PetroChina proposes board shake-up, removes supervisory board

PetroChina Company Limited will hold its first extraordinary general meeting of shareholders in 2025 to approve several governance changes, including a revision of the company's articles of association and the abolition of the supervisory board. This move aligns with updated regulatory requirements, such as the new company law effective July 2024 and the SFC's articles of association guidelines for 2025. The current articles, in effect since 1999 and amended 13 times, will undergo a major overhaul.

Key changes include granting shareholders access to company accounting books and vouchers, revising shareholder meeting powers, allowing the board to approve stock issuances up to 300 million yuan, and lowering the threshold for temporary proposals from 3% to 1% of shareholding. The board of directors will also be restructured to include one employee director, with new specialized committees assuming the functions of the supervisory board. The audit committee will be renamed "audit and risk management committee" to take over the supervisory board's responsibilities.

Three new directors, Zhou Xinhuai, Zhou Song, and Song Dayong, have been nominated. The board will now comprise 13 directors, including 5 independent directors. Their remuneration will be determined by the board, subject to shareholder approval.