Runhua Communications

◆On April 15, 2023, County Mayor Dou, County Mayor Meng, Director Shi of the County Emergency Bureau, and Mayor Shen of Motou Town visited the company for research. The company's chairman, Ding Aihua, received and accompanied them. The focus of this research was to understand the current production and operation situation of the enterprise, as well as the resistance and difficulties encountered during the operation process, in order to better assist the enterprise in achieving healthy, green, and sustainable development.

◆ On April 19, 2023, Mayor Hou, who is in charge of environmental protection in Motou Town, and Director Yao came to the company to coordinate environmental operation work, reviewing the company's environmental assessment report, discharge permit, and related operational records.

◆ On April 19, 2023, County Mayor Chen, along with staff from the Judicial Bureau and various banks, visited the company for research, mainly inquiring about the company's capital turnover during operations. The company's chairman, Ding Aihua, and Administrative Department Manager Bi Wuxing received them. Chairman Ding reported to Mayor Chen on the company's basic situation and production operations, and they visited the production site for on-site research.

◆ On April 20, 2023, the Law Enforcement Team of the County Environmental Protection Bureau, led by Team Leader Yan and Team Leader Hou, came to the company to inspect the VOCs control situation, emphasizing the need for tailored control measures for each plant and ensuring that on-site leaks are managed properly.

◆ On April 29, 2023, Director Dong of the Hazardous Chemicals Department of the Provincial Emergency Management Department, along with experts and staff from the Municipal and County Emergency Management Bureaus, conducted a special inspection of the company's major hazard sources. Administrative Department Manager Bi Wuxing and the duty manager for the day, Kang Guoxiang, received them. Manager Bi first provided a detailed report on the company's basic situation, production operations, and the implementation of 11 special work plans issued by the provincial department. After listening to the work report, Director Dong first inquired about the leadership's duty arrangements during holidays and asked the duty manager about the day's work content. Duty Manager Kang explained the questions raised one by one. Director Dong emphasized the importance of leadership duty arrangements during holidays to ensure safe and stable production. Subsequently, Director Dong led the staff and experts to conduct a detailed inspection of the control room, production site, and major hazard areas, pointing out deficiencies in the production site work and projects that need rectification during the inspection.

◆ On April 30, 2023, Director Wang and Director Meng of the Hazardous Chemicals Department of the County Emergency Management Bureau emphasized the importance of leadership duty arrangements during routine safety inspections for holidays to ensure stable production.

■Enterprise·Safety·Occupational Health Protection■

Learn from accident lessons and strictly prohibit equipment from operating with 'illness'.

The '1·15' major explosion and fire accident at Panjin Haoye Chemical Co., Ltd.

Accident Overview:On January 15, 2023, around 13:30, an explosion and fire accident occurred during the maintenance of the alkylation unit at Panjin Haoye Chemical, resulting in 13 deaths and 35 injuries (including 4 seriously injured).

Direct Cause of the Accident: The pipeline of the alkylation unit's caustic wash material (main components are isobutane, n-butane, alkylation oil, etc.) burst while under pressure during a leak repair, causing a large amount of material to leak, which ignited an explosion when encountering static electricity or open flames.

The '7•19' accident at Yima Gasification Plant

Accident Overview:On July 19, 2019, a major explosion accident occurred at the air separation unit of Yima Gasification Plant, resulting in 15 fatalities, 16 serious injuries, and 175 minor injuries. Preliminary investigations indicated that the direct cause of the accident was the failure to timely address a leak in the cold box of the air separation unit, leading to a 'sand explosion', which subsequently caused the cold box to collapse, resulting in the rupture of a nearby 500m3 liquid oxygen storage tank, and a large amount of liquid oxygen rapidly leaking out, igniting an explosion and fire with surrounding combustible materials under liquid oxygen or oxygen-rich conditions.

Lessons and Recommended Measures

1. Fully recognize the significant safety risks associated with operating chemical production units with 'illness', correctly handle the relationship between benefits and safety, establish the concept that 'hidden dangers are accidents', ensure that hidden dangers are eliminated at the first opportunity, and resolutely prevent equipment from operating with 'illness'.

2. Strengthening equipment integrity management is the foundation of chemical safety production. Place high importance on professional management of equipment, optimize equipment design and selection from the source, and improve inherent safety levels.

3. Master safety information such as equipment design materials and operating parameters, and establish strict technical regulations for equipment inspection and maintenance. Increase the frequency of inspections for key areas, ensure that backup equipment is in good condition, and seriously carry out preventive maintenance to eliminate hidden dangers at their inception.