Huayi Group: Subsidiary Shanghai Nenghua Wujing Base Device to Implement Permanent Shutdown.

Huayi Group announced that its wholly-owned subsidiary, Shanghai Huayi Energy Chemical Co., Ltd. Wu Jing Base unit, due to government requirements and documents related to the industrial adjustment and transformation in the Wu Jing area, as well as the peak carbon emissions in the industry, will be permanently shut down. The base mainly produces products such as methanol, acetic acid, hydrogen, and synthetic gas, and the unit was established relatively early. As of the end of 2024, the total assets accounted for 7.9% of the company's total audited assets for the most recent period, the operating revenue in 2024 accounted for 5.9% of the company's consolidated financial statements, and the net profit in 2024 was -122,352,000 yuan. This shutdown is a measure to implement government requirements, align with the country's "dual carbon" strategy direction, help the company further fulfill its social responsibility for green development, and promote the company's green and low-carbon transformation.