Baiqin Oil Service (02178) Fa Ying Guang anticipates that shareholders should account for a loss of no more than HK$37 million in the medium term

According to the Zhitong Finance App, Baiqin Oil Service (02178) issued an announcement. The Group expects to record a loss attributable to the company owner of not more than HK$37 million in the six months ending June 30, 2026, while the loss attributable to the company owner for the six months ending June 30, 2025 is approximately HK$11.8 million, an increase of not more than HK$25.2 million over the first half of 2025. The Board hereby reports that the increase in losses during the reporting period is mainly due to (i) a significant reduction in revenue from providing production enhancement services to shale gas fields in southwest China due to a major customer delaying the production increase project of several shale gas fields until the second half of 2026 in accordance with its internal mining plan; (ii) the reduction in government subsidies enjoyed by the Group during the reporting period; and (iii) the Group's share of the increased losses of associated companies during the reporting period.