PetroChina Co Ltd

#### STATEMENT OF THE BOARD OF DIRECTORS

The following is a statement from the board of directors (the "Board") of PetroChina Company Limited (hereinafter

referred to as "PetroChina", the "Company", "we" or "us") made in accordance with the requirements of the

Environmental, Social and Governance Reporting Guide (the "ESG Reporting Guide") of the Stock Exchange of

Hong Kong Limited (HKEX).

The Board places strong emphasis on sustainable development management and has integrated environmental,

social and governance ("ESG") into the Company's operation. The Company has established an effective ESG

management mechanism and has formed a governance structure featuring clear hierarchy and labor division,

which allows the Company to effectively control ESG related risks and continuously improve our own corporate

governance standards.

###### Responsibilities

As the highest decision-making body in respect of the ESG issues, the Board has ultimate

responsibility for the ESG governance of the Company. The Board has established the

Sustainable Development Committee (the "SDC") consisting of three directors with Mr. Huang

Yongzhang, executive director and president of the Company, serving as the chairman, and

is responsible for overseeing the implementation of ESG policies, strategies and targets, and

reviewing the Company's ESG Report.

The Company places strong emphasis on risk management of ESG issues. We

integrate macro policy environment, industry developments and trends, expectations

and demands of stakeholders into our ESG risk identification analysis. We carry

out stakeholder engagement and professional research through various channels

to determine the focus areas and management measures of ESG risk control, and

integrate ESG considerations into the management system of our daily operations,

conduct regular review and supervision of ESG work progress, in order to

continuously improve and enhance ESG management standards.

The Company has formulated medium and long-term targets and quantitative indicators

for ESG matters, covering governance system and capabilities, green and low-carbon

transformation, greenhouse gas ("GHG") emissions, sustainable use of resources, pollutant

emissions, health and safety, and human resources. We conduct progress review on a

regular basis. We incorporate benefits, operations, energy conservation, emission reduction,

health, safety and environment (HSE) and compliance management as assessment

indicators into the annual performance evaluation of the Company's management. We

have engaged PricewaterhouseCoopers Zhong Tian LLP to conduct independent assurance

on certain ESG performance indicators of the Company to ensure the reliability of these

performance indicators (see Page 111 for details)." [...] "###### Sustainable Development Committee

The Sustainable Development Committee under the Board is responsible for overall planning supervision

of ESG issues of our Company. Mr. Huang Yongzhang, the executive director and the president of our

Company, serves as the chairman of the committee, and Mr. Jiao Fangzheng, the executive director and

chief geologist of our Company, and Mr. Ren Lixin, the executive director and senior vice president of our

Company, serve as members of the committee.

###### Responsibilities of the Sustainable Development Committee

To work on the sustainable development of our Company (including but not limited to environmental, social and

governance matters), to identify and assess major risks and impacts on the sustainable development of our Company,
to enhance risk management (including that in respect of environmental, social and corporate governance), and to
make relevant proposals to the Board

To supervise our Company's commitments and performance on addressing climate change, ensuring health and

safety and environmental protection and fulfilling social responsibilities in relation to key issues, and to make relevant

proposals to the Board

To examine the approach and strategies, goals, measures and relevant key issues in respect of the sustainable
development of our Company, and to supervise and review the implementation of the sustainable development goals

To review the environmental, social, and governance report and the health and safety and environmental protection

report of our Company annually and to make relevant proposals to the Board

To monitor important information concerning sustainable development, assess significant impacts of environmental,

social and governance issues on relevant stakeholders, monitor the Company's relevant safety and environmental

risks, formulate response measures, and make relevant proposals to the Board

Other matters as delegated by the Board

###### Significant work performed by the Sustainable Development Committee during the year

Convening Sustainable Development Committee meetings to consider the resolution on the 2022 ESG Report of our

Company and the resolution on the 2022 Health and Safety and Environmental Protection Report of our Company and

passing the respective resolutions

Convening ESG work seminars, discussing ESG targets and formulating a three-year action plan for ESG work

###### ESG Performance Review and Management Remuneration

The Company incorporates various indicators relating to benefits, operations, energy conservation,

emission reduction, HSE and compliance management into our management performance review. The

results of the review are linked to their remuneration. In particular, emissions reduction indicators carry

10% weighting and up to 10 points may be deducted for non-performance of relevant indicators, while for

safety, environmental protection and compliance management indicators, 5 points would be deducted for

non-performance of each indicator. In 2022, we have incorporated energy consumption, GHG emissions

and pollutant control into the annual performance review for the heads of relevant departments and

subsidiaries and implemented performance review and granted awards on new energy and new materials

business development, in order to further promote our Company's green and low-carbon transformation.

The Board of the Company attaches great importance to sustainable development management and has integrated environmental, social and governance (hereinafter referred to as "ESG") into the Company's operation. The Company has established an effective ESG management mechanism and has formed a governance structure featuring clear hierarchy and labor division, which enables the Company to effectively control ESG related risks and constantly promote the improvement of its own corporate governance standards. [...] The Board has established a Sustainable Development Committee consisting of three directors, with the Executive Director and the President of the Company serving as the chairman, which is responsible for overseeing the implementation of ESG policies, strategies and targets, and reviewing the Company's "Environmental, Social and Governance Report". [...] The Sustainable Development Committee under the Board is responsible for overall planning supervision of ESG issues of the Company. Mr. Huang Yongzhang, the Executive Director and the President of the Company, serves as the chairman of the committee, and Mr. Jiao Fangzheng, the non-executive director, and Ren Lixin, the executive director and senior vice president, serve as members of the committee. Safety and environmental protection, energy conservation and emission reduction are included in the annual performance assessment of the Company's management. If the assessment indicators are not completed, the performance score will be deducted and the compensation and salaries will be deducted according to the regulations. Among them, for those who fail to complete the safety and environmental protection assessment indicators, 5 points will be deducted for each item; for those who fail to complete the energy conservation and emission reduction assessment indicators, 1 point will be deducted for each item, with a maximum of 10 points.

