CHINA STARCH (03838) announced that on November 19, 2025, its indirect non-wholly owned subsidiary, Deneng Jin Yumi, entered into a thermal power plant construction contract with Giant Construction (as the contractor). Under the agreement, Giant Construction will provide certain construction services for the thermal power plant, with a total contract value of RMB 70 million.

The construction services include building structures and facilities for the thermal power plant located in Linqing City, Shandong Province, China, such as installing a dual-boiler system, high-efficiency steam turbine generator units, and supporting facilities.

Following the joint issuance of the "Shandong Province 14th Five-Year Plan for Power Development" by the Shandong Development and Reform Commission and the Shandong Energy Bureau in November 2023, Deneng Jin Yumi began planning the construction of the thermal power plant. The facility, equipped with a dual-boiler system, high-efficiency steam turbine generators, and auxiliary facilities, aims to provide a stable steam supply for the group's existing and new corn starch production facilities nearby.

Deneng Jin Yumi obtained the construction approval for the thermal power plant from the Shandong Development and Reform Commission in January 2025. As mentioned in the company's February 20, 2025 announcement, the thermal power project was initiated to meet growing energy demands and reduce reliance on external suppliers.

With the expansion of the group's corn starch production facilities, the thermal power plant, featuring newly installed equipment and facilities, has become a critical infrastructure supporting the group's increasing steam and energy needs. The plant is expected to gradually improve operational efficiency and reduce Deneng Jin Yumi's operating costs in the future.