Sinopec Shanghai Petrochemical Co Ltd

The Board of Directors bears the ultimate The Company attaches The Company has established an ESG target responsibility for Sinopec Corp.'s ESG great importance to management mechanism, with ESG performance governance. The Sustainability Committee ESG management indicators and regular reviews of them, covering under the Board of Directors is responsible for and regularly analyses its development plans and key tasks, such overseeing the implementation and progress of ESG-related risks as clean energy utilisation, climate change, the Company's sustainability and ESG strategies and opportunities in environmental protection, safety management, and plans, overseeing the commitments and the context of macro and anti-corruption and compliance, etc. To performances of the Company on key ESG issues policies, socio-economic ensure the achievement of these targets, such as climate change, environmental protection environment, and the the Company signs annual performance and compliance management; overseeing key strategy, production commitment documents with management staff information regarding sustainability issues related and operation, and and subsidiaries to integrate the Company's key to the Company's businesses and approving stakeholder engagement ESG performance indicators, such as workplace the Company's annual sustainability reports; of the Company. It also safety, energy conservation and environmental coordinating with other committees and functional carries out materiality protection, and operation compliance, as the departments to incorporate ESG factors into analysis by conducting KPIs for key management staff. To ensure the internal control, risk management, strategic stakeholder research reliability of our ESG performance indicators, the planning, remuneration and incentives, etc., and and expert consultation, Company hired KPMG Hua Zhen LLP to conduct reporting ESG performances and major plans to identify key ESG an independent assurance of the Sinopec to the Board of Directors. The Sustainability issues and continuously Corp. 2021 Sustainability Report, and issued Committee is composed of four directors, optimise its ESG independent assurance opinions regarding 17 including one independent director, with Chairman management. ESG performance indicators of the Company. of the Board serves as the chairperson of the committee. The Committee convenes at least once each year, and can hold ad hoc meetings when necessary. The Committee shall inform the Board on ESG related issues in a timely manner.

The Company's Board of Directors made the following statement in accordance with the requirements of the Environmental, Social and Governance Reporting Guidelines of the Stock Exchange of Hong Kong Limited (hereinafter referred to as the \"Hong Kong Stock Exchange\"). The Board of the Company promises that the Company and its Board of Directors strive to follow the Requirements of the Guidelines for the Governance of Listed Companies issued by the China Securities Regulatory Commission, the Guidelines No. 14 of Shanghai Stock Exchange for Self-Regulation of Listed Companies—Sustainability Report (Trial) issued by Shanghai Stock Exchange, and the Environmental, Social and Governance Reporting Guidelines issued by Hong Kong Stock Exchange, and continuously optimise its environmental, social and corporate governance (hereinafter referred to as \"ESG\") mechanism. We will further strengthen the Board's role in supervising and participation in ESG related issues, and vigorously integrate ESG considerations into the Company's major decision-making processes and various business practices. [...] The Sustainability Committee under the Board of Directors is responsible for reporting to the Board on matters related to the Company's sustainability (including environmental, social, and governance aspects) related issues and making relevant recommendations, including overseeing and deliberating the implementation and progress of the Company's sustainability and ESG strategies and plans; overseeing the commitments and performances of the Company on key ESG issues such as climate change, safety and occupational health, technological innovation, and product quality management; overseeing key information regarding sustainability issues related to the Company's businesses and conducting relevant researches on sustainability related topics; and approving the Company's annual sustainability reports and reporting to the Board of Directors the sustainability performances of the Company. The Sustainability Committee is composed of four directors, including one independent director, with Chairman of the Board serving as the chairperson of the committee. The Sustainability Committee convenes at least once each year to inform the Board on ESG related issues. Ad hoc meetings can be convened when proposed by either the chairperson of the committee or two or more committee members. [...] The Company has established an ESG target management mechanism, and set up ESG performance targets in its development plans and key tasks on key issues that highly related to the development of Company, such as climate change, safety and occupational health, technological innovation, and product quality management. The Sustainability Committee regularly reviews the progress of the targets and reports to the Board of Directors accordingly. To ensure the fulfillment of these targets, the Company signs annual performance commitments with management staff and subsidiaries to integrate key ESG performance indicators into the KPIs for key management staff. To ensure the reliability of our ESG performance indicators, the Company contracted KPMG Hua Zhen LLP to conduct an independent assurance of the 2024 Sinopec Corp. Sustainability Report, and issued independent assurance opinions regarding 27 ESG performance indicators of the Company.