CHINA HK POWER (00931) announced that its board has noted significant fluctuations in the company's share price and trading volume recently. After making reasonable inquiries under the circumstances, the board confirmed that, apart from previously disclosed information and the details below, it is unaware of any reasons for such volatility or any undisclosed information that could prevent a false market in the company's securities under Section XIVA of Hong Kong's Securities and Futures Ordinance (Chapter 571).

The board also affirmed that the group's business operations remain normal, with no material changes in its operational or financial condition as of the announcement date. In a voluntary announcement dated October 20, 2025, the company provided shareholders and potential investors with a business update, disclosing ongoing negotiations since May 1, 2025, for the acquisition of a large-scale liquefied natural gas (LNG) project.

The company signed a non-disclosure agreement with an LNG end-user on September 12, 2025, and entered into confidentiality agreements and a memorandum of understanding with an international financial institution (IFC) on July 1 and August 1, 2025, respectively, to secure project financing support.

CHINA HK POWER further informed shareholders that the board is considering expanding its capital base by inviting the aforementioned IFC to subscribe to shares at a discount to the market price, aiming to enhance financial performance and stability. As of the announcement date, discussions regarding the share placement are ongoing, with no finalized terms or binding agreements reached.