Xinjiang Tianye: Intends to acquire 100% equity of four mining companies for 865 million yuan

Recently, Xinjiang Tianye announced that in order to continuously promote the process of asset structure adjustment and state-owned enterprise reform, improve the company's chlor-alkali chemical raw material industry chain, avoid the company's lime and industrial salt raw material procurement related transactions, and substantially reduce the amount of related transactions. The company intends to acquire Jinghe Jingyi Mining Co., Ltd., Tianbo Chenye Mining Co., Ltd., Xinjiang Tianye Group Mining Co., Ltd. held by Xinjiang Tianfu Xinye Energy Co., Ltd. (Hereinafter referred to as "Tianfu Xinye") by means of non-public agreement. Four wholly-owned subsidiaries of Turpan Tianye Mining Development Co., Ltd. have 100% equity , with transaction amounts of 277 million yuan, 355 million yuan, 199 million yuan and 34.1 million yuan respectively, totaling about 865 million yuan , and the source of funds is the company's own funds.

The counterparty Tianfu Xinye is a wholly-owned subsidiary of Xinjiang Tianye (Group) Co., Ltd., the controlling shareholder of the company, and is a related party of the company. This transaction constitutes a related party transaction, but does not constitute a major asset reorganization. This transaction has been approved by the state-funded enterprises, and has been considered and approved by the special meeting of independent directors, the strategic committee of the board of directors and the twenty-first meeting of the ninth board of directors, and still needs to be submitted to the shareholders'meeting of the company for consideration and approval. After the completion of this

transaction, Jingyi Mining, Tianbo Chenye, Group Mining and Turpan Mining are wholly-owned subsidiaries of the company, which will be included in the scope of the company's consolidated statements and managed in the form of holding subsidiaries. The company will add four limestone mines with a total annual mining capacity of 9.45 million tons, salt resources with an annual mining capacity of 200,000 cubic meters, three lime production bases with a cumulative annual production capacity of 2.6 million tons and an industrial salt production base with an annual production capacity of more than 300,000 tons to ensure the supply of lime and raw salt and form a new growth point of performance.