The Board regularly reviews significant ESG issues, continuously strengthening ESG management in terms of ESG issue identification, risk control, inspection, and supervision. The Company conducts ESG risk identification and analysis based on macro-policy environment, industry development trends, stakeholder expectations, and other factors. We engage with stakeholders through various channels in order to establish key areas and management measures for ESG risk control. We integrate ESG considerations into the management system of our daily operations and conduct regular review and supervision of ESG work progress. [...] The Company has formulated targets and performance indicators for ESG management, covering the governance system and capabilities, green and low-carbon transformation, GHG emissions, sustainable use of resources, pollutant emissions, health and safety, and human resources. We conduct progress review on a regular basis. We incorporate benefits, operations, energy conservation, emission reduction, safety and environment, and compliance management as assessment indicators into the annual performance evaluation of the Company's management. We have engaged PricewaterhouseCoopers Zhong Tian LLP to conduct independent assurance on certain ESG performance indicators of the Company to strengthen the independence and objectivity of these performance indicators (for details, please refer to page 121 of this Report).

The Company has set up the Oil and Gas Reserves Management Committee, the chairman of which is the President of the Company. [...] The evaluation results are subject to a two-level review by the regional companies and the Oil, Gas and New Energy Branch, and will be finally determined by the Oil and Gas Reserve Management Committee of the Company.

The Company has set up the Oil and Gas Reserves Management Committee, the chairman of which is the President of the Company. [...] Reserve Management Committees and multi-disciplinary Reserve Research Institutes have been set up at various regional companies. Technical professional in charge of the reserve evaluation of the Company is Mr. Duan Xiaowen, member of the Mineral Reserve Administration Division of the Oil, Gas and New Energy Branch. Mr. Duan holds a bachelor's degree in petroleum geology and an MBA degree. He has more than 30 years of working experience in the field of the exploration and development of oil and gas and has been engaging in the reserve evaluation and management for a long period of time. Since 2008, he has been involved in the technical supervision of reserves evaluation and, since 2016, has been the key technical professional in charge of monitoring the preparations for conducting reserve evaluation of the Company and of handling the technical and management works regarding evaluation of the oil and gas reserves. Reserve Research Institutes in various regions are responsible for calculating the newly discovered reserves and updating the estimates of the existing reserves. The evaluation results are subject to a two-level review by the regional companies and the Oil, Gas and New Energy Branch, and will be finally determined by the Oil and Gas Reserve Management Committee of the Company. At the same time, the Company retains a third party independent evaluator who will, in accordance with the SEC Standards prescribed, conduct an independent evaluation or audit of the proved reserves derived from the annual evaluation conducted by the Company. The proved reserves evaluated or audited by the third party will be disclosed in accordance with requirements.

The Board regularly reviews significant ESG matters and continuously strengthens ESG management through identification of issues, issue assessment and prioritisation, risk control, inspection and supervision. The Company identifies and analyzes ESG risks based on the macro policy environment, industry development trends and stakeholders' expectations and demands, and communicates with stakeholders in various ways for key areas and measures for ESG risk management and control. ESG considerations are embedded in our daily management systems, with regular inspection and supervision of ESG implementation. [...] The Company's ESG management system consists of the Board of Directors, Sustainable Development Committee, ESG Management Working Committee, and various functional departments, specialised companies and affiliated enterprises. As the highest decision-making body for ESG issues, the Board has ultimate responsibility for the Company's ESG management. The Board has established the Sustainable Development Committee, which is responsible for supervising and inspecting all ESG work and making recommendations to the Board. The ESG Management Working Committee implements the Board and Sustainable Development Committee's ESG decisions and deployments, with an ESG Management Working Office and three specialised working groups focusing on green low-carbon initiatives, social responsibility and corporate governance. Mr. Huang Yongzhang, executive director and president of the Company, who has many years of experience in safety and environmental protection management, serves as the chairman of the Sustainable Development Committee while also serving as the chairman of the ESG Management Working Committee. The Company's functional departments, specialised companies and affiliated enterprises have incorporated ESG work into their departmental responsibilities, with designated managers and working personnel involved in collaborative participation in the Company's ESG management. [...] To strengthen climate governance and ensure the implementation of climate-related action plans, the Company has established a Leading Group on Carbon Peak and Carbon Neutrality led by the Chairman of the Board. Through regular meetings, we study, deploy, and promote action plans to continuously strengthen the management of climate-related risks, improve our carbon emission management and control system, develop low-carbon industries, improve clean energy supply, and actively participate in the global cooperation within the oil and gas industry to tackle climate change. [...] The Company incorporates ESG indicators such as energy conservation, emission reduction, HSE and compliance management into our management performance review. The results of the review are linked to their remuneration to promote the effective implementation of sustainable development strategies. Specifically, energy conservation and emission reduction indicators carry 10% weight and up to 10 points may be deducted for non-performance of relevant indicators, while for safety, environmental protection and compliance management indicators, 5 points would be deducted for non-performance of each indicator.