Sichuan Expressway Company Limited (00107) announced that its non-wholly owned subsidiary, Chengya Expressway Company, entered a construction contract with China Huashi on 17 October 2025 for the Chengya Expressway Expansion Project. The transaction constitutes a disclosable transaction under Chapter 14 of the Listing Rules since the relevant percentage ratios exceed 5% but are below 25%.

Chengya Expressway Company was formed by a consortium including Sichuan Expressway Company Limited, China Huashi, Transportation Construction Group, Road & Bridge Group, and Gaolu IT. After winning the bid for the project, the joint venture is responsible for the construction, operation, management, and transfer of the Chengdu-Ya’an section of G5 Jingkun Expressway (Chengya Expressway). The contract covers subgrade, pavement, bridge, culvert, and related works for pile No. K80+340 to K99+000, with a construction period of 48 months.

Under the Huashi Construction Contract, the total construction price is determined based on approved budget estimates, subject to a 10% discount, and will not exceed RMB2,075,319,898 (tax inclusive). Payment is arranged monthly against the construction progress, with 10% of the contract price payable in advance. A performance guarantee deposit of 10% is also required, along with a quality guarantee deposit for the two-year defect liability period following completion.

Upon completion of this expansion, the toll collection period and rates for the Chengya Expressway are expected to be re-determined, supporting stable cash flow and strengthening the company’s principal business. The board of directors considers the contract terms fair, reasonable, and in the best interests of the company and shareholders. The contract and related transaction are subject to the reporting and announcement requirements stipulated in the Listing Rules.