Page 12 - 2025 CPC Corporation,Taiwan

Low-Carbon and Renewable Energy Development Exploration and Production Taiwan has limited indigenous energy resources and depends on imports for most of its fossil fuel needs. As a result, CPC has cooperated with the government’s “furthering energy supply security mechanism and forging international energy cooperation” policy. CPC is dedicated to improving its performance in new energy development, expanding upstream operations, and increasing overseas production, to stabilize the supply of crude oil and natural gas to the domestic market and alleviate the impact of oil price fluctuation. To align with “Taiwan’s Pathway to Net-Zero Emissions in 2050,” CPC is committed to ensuring energy security while expanding the use of low-carbon energy – natural gas. Guided by the principles of proactive expansion and focused development, CPC aims to broaden its international footprint while strengthening domestic operations, simultaneously undertaking mergers and acquisitions and exploration and production, as well as the training of talent for breakthroughs, in the hope of gradually increasing the ratio of self-owned energy reserves within its full sourcing range, heading towards developing low-carbon energy resources. Planning geothermal power plants and CCS demonstration sites per government policy Currently, the CPC’s onshore producing oil and gas wells are located in and around Tiehchenshan (TCS), Chinshui (CS), Chingtsaohu (CTH, including Chuhuangkeng, CHK), and Kuantien (KT). In 2024, they yielded 93.3 million cubic meters of natural gas and 1,554 kiloliters of condensate. In 2024, following the government’s National Renewable Energy Policy, CPC completed the geothermal survey of Yuanshan-Datong area in Yilan County, which covered 72 square kilometers, to support ongoing deep geothermal exploration efforts in the Yilan Plain. Also, CPC successfully completed the drilling of the TC-19 geothermal well in Tuchang, Yilan, and continues drilling operations for TC-20 to TC-22 wells. Meanwhile, construction of the 5.4 MW geothermal power plant in Tuchang is also in progress. CPC is actively engaged in assessing and developing Taiwan’s deep geothermal potential. In October 2024, CPC launched the drilling project for Taiwan's first deep geothermal well in Yuanshan, Yilan, with a target depth of 4,000 meters. The project aims to explore formation temperatures ranging from 180 to 200°C. In the near future, CPC plans to conduct additional exploratory drilling in other promising deep geothermal areas in Taiwan, including the Tatun Volcano Group, to further assess the country's geothermal potential. To enhance the geothermal drilling and development capabilities, CPC intends to introduce advanced technologies and services from international partners. Committed to the exploration and development of Taiwan’s geothermal resources, CPC continues to drive the transition toward green energy. In addition to our commitment to renewable energy, CPC actively engages in collaborative efforts with the government to advance carbon storage initiatives. Presently, CPC is spearheading the “TCS CCS Demonstration Project” as a prominent showcase for carbon storage technology within Taiwan. A comprehensive array of continuous monitoring activity is underway. CPC envisions this undertaking as a pivotal stepping stone for future coastal and offshore commercial-scale CCS projects. 2024 Domestic natural gas production 2024 Domestic condensate production 93.29million cubic meters 1,554 kiloliters 10