, down 40 yuan/mt from the previous trading day. SX-EW copper was quoted at a premium of 80-100 yuan/mt, with an average premium of 90 yuan/mt, down 30 yuan/mt from the previous trading day. The average price of #1 copper cathode in Guangdong was 78,840 yuan/mt, up 145 yuan/mt from the previous trading day, and the average price of SX-EW copper was 78,750 yuan/mt, up 155 yuan/mt from the previous trading day. Spot Market: Inventories in Guangdong have fallen for two consecutive days, mainly due to fewer arrivals. Although inventories have decreased, warrants are flowing out, increasing the available supply. As a result, suppliers have had to lower prices to sell... 》Click for details Macro Front Domestic: [US exhibitors at the third China International Supply Chain Expo increase by 15% compared to the previous edition] According to CCTV News, at the 2025 Lujiazui Forum, Pan Gongsheng, Governor of the People's Bank of China, announced eight major financial policies. The first is to establish a trade repository for the interbank market. This will involve the high-frequency aggregation and systematic analysis of transaction data from various financial sub-markets, including interbank bonds, currencies, derivatives, gold, and bills, to serve financial institutions, macroeconomic regulation, and financial market supervision. Second, establish an international operation center for the digital yuan. Promote the international operation of the digital yuan and the development of financial market businesses to serve digital financial innovation. Third, establish personal credit reporting agencies. Provide diversified and differentiated personal credit reporting products for financial institutions to further improve the social credit reporting system. 》Click for details [Li Yunze: Will jointly release an action plan with the Shanghai Municipal Government to support the construction of Shanghai as an international financial center] At the 2025 Lujiazui Forum today, Li Yunze, Director of the National Financial Regulatory Administration, stated that in recent years, Shanghai has achieved a series of new progress and breakthroughs in the construction of an international financial center. During the forum, the National Financial Regulatory Administration will jointly release an action plan with the Shanghai Municipal Government to support the construction of Shanghai as an international financial center, introducing a series of deployment measures, including encouraging Shanghai to carry out innovative pilots in the fields of technology finance and cross-border finance, supporting eligible national banks to establish financial asset investment companies in Shanghai, and enhancing Shanghai's international reinsurance and shipping insurance underwriting capabilities and global service levels, among others. (Caixin) [SAFE to Implement a Package of Foreign Exchange Innovation Policies in Pilot Free Trade Zones] Zhu Hexin, Deputy Governor of the People's Bank of China and Director of the State Administration of Foreign Exchange, stated at the 2025 Lujiazui Forum that the State Administration of Foreign Exchange will implement a package of foreign exchange innovation policies in pilot free trade zones. These include 10 facilitation policies, such as optimizing settlement for new-type international trade and expanding the Qualified Foreign Limited Partner (QFLP) pilot program, actively supporting the enhancement strategy of pilot free trade zones. [National Mine Safety Administration: Public Consultation on the "Key R&D Catalog for Mine Intelligent Robots"] To thoroughly implement the "Guiding Opinions on Deeply Promoting the Intelligent Construction of Mines and Promoting Mine Safety Development" jointly issued by seven departments including the National Mine Safety Administration, and to accelerate the intelligent construction of mines and the R&D and application of robots, the General Office of the National Mine Safety Administration, in conjunction with relevant departments, has organized the drafting of the "Key R&D Catalog for Mine Intelligent Robots (Draft for Public Consultation)", which is now open for public consultation. The People's Bank of China conducted 156.3 billion yuan of 7-day reverse repo operations today, with an operating interest rate of 1.40%, unchanged from the previous rate. As 164 billion yuan of 7-day reverse repos matured today, a net withdrawal of 7.7 billion yuan was realized. ► The central parity rate of the RMB against the US dollar in the interbank foreign exchange market on June 18 was 7.1761 yuan per US