On September 23, Shengxin Lithium Energy announced that it intends to acquire 21% equity of Sichuan Qicheng Mining Co., Ltd. through its wholly-owned subsidiary Sichuan Shengtun Lithium Industry Co., Ltd. with RMB 1.456 billion in cash. After the completion of this transaction, Shengxin Lithium Energy will directly hold 70% equity of Qicheng Mining Co., Ltd. Huirong Mining Co., Ltd., a subsidiary
of Qicheng Mining Holdings, owns the mining right certificate of lithium wood wool mine. Li2O resources of lithium wood wool mine have been identified to be 989,600 tons, with a production scale of 3 million tons per year and an appraisal value of 8.434 billion yuan.