Shandong Molong Petroleum Machinery : SUPPLEMENTAL NOTICE OF THE AGM

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(A Sino-foreign joint stock limited company incorporated in the People's Republic of China with limited liability)

(Stock Code: 568)

SUPPLEMENTAL NOTICE OF THE AGM

Reference is made to the notice (the ''Notice'') of the annual general meeting (the ''AGM'') of 山東墨 龍石油機械股份有限公司 Shandong Molong Petroleum Machinery Company Limited* (the ''Company'') dated 31 March 2021, which states the time and venue of holding the AGM and the resolutions to be proposed at the AGM for shareholders' approval.

SUPPLEMENTAL NOTICE IS HEREBY GIVEN that the AGM will be convened and held by the Company at the conference room, No. 999 Wensheng Street, Shouguang City, Shandong Province, the People's Republic of China (the ''PRC'') at 2:00 p.m. on Friday, 21 May 2021 as originally scheduled, to consider and, if thought fit, approve the following resolution in addition to the resolutions set out in the Notice:

SPECIAL RESOLUTION

9. To consider and approve the proposal for the grant of a general mandate to the board of directors to issue new shares, details of which are as follows:

1. The Board is unconditionally given approval to exercise, during the Relevant Period (as defined below), all powers of the Company to separately or concurrently issue and deal with new A Shares and new H Shares (collectively, ''New Shares'') of the Company which shall not exceed 20% of the each of the total number of issued A Shares and H Shares of the Company as at the date of passing the relevant resolution at the AGM;
2. Pursuant to the approval under paragraph (i) above, the Board is authorised to make or grant, during the Relevant Period, offers, agreements and/or options, which would or might require to allot New Shares during the Relevant Period or thereafter, and the Board is authorised to issue and deal with the New Shares that are required or may be required to be allotted and issued under such offers, agreements and options;
3. After the issuance of New Shares pursuant to the General Mandate, the Board is authorised to deal with all issues relating to the increase in the registered capital of the Company and to make such appropriate and necessary amendments to the articles of association of the Company with regards to total share capital, capital structure, registered capital and other

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relevant matters, to complete domestic and overseas statutory procedures for approval, registration, and filing, and to take any other action and complete any formalities required to effect the issuance of New Shares pursuant to the relevant resolution and the increase in the registered capital of the Company. The Board is authorised to delegate the above authority to the persons designated by it to sign, execute, modify, complete, deliver all agreements, contracts and documents in relation to the allotment and issuance of and dealing with New Shares under the General Mandate, unless otherwise stipulated by the laws or regulations; and

1. ''Relevant Period'' means the period from the date of passing the relevant Shareholders' resolution in respect of the General Mandate until the earliest of:
2. 1. the conclusion of the next annual general meeting of the Company;
   2. the expiration of the 12-month period after the date of passing the relevant Shareholders' resolution; and
   3. the date on which the authority granted to the Board in the relevant resolution is revoked or varied by a special resolution of the Shareholders of the Company in general meeting.

By order of the Board

Shandong Molong Petroleum Machinery Company Limited*

Yang Yun Long

Chairman

Shandong, the PRC

28 April 2021

Notes:

1. A supplemental proxy form for use at the AGM is enclosed with this supplemental notice. If you intend to appoint a proxy to attend the AGM, you must complete and lodge the original proxy form and the supplemental proxy form in accordance with the instructions printed thereon. In case of a holder of H Share(s), the original proxy form and the supplemental proxy form shall be returned to the H Share registrar of the Company, Tricor Investor Services Limited at Level 54, Hopewell Centre, 183 Queen's Road East, Hong Kong; and in case of a holder of A Share(s), the original proxy form and the supplemental proxy form shall be returned to the Company's registered address in the PRC at No. 999 Wensheng Street, Shouguang City, Shandong Province, China, each case by not less than 24 hours before the time appointed for holding of the AGM or any adjournment thereof (as the case may be). Completion and return of the original proxy form and the supplemental proxy form will not preclude you from attending and voting in person at the said meeting should you so wish.
2. The supplemental proxy form will not affect the validity of any proxy form duly completed and returned by you in respect of the resolutions set out in the Notice of the AGM. If you have completed and returned the original proxy form and validly appointed a proxy to attend and act at the AGM on your behalf but do not complete and return the supplemental proxy form, your proxy shall be entitled to vote at his/her discretion on the resolutions set out in the supplemental notice of the AGM dated 28 April 2021. If you have not completed and returned the original proxy form

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but complete and return the supplemental proxy form and validly appoint a proxy to attend and act at the AGM on your behalf, unless otherwise indicated, your proxy shall be entitled to vote at his/her discretion on the resolutions set out in the notice of the AGM dated 31 March 2021.

1. For details of the other resolutions to be proposed for consideration and approval at the AGM, the closure of register of members, the eligibility for attending the AGM, the registration procedures for attending the AGM and other matters concerned, please refer to the notice of the AGM of the Company dated 31 March 2021.

As at the date of this supplemental notice, the Board comprises the executive Directors, namely Mr. Yang Yun Long, Mr. Yuan Rui, Mr. Liu Min and Mr. Li Zhi Xin; the non-executive Directors, namely Mr. Yao You Ling and Mr. Wang Quan Hong; and the independent non-executive Directors, namely Mr. Tang Qing Bin, Mr. Song Zhi Wang and Mr. Cai Zhong Jie.

• For identification purpose only

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