dollar. US dollar aspect: As of 11:50, the US dollar index fell by 0.14% to 98.68. Fed officials held a meeting on Tuesday, and the latest economic data may heighten their concerns that government policies (or at least the high degree of uncertainty surrounding these policies) will slow economic growth in the coming months. US retail sales fell more than expected in May, dragged down by a decline in car purchases, as the surge in advance buying by US consumers to avoid tariff-induced price increases has subsided. However, consumer spending is currently still supported by robust wage growth. The market generally expects the US Fed to keep its benchmark interest rate range unchanged at 4.25%-4.50%. The market will closely monitor the remarks of Fed Chairman Powell after the policy decision is announced, seeking signals for the future path of monetary policy. In other currency news: The Bank of Japan (BOJ) released its latest monetary policy statement, maintaining the policy interest rate at 0.5% and slowing the pace of reducing its bond-buying program. The BOJ will cut its bond purchases by 200 billion yen per quarter starting from April 2026. The BOJ stated that the Japanese economy is recovering mildly, but there are still some signs of weakness. (Cailian Press) In terms of data: Today, data including the UK's May CPI year-on-year rate, UK's May core CPI year-on-year rate, UK's May retail price index year-on-year rate, Eurozone's May harmonized CPI year-on-year rate - final unadjusted figure, Eurozone's May core harmonized CPI year-on-year rate - final unadjusted figure, US's May initial monthly rate of building permits, US's May initial annualized total of building permits, US's initial jobless claims for the week ending June 14, US's continuing jobless claims for the week ending June 7, US's May seasonally adjusted annualized monthly rate of housing starts, and US's May seasonally adjusted annualized total of housing starts will be released. In addition, it is worth noting that the Bank of Canada will release the minutes of its monetary policy meeting; Bank of Canada Governor Macklem will deliver a speech on Canada's economic outlook, inflation trends, and interest rates; and the 2025 Lujiazui Forum will be held in Shanghai. In terms of crude oil: Both WTI and Brent crude oil futures rose, with WTI up 0.31% and Brent up 0.35% as of 11:50. This is due to market concerns that the conflict between Iran and Israel may disrupt oil supplies, supporting oil prices. Analysts said the market is mainly concerned about supply disruptions through the Strait of Hormuz, through which one-fifth of the world's seaborne oil passes. According to the CCTV News app, on the 17th local time, the US consumer news and business channel CNBC reported that the Baltic and International Maritime Council (BIMCO), one of the world's largest shipping associations, said that the large-scale conflict between Israel and Iran has made the entire shipping industry uneasy, with many ships already choosing to avoid the Strait of Hormuz, and the number of ships passing through the Strait is declining. Amid the escalating deterioration of regional security, ocean freight rates through the Strait of Hormuz are expected to rise. Iran is the third-largest oil producer among the Organization of the Petroleum Exporting Countries (OPEC), with a daily output of approximately 3.3 million barrels. However, analysts suggest that other OPEC members could utilize their spare capacity to offset the decline in Iran's production. Data released by the American Petroleum Institute (API) indicate a decrease in US crude oil and gasoline inventories, along with an increase in distillate fuel oil inventories, for the week ending June 13. Crude oil inventories fell by 10.1 million barrels, gasoline inventories decreased by 202,000 barrels, and distillate fuel oil inventories rose by 318,000 barrels. (Webstock Inc.) Spot Market Overview: ► A significant outflow of warrants has increased market supply, leading to a notable decline in spot premiums. [SMM South China Spot Copper] ► Trading activity in the spot market remains low, with premiums and discounts weakening. [SMM North China Spot Copper] ► Shanghai Zinc: Premiums continue to deteriorate, with average trading performance. [SMM Midday Review] ► [SMM Nickel Midday Review] On June 18, nickel spot prices remained stable, with People's Bank of China Governor Pan Gongsheng announcing eight significant financial policies. Midday reviews for other metal spot markets will be updated shortly. Please refresh for the latest information.

