C CARBONNEUTRAL (01372) has announced a recent update on its business development. In the renewable resources sector, the Group is collaborating with leading enterprises such as China Tower, China Recycling Resources, and EVE Energy to jointly promote the construction of a lithium battery circular economy ecosystem, supporting the national "dual carbon" strategic goals. By integrating the online platform "Xunli Wang" with blockchain traceability technology, they are establishing a standardized and efficient lithium battery recycling system. Currently, "Xunli Wang" is accelerating the development of a nationwide online-to-offline integrated recycling network, structured around "9 comprehensive processing bases, 80 central warehouses, and 5,000 collection points," which already covers key regions including Hubei, Hunan, Henan, Jiangxi, Guangdong, and Zhejiang. The projected annual recycling volume for waste batteries and black mass is expected to reach 50,000 tons. Through partnerships with multiple battery cell manufacturers, monthly transaction volumes can reach 800,000 units. The monthly capital scale for the comprehensive utilization of waste lithium batteries has exceeded RMB 30 million, with an expected annual capital scale of RMB 500 million. On the application side, the Group provides customized power battery leasing services for approximately 20,000 low-speed vehicles in the delivery and transportation industry and is deploying county-level energy storage microgrids to enhance energy utilization efficiency and power supply stability in urban and rural areas. Through these initiatives, the Group, together with its partners, aims to build a sustainable lithium battery circular economy ecosystem, promote complementary advantages in resource disposal capabilities, deepen technological R&D in the dual carbon field, and innovate carbon asset development models. The Board believes that the development of the renewable resources business will complete the Group's industrial闭环 in battery recycling, comprehensive utilization, and energy storage, strengthen its comprehensive competitiveness in the carbon neutrality industry chain, and bring sustainable business growth and financial returns to the Group.

In the innovative digital green carbon asset business, leveraging the core advantages of its Carbon Coin project, the Group is proactively positioning itself in the global carbon market and actively engaging with mainstream international carbon credit certification mechanisms. It is conducting in-depth discussions on key matters such as aligning the Carbon Coin with international carbon credit standards, achieving cross-regional carbon credit mutual recognition, and expanding global carbon market cooperation channels. The focus is on enhancing the universality and liquidity of the Carbon Coin, helping to break down geographical barriers in the international carbon market, promoting the cross-border flow of carbon assets, and activating global green capital. Simultaneously, relying on the Carbon Coin project, the Group is promoting the deep integration of green finance with Web3 technology and the RWA track, realizing the digitization and standardized circulation of carbon assets. Several transactions have already been completed at prices ranging from USD 30 to USD 40 per ton. The Carbon Coin effectively addresses the pain points of traditional carbon credit trading, such as cumbersome processes, insufficient liquidity, and high barriers to entry, thereby improving transaction efficiency and market liquidity. The expansion of this business will further diversify the Group's application scenarios in carbon asset development and trading, enhance its competitiveness and influence in the global carbon market, open up new revenue streams for the Group, improve its overall valuation and market recognition, and lay a solid foundation for future cross-border green finance business布局.

Regarding the development of its ecological governance business, the Group, drawing on its extensive experience in ecological construction engineering, continues to expand its low-carbon ecological and environmental protection operations. Recent key focuses include: Accelerating the implementation of innovative saline-alkali land remediation technologies in Xinjiang, Jiangsu, and Henan, and building a sustainable carbon sink development and operation system to transform saline-alkali land from an "ecological liability" into a "carbon sink asset." Comprehensively advancing integrated management work covering water supply, sewage treatment, reclaimed water utilization, sludge disposal, and watershed ecology in locations such as Guizhou, Changsha, and Ukraine, constructing a closed-loop system of "water environment carbon sink - carbon asset - carbon finance" to systematically address environmental issues arising from urbanization and provide high-level services for the ecological environment concerns of governments and the public. Through these initiatives, the Group has further enriched its application scenarios in dual carbon businesses such as carbon asset development, carbon trading, carbon planning, green finance, and ESG information disclosure, creating new business growth points and value enhancement opportunities for the company. The Board believes that the expansion of the ecological governance business will help the Group solidify its foundation in carbon asset development, expand the market influence of its dual carbon operations, and deliver sustained returns to shareholders and investors.