Ningxia Zhongke: Intends to terminate the biotechnology reform project and focus on the main business of long-chain dicarboxylic acid.

Ningxia Zhongke announced that its subsidiary Ningxia Zhongke Biotechnology New Material Co., Ltd. has implemented the "Annual Production of 119,000 Tons of Biotechnology Fermentation Products Technological Upgrading Project", with a total planned investment of 100,123.0 million yuan, of which around 28 million yuan has been completed. Due to intensifying industry competition, slow release of demand for new product categories, strategic planning changes, and shifts in business focus, the company plans to terminate the project and gradually achieve full production of lauric acid, expanding downstream application. The termination of this project does not constitute a major asset restructuring and will not have a significant adverse impact on the company's production, operation, and financial condition. This proposal will be deliberated at the first extraordinary general meeting of shareholders in 2026.