Nearly 2.2 billion yuan loss last year! major restructuring of cash cow "pucheng clean energy"

SadaraThe financial report for the first half of 2026 has been released: sales revenue declined by 49.639% year-on-year to 2.5598 billion Saudi Riyals (approximately 682 million USD), compared to 5.083 billion Saudi Riyals (approximately 1.354 billion USD) in the same period last year. The main reason was a temporary production halt that limited the supply of finished products, causing a significant drop in sales volume. Although the average selling price of the company’s product portfolio increased and profit margins improved significantly, sales revenue still declined year-on-year. Net loss widened by 39.375% year-on-year to 3.531 billion Saudi Riyals (approximately 940 million USD), compared to a net loss of 2.533 billion Saudi Riyals (approximately 675 million USD) in the same period last year, mainly due to lower sales volume and the adverse impact of asset impairment provisions on other gains and losses. It is reported that Sadara is a joint venture between Saudi Arabia’s national oil giant Aramco and the American chemical company Dow.

Shaanxi Construction Machinery Co., Ltd. (referred to as "Construction Machinery") issued a trading suspension announcement regarding the planning of major matters and related-party transactions. In the announcement, Construction Machinery stated that it received the "Notice on the Project Approval for the Merger and Restructuring of Pucheng Clean Energy Company by Shaanxi Construction Machinery Co., Ltd." from its controlling shareholder Shaanxi Coal and Chemical Industry Group Co., Ltd. (referred to as "Shaanxi Coal Group"). The project involves the company acquiring 100% equity of Pucheng Clean Energy Chemical Co., Ltd. (referred to as "Pucheng Clean Energy Company") through a combination of share issuance and cash payment, and simultaneously raising supporting funds. Pucheng Clean Energy Company mainly engages in the production and sales of polyolefin products such as polyethylene (PE) and polypropylene (PP).

  On August 13, oil prices slightly declined after rising for five consecutive trading days, as traders awaited signs of progress on the reopening of the Strait of Hormuz. WTI crude oil fell below $82 per barrel, following an 11% cumulative increase over the past five trading days; Brent crude briefly dropped below $87 per barrel. Regarding the Middle East situation, there were almost no signs of progress on reopening the Strait of Hormuz. U.S. President Trump stated that the United States has "full control" over this waterway. The International Energy Agency (IEA) indicated that as the U.S.-Iran conflict continues, the global oil market faces a supply shortfall of 1.8 million barrels per day this quarter, more than twice previous estimates; by 2026, the oil supply deficit could reach its largest level in five years. According to the American Automobile Association, gasoline and diesel prices in the U.S. have never been this high for this time of year.

IEA Monthly Report: Global oil demand in 2026 is expected to decline by 1.6 million barrels per day due to disruptions in the Strait of Hormuz and high oil prices (previously forecasted to decline by 1 million barrels per day).

Recently, Zhuhai Maide Biological Technology Co., Ltd. received approval for its "single-use sterile tissue closure clip" as a Class II medical device (Yue Medical Device Registration No. 20262020844), becoming the first domestic medical device approved made from polyhydroxyalkanoates (PHA). PHA has officially transitioned from the laboratory to clinical use, marking a milestone breakthrough for domestic biomedical materials.