About HIDILI INDUSTRY Company

Hengding Industrial International Development Co., Ltd. (hereinafter referred to as "Hengding Industrial") is registered in the Cayman Islands and operates as a comprehensive coal enterprise engaged in coal mining and coal preparation within China, while also pursuing global mining investments. In September 2007, Hengding Industrial was listed on the Main Board of the Hong Kong Stock Exchange under the stock code 01393.HK. Within China, Hengding Industrial primarily owns subsidiaries such as Hengding Industrial (China) Group Co., Ltd., Liupanshui Hengding Industrial Co., Ltd., Yunnan Dongyuan Hengding Coal Industry Co., Ltd., and Sichuan Hengding Industrial Co., Ltd., thereby establishing itself as a leading integrated mining enterprise in Southwest China. At present, Hengding Industrial's key investment focus lies in the three provinces of Yunnan, Guizhou, and Sichuan, where it operates coal mines, coal preparation plants, and railway freight yards. The company adopts a scientific management model, dividing its assets into four regional zones based on the principle of local jurisdiction to facilitate resource allocation, optimize operations, and significantly enhance the productivity and efficiency of its existing mining sites. China's coking coal resources are characterized by abundance in the north and scarcity in the south; however, the Southwest region stands out as relatively rich in this regard, with the potential to supply major steelmakers south of the Yangtze River. Having been deeply rooted in Yunnan, Guizhou, and Sichuan for more than a decade, Hengding Industrial has amassed substantial coal reserves and has established strategic partnerships with leading steel mills in Southwest and South China. Hengding Industrial is committed to social welfare and public service. According to incomplete statistics, the company has donated a total of RMB 20 million to construct bridges, pave roads, and build irrigation channels for local residents, as well as RMB 2 million to support education in the Southwest region. In 2008, following the Wenchuan and Panzhihua earthquakes, Hengding Industrial contributed RMB 10.35 million in relief funds to the disaster-stricken areas. In 2010, it donated over RMB 9 million to aid earthquake relief efforts in Yushu, Qinghai, and another RMB 6 million for drought-relief and disaster-response initiatives in Yunnan. Hengding Industrial boasts robust internal mechanisms, organizational structure, and management practices, which attract talent from across the country. Currently, the company has assembled a team of highly qualified managerial and technical professionals from top universities and with extensive industry experience, including core personnel in coal-mining technology drawn from major national coal groups and experts in coke-making technology and management from large steel enterprises. The coal-mining technical team comprises specialists from prominent coal companies such as Sichuan Coal Group, Panjiang Coal & Power Group, Jixi Mining Group, and JinNiu Group. Hengding Industrial places great emphasis on talent development and continuous improvement of employee competencies, regularly sending staff to prestigious institutions like Tsinghua University, Sichuan University, and China University of Mining and Technology for specialized training. Through the implementation of capital strategy, talent strategy, technological innovation strategy, and industrial integration strategy, Hengding Industrial aims to build three core competitive advantages—talent, technology, and resources—and emerge as a resource-integrated enterprise of significant influence in both domestic and international capital markets.