The amount will not exceed 200 million, and Shangfeng Cement and its subsidiaries will carry out financial leasing business.

On February 7, Gansu Shangfeng Cement Co., Ltd. (Hereinafter referred to as the "Company") issued an announcement on the development of financial leasing business by the Company and its subsidiaries. The announcement shows that in order to further revitalize the company's existing assets, broaden financing channels, optimize financing structure and meet capital needs, the company and its subsidiary Tongling Shangfeng Cement Co., Ltd. The financing amount shall not exceed RMB 20,000 million (including RMB 200 million), the term shall not exceed 18 months (including 18 months), and the management of the Company shall be authorized to be responsible for the implementation of specific projects and other related matters.

The Company intends to finance through financial leasing, which is conducive to broadening financing channels, optimizing financing structure, reducing capital costs and providing financial support for the Company's production and operation. The launch of the sale and leaseback financial leasing business will not affect the Company's use of fixed assets for financial leasing, will not have a significant impact on the Company's production and operation, and will not damage the interests of the Company and its shareholders as a whole.