As reminded by a Caixin article on Tuesday evening, overnight and into the morning, overseas markets have been busy reassessing the prospects of the Middle East conflict, with the three major US stock indices collectively under pressure and declining. As of Tuesday's close, the S&P 500 fell 0.84% to 5,982.72 points; the Nasdaq Composite Index fell 0.91% to 19,521.09 points; and the Dow Jones Industrial Average fell 0.7% to 42,215.8 points. As a bellwether for the Middle East conflict, international oil prices surged again. (Daily chart of Brent crude oil, source: TradingView) According to CCTV News, as the military conflict between Israel and Iran continues, the market's focus has shifted to whether the US military will intervene. According to reports, US President Trump met with his national security team in the White House Situation Room on Tuesday to weigh whether to further intervene in the ongoing conflict between Israel and Iran. US Treasury bond prices also rose simultaneously, though this was also related to weak US retail, housing, and industrial output data. Later on Wednesday (early Thursday Beijing time), the US Fed will announce its latest interest rate decision and hold a press conference. The market generally expects that before a series of uncertainties that could trigger inflation are resolved, Fed officials will have no room to cut interest rates. Meanwhile, Andrew Tyler, head of global market intelligence at JPMorgan Chase, who successfully predicted the April rebound, said this week that despite the success of investors' strategy of buying the dip in the US stock market this year, with negative news always being rewarded after fading away, it is now best to reduce risk exposure. Regardless of the Israel-Iran situation, the US stock market itself is already ripe for a correction. The latest Bank of America Fund Manager Survey also shows that about 54% of institutional investors expect international stocks to be the best-performing asset class over the next five years, while only 23% choose US stocks. Performance of Popular Stocks Tech giants generally fell on Tuesday, with Apple down 1.4%, Microsoft down 0.23%, Amazon down 0.59%, Nvidia down 0.39%, Google-A down 0.46%, Tesla down 3.88%, and Meta down 0.7%. Chinese ADRs also weakened due to market sentiment, with the Nasdaq Golden Dragon China Index closing down 1.77%. As of the close, Alibaba was down 0.8%, JD.com was down 0.93%, Baidu was down 1.42%, Pinduoduo was down 0.25%, Bilibili was down 2.6%, NIO was down 2.27%, NetEase was down 1.12%, and Futu Holdings was down 1.47%. The "Traditional Chinese Medicine + Brain-Computer Interface" concept stock that captured market attention yesterday, Brain Regeneration Technology, continued to rise by 30%, reaching a market capitalization of $38.5 billion, with a cumulative increase of 59,900% since the beginning of the year. It should be emphasized that the core reason for the stock's speculative surge lies in its extremely small free float. Company News [Amazon CEO Issues Warning on "AI Taking Jobs"] On Tuesday local time, Andy Jassy, CEO of Amazon, the world's largest e-commerce and cloud computing platform, publicly wrote that as the company widely adopts AI to enhance efficiency, it is expected that the overall workforce will be reduced. [US Energy Giant Chevron Officially Enters Lithium Industry] US energy giant Chevron announced on Tuesday its entry into the lithium industry. The company acquired two oilfield areas with the intention of building a "commercial-scale" lithium business in the US. Chevron stated that in the future, it will utilize the "Direct Lithium Extraction" (DLE) process at oilfields to extract lithium from brine. [Coinbase to Seek SEC Approval for Tokenized Equities] Paul Grewal, Chief Legal Officer of Coinbase, a cryptocurrency exchange and newly added member of the S&P 500 Index, revealed that the company is seeking approval from the US Securities and Exchange Commission (SEC) to launch a "tokenized equities" service. [Eli Lilly to Acquire Gene-Editing Startup Verve for $1.3 Billion] On Tuesday Eastern Time, US pharmaceutical giant Eli Lilly announced that it would acquire gene-editing startup Verve Therapeutics for up to $1.3 billion. In response to this news, Verve's stock price closed up 81.50% on Tuesday. [JPMorgan Chase Launches Deposit Token JPMD, Emphasizing It's Different from Stablecoins] JPMorgan Chase stated on Tuesday that it plans to launch a so-called deposit token, JPMD, on Coinbase's public blockchain Base, which is built on the Ethereum network. The token will provide customers with 24/7 settlement services and the ability to pay interest to holders. The Wall Street giant stated that this is a so-called "permissioned token," meaning it is limited to JPMorgan Chase's institutional clients only—different from most publicly circulating stablecoins. [Tesla's Stock Falls Due to Temporary Production Halt News] Tesla's stock price fell by 3.88% on Tuesday amid news that the company would suspend production of the Cybertruck and Model Y car models at its Austin, Texas, factory for a week. It is reported that the production halt for maintenance will begin on June 30, marking the third similar shutdown at the Austin factory in the past year. [Meta to Launch AI Glasses in Collaboration with Prada and Oakley] Market news on Tuesday reported that Meta and its AI glasses partner EssilorLuxottica plan to launch new AI glasses products under the Prada and Oakley brands. Meta had already announced on Monday that it would unveil a new collaboration with Oakley this week, focusing on sports scenarios. [Intel Reportedly to Cut Up to 20% of Employees in Its Foundry Division] An internal memo disclosed by the media on Tuesday revealed that Intel plans to reduce its workforce in the foundry business unit by 15% to 20% starting from July. It remains unclear how many employees will be directly affected by this move. Regulatory filings indicate that as of the end of last year, Intel had a total of 108,900 employees.

