SDHS NEW ENERGY (01250) subsidiary signs a cooperation agreement for leasing designated areas in Linyi, Shandong.

SDHS NEW ENERGY (01250) and SDHG jointly announce that on December 29, 2025, Shandong Hi-speed Linteng Highway Co., Ltd. (Shandong Hi-speed Linteng) and SDHS NEW ENERGY (Shandong) (an indirect wholly-owned subsidiary of SDHS NEW ENERGY and an indirect non-wholly-owned subsidiary of SDHG) have entered into a cooperation agreement for leasing a designated area. Shandong Hi-speed Linteng will lease a designated area located in Linyi City, Shandong Province to SDHS NEW ENERGY (Shandong) for the construction and operation of photovoltaic power projects and photovoltaic power stations. The lease period will be from January 1, 2026 to December 31, 2045, a total of twenty years. SDHS NEW ENERGY (Shandong) shall pay an annual lease service fee of RMB 0.04 per watt (including tax at a rate of 6%) to Shandong Hi-speed Linteng, to be collected after the completion of the photovoltaic power station construction in the designated area, based on the actual construction capacity of the completed photovoltaic power station. Considering the expected construction capacity of the photovoltaic power station of 83 megawatts and its construction plan, the total amount of the lease service fee during the term of the cooperation agreement is expected to be RMB 66.4 million. According to the terms of the cooperation agreement, Shandong Hi-speed Linteng will provide the designated area, which includes spaces such as toll stations, service areas, slopes, tunnels, and ramp circles operated by Shandong Hi-speed Linteng, for the investment, construction, and operation of the photovoltaic power stations owned by SDHS NEW ENERGY (Shandong). Considering the potential and stability of Shandong Hi-speed Group's operation and management business, the directors of SDHS NEW ENERGY and SDHG believe that entering into the cooperation agreement will provide SDHS NEW ENERGY with reliable customers and bring stable operating income and cash flow to SDHS NEW ENERGY and SDHG, thereby promoting the steady development of clean energy business.