HANS GP HLDGS (00554) announced that the conflict in the Middle East has caused significant disruption to the global fuel supply chain and intensified market volatility. This has placed substantial upward pressure on the stability and pricing of energy supplies, leading to a sharp increase in diesel costs. Since the outbreak of the conflict, diesel prices have more than doubled, surging from approximately $90 per barrel to over $200 per barrel. Market indicators suggest that even if the conflict is resolved in the short term, diesel prices are expected to remain elevated for an extended period.
On April 9, 2026, the Hong Kong Special Administrative Region (HKSAR) government announced several targeted short-term measures aimed at mitigating the economic and public transport sector impacts of rising fuel prices. These measures include providing time-limited subsidies for diesel used by public and commercial vehicles and vessels; reducing toll fees for all commercial vehicles (including trucks, buses, minibuses, and taxis) using government-operated tunnels by 50% for two months; and establishing a "Special Application Task Force for Public Transport Services" to expedite the approval and assistance process for fare adjustment applications submitted by public transport operators in response to increased fuel costs.
Although these measures are expected to offset some of the additional fuel-related expenses, the Group anticipates that it will still bear a significant portion of the impact caused by persistently high fuel prices. The Group's financial performance may be materially affected by future fuel price fluctuations. HANS GP HLDGS will continue to closely monitor market developments, conduct regular assessments, and collaborate with the HKSAR government to formulate appropriate operational and financial measures to mitigate the effects of rising fuel costs.
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