Due to potential safety hazards in some models of power banks, Shenzhen Romoss Technology Co., Ltd. (hereinafter referred to as "Romoss"), an established power bank company founded in 2012, has found itself at the center of public controversy. According to an announcement released on June 16 on the official website of the Shenzhen Market Supervision and Administration Bureau, due to the potential combustion risk of some products under extreme scenarios, Shenzhen Romoss Technology Co., Ltd. will recall some mobile power supplies manufactured from June 5, 2023, to July 31, 2024, involving three models: PAC20-272, PAC20-392, and PLT20A-152, totaling 491,745 units. According to product information, the capacity of the three recalled products is 20,000 mAh each. (Image source: Official website of the Shenzhen Market Supervision and Administration Bureau) Public information shows that Romoss, founded in 2012, has nine major product lines, including mobile power supplies, outdoor power supplies, data charging cables, and power adapters. On the afternoon of June 17, one day after the recall announcement was released, a reporter from Caixin Media arrived at the office location indicated on Romoss' official website—Floors 15-18, Tower B, Building 7, Phase III of Shenzhen International Innovation Valley. The reporter found on-site that Romoss' office was enveloped in the atmosphere of the recall incident: the front desk staff continuously received calls and repeatedly told the callers, "You can contact customer service." Multiple staff members were walking while making calls and repeatedly mentioned keywords such as "recall" and "battery cell." Regarding the reporter's interview request, the front desk staff of Romoss stated that they had contacted the brand department on behalf of the reporter, but the other party said it was currently inconvenient to accept interviews. It is worth mentioning that on the afternoon of June 17, the reporter from Caixin Media called the customer service hotline shown in the announcement twice, and the phone prompt said, "The user you dialed has been suspended due to arrears." Two hours later, when the reporter called the hotline again, the prompt changed to, "Sorry, the number you dialed is busy." In addition, the Romoss Tmall flagship store currently sells a new 2025 model of the PAC20 power bank with a capacity of 20,000 mAh, and the battery type is indicated as lithium polymer battery. When the reporter from Caixin Media tried to inquire about the battery cell of the product with customer service, multiple replies stated that the current "recall issue has led to a surge in inquiries." According to previous online news, a student claiming to be from a university in Beijing posted, "The school issued a notice: Recently, it was found that the 20,000 mAh Romoss charger is more prone to explosion during charging compared to other brands and models." In the comment section, multiple netizens also posted screenshots of similar notices, which showed messages like "Received a reminder from the superior competent department" and "Please all faculty and staff promptly check if your power bank is of this brand and model, and it is recommended to discard it immediately to prevent danger." In response, Romoss issued a statement on Weibo on June 14, stating, "Regarding the recent discussions on the incident of 'multiple universities in Beijing banning Romoss power banks,' we sincerely apologize for the inconvenience caused to teachers, students, and the public. We hereby solemnly promise that we will assume full responsibility for any Romoss products identified as defective by authoritative institutions in accordance with the law. Meanwhile, we attach great importance to this matter and have initiated an immediate investigation. We have communicated with relevant departments, including the Beijing Municipal Commission of Education. As of the release of this statement, we have not received any risk notifications from the Beijing Municipal Commission of Education. There have been deviations in the dissemination of relevant information, leading to public misunderstandings. We will keep everyone informed of the subsequent developments of this incident through official channels as soon as possible." On June 17, a reporter from Cailian Press interviewed several teachers and students from the Capital University of Economics and Business, Beijing Union University, and Beijing University of Civil Engineering and Architecture, all