PER ENERGY plans to increase its capital by approximately 1.14 billion yuan to obtain a 51% stake in Guizhou Huaneng Jiayuan Coal Industry Co., Ltd.

As announced by PER ENERGY (02798), in order to coordinate with the proposed integration, on January 20, 2026 (after the trading session ends), the company's indirectly wholly-owned subsidiary, Jiutai Bangda, the original shareholders, and the target company Guizhou Huaneng Jiayuan Coal Industry Co., Ltd. have entered into a capital increase agreement. According to this agreement, Jiutai Bangda conditionally agrees to capitalize the registered capital of RMB 114,489,795.92 to acquire 51.00% equity interest in the target company, and must settle the acquisition by transferring the mining rights of Xiejiahegou Coal Mine, Xiejiahegou properties, and Xiejiahegou assets to the target company, while the target company holds the mining rights of Yiyi Coal Mine and Jieji Coal Mine on the date of this announcement. Upon completion of registration, Panshou Hengding, Guizhou Tianjian, Guizhou Zhonghang, and Jiutai Bangda will hold approximately 20.63%, 14.65%, 13.72%, and 51.00% equity in the target company respectively. Accordingly, the target company will become a subsidiary of the company, and its financial performance will be consolidated into the group's financial results. The coal resources of Xiejiahegou Coal Mine (indirectly owned by the company) and Yiyi Coal Mine (wholly owned by the target company) will be integrated. The integrated coal mines will continue to use the existing approved production scale, facilities, and equipment of Xiejiahegou Coal Mine. The target company mainly engages in exploration, development, and mining of coking coal business through its two coking coal projects located in Guizhou Province, China, including Yiyi Coal Mine and Jieji Coal Mine, both of which are underground coal mines located in Panzhou City, Guizhou Province, China, with approved annual production capacities of 450,000 tons and 300,000 tons respectively. As of November 30, 2025, the confirmed resources of Yiyi Coal Mine are 7.68 million tons, controlled resources are 50.49 million tons, inferred resources are 50.59 million tons, confirmed and estimated coal reserves are 43.69 million tons, and the controlled resources of Jieji Coal Mine are 22.64 million tons, inferred resources are 23.37 million tons, and estimated coal reserves are 18.52 million tons. The directors believe that the proposed capital increase is a strategic positioning to revitalize idle coal mine resources. The target company currently owns and wholly owns two dormant coal mines (Yiyi Coal Mine and Jieji Coal Mine), both of which are not in continuous operation. Injecting resources and assets into Xiejiahegou Coal Mine aims to activate and integrate related assets through a unified operating platform. It is expected that the proposed integration will concentrate resources and generate operational synergies. Xiejiahegou Coal Mine, adjacent to Yiyi Coal Mine, has the potential to be integrated into a single operating unit, allowing for the sharing of infrastructure, simplification of logistics, and coordinated development planning. Furthermore, revitalizing Yiyi Coal Mine and Jieji Coal Mine along with the proposed integration is expected to stimulate local employment and drive economic activities in the surrounding areas. By creating job opportunities and enhancing local development, the proposed integration is expected to contribute to the revitalization of the industry and social stability. Upon completion of registration, the company will gain control of three coal mines, thereby enhancing its strategic positioning. This move will improve the company's resource portfolio and long-term production capacity, aligning with the overall strategy of integrating potential coal mine resources through targeted investments and restructuring to improve operational efficiency.