of whom stated that they had not noticed the school issuing such a notice. The reporter learned from the interviews that factors such as overcharging, internal short circuits, and poor heat dissipation could potentially lead to bulging or explosion of power banks. Zhang Xiang, Secretary General of the International Intelligent Transport Technology Association and a visiting professor at Huanghe Science & Technology College, told a reporter from Cailian Press that overheating during the use of power banks could cause the product to expand and deform, leading to misalignment of the internal structures such as the positive and negative electrode separators and electrolyte within the battery due to compression. In addition, after prolonged use of power banks, lithium batteries are prone to developing dendritic crystals—lithium dendrites—which can puncture the battery separator. These situations can easily trigger short circuits and lead to explosions. According to information from the website of the Shenzhen Market Supervision and Administration Bureau, the mobile power supply products recalled by Romoss may experience overheating during use in a very small number of cases due to the raw materials of some battery cells, posing a combustion risk under extreme scenarios and presenting safety hazards. Regarding battery cell manufacturers, when asked whether they were involved in supplying products to Romoss, a representative from Sunwoda (300207.SZ) told the reporter, "They did not use our battery cells." A representative from the securities department of Desay Battery (000049.SZ) said, "I don't think so." The securities department of EVE (300014.SZ) stated, "We have not seen any relevant news. Everything is subject to the announcement. We are not really clear about this." "The safety and reliability of power banks can be further enhanced by increasing the functionality of the battery management system and improving the distribution of sensors," Zhang Xiang said. Typically, the explosion of a battery is a cumulative process, and battery safety is basically maintained through detection by relevant sensors. The sensor system measures whether the temperature, current, and voltage of the power bank are within the safe thresholds. If any abnormalities are detected, an alert is issued, which can significantly reduce the likelihood of battery explosion.

"Another 100-million-mt oilfield in the Bohai Sea—the three production platforms of Kenli 10-2 Oilfield are undergoing offshore commissioning and are expected to commence production within the year," a representative from CNOOC told a Caixin reporter. Recently, a Caixin reporter visited the Tianjin Branch of China National Offshore Oil Corporation (hereinafter referred to as "CNOOC") and learned that the Bohai Oilfield under the company is actively increasing reserves and production, striving to achieve the goal of producing 40 million mt of oil and gas equivalent annually. In Q1, the oil and gas production of the Bohai Oilfield historically exceeded 10 million mt in a single quarter. In mid-June, the Bohai Sea was shrouded in a thin mist, with glittering blue waves. This vast and azure inland sea of China is rich in oil and gas resources. In the central part of the Bohai Sea, more than 100 kilometers from the coastline, lies the first 100-billion-cubic-meter gas field in the Bohai Sea—the Bozhong 19-6 Gas Field. Early in the morning, a group of Caixin reporters boarded a helicopter at the Tanggu Airport in Tianjin heading to the drilling platform of the Bozhong 19-6 Gas Field. After nearly 40 minutes of flight, through the aircraft window, they saw a "string of five stars" emerging in the vast sea. Staff informed the reporters that the five platforms, including the central platform and wellhead platform of the Bozhong 19-6 Gas Field, have formed an oil and gas production cluster in the "string of five stars" pattern, integrating "oilfield + gas field + shore power." The 19-6 Gas Field is the first 100-billion-cubic-meter gas field in the Bohai Oilfield. During the interview, the Caixin reporter also learned that the Bohai Oilfield was established in 1965. After 60 years of development, it has now built approximately 60 oil and gas fields in production, with over 200 production facilities. It is currently the largest offshore oil and gas production base in China that integrates exploration and development, engineering construction, and production operations. A relevant staff member from CNOOC told the reporter that since 2019, the Bohai Oilfield has vigorously increased reserves and production, with oil and gas output continuing to rise. The daily crude oil production has exceeded the 100,000 mt mark, accounting for nearly one-sixth of the national crude oil production. Since the beginning of this year, the oil and gas production of the Bohai Oilfield has continued to maintain a steady upward trend. Multiple key capacity-building projects, including the Bozhong 26-6 Oilfield Development Project (Phase I), the world's largest metamorphic buried hill oilfield; the Lvda 5-2 North Oilfield Phase II Development Project, the first ultra-heavy oil thermal recovery development oilfield offshore China; and the Caofeidian 6-4 Oilfield Comprehensive Adjustment Project, have been put into production one after another. In Q1 of this year, the oil and gas production of the Bohai Oilfield historically exceeded 10 million mt in a single quarter. In addition, the aforementioned staff member also told the reporter that another 100-million-mt oilfield in the Bohai Sea—the three production platforms of Kenli 10-2 Oilfield are undergoing offshore commissioning and are expected to commence production within the year. This will add further momentum to the Bohai Oilfield's new leap in achieving 40 million mt of production in 2025, further enhancing the energy supply capability to the Beijing-Tianjin-Hebei region and the Bohai Rim area. The "Shenhai-1" project has produced over 10 billion m³ of natural gas in total. Innovation in deep-sea science and technology is also a focal point for investors interested in CNOOC. The deep sea holds the largest undeveloped resource base on Earth. According to data from the International Energy Agency (IEA), 70% of global oil and gas resources are located in the ocean, with 44% distributed in deepwater and ultra-deepwater areas at depths exceeding 300 meters. Currently, the exploration rate of global deepwater oil and gas resources is relatively low. Data from S&P (Standard & Poor's) as of month-end April 2025 indicates that the 2P (Two-Phase) recoverable reserves of oil and gas amount to 90.51 billion barrels of oil equivalent, with oil accounting for 51.7% and natural gas accounting for 48.3%. A relevant staff member from CNOOC told reporters that CNOOC has established a comprehensive technical system for offshore oil and gas exploration, development, and production, breaking through key technologies in the 1,500-meter ultra-deepwater oil and gas field development engineering model. Over the past decade, with the continuous increase in investment in deepwater oil and gas exploration, CNOOC has successively made significant deepwater oil and gas discoveries, including the "Shenhai-1" gas field, the Dongfang gas field cluster, the Baodao 21-1 gas field, and the Kaiping South oil field, becoming an important area and direction for future oil and gas reserve growth and production increase. In the development sector, the successful commissioning of the "Shenhai-1" ultra-deepwater gas field has enabled China to become the third country globally, after the US and Norway, with the capability to independently develop ultra-deepwater oil and gas resources. The "Shenhai-1" project has pioneered a new model for the economic development of ultra-deepwater gas fields under extremely harsh sea conditions, providing a Chinese solution for global deepwater oil and gas development. A representative from CNOOC told reporters that the "Shenhai-1" project has produced over 10 billion m³ of natural gas and over 1 million m³ of condensate in total, maintaining a state of high and stable production. Meanwhile, CNOOC continues to achieve significant progress in key technological breakthroughs, including substantially improving the recovery rate of domestic offshore oil and gas fields, efficiently developing offshore low-permeability and buried-hill oil and gas fields, effectively developing thermal recovery of heavy oil, and advancing the construction of smart oil fields, thereby effectively enhancing development and production efficiency. A relevant staff member from CNOOC told reporters that in the future, CNOOC will be guided by an innovation-driven strategy, continuing to deepen innovation in deep-sea science and technology, promoting the efficient development of offshore oil and gas resources, steadily advancing the development of the offshore new energy industry, and creating greater value for shareholders.