SINOFERT (00297) announced that on November 13, 2025, its subsidiary YUNLONG entered into an EPC general contracting agreement with ZHONGLAN LIANHAI and YUNNAN QIANGSHI for an electrical and instrumentation equipment upgrade project. Under the contract, YUNLONG has commissioned ZHONGLAN LIANHAI and YUNNAN QIANGSHI to undertake design, procurement, construction, installation, and commissioning for the upgrade project, with a maximum total cost not exceeding RMB 31 million.

The scope of work under the EPC contract includes two main components: 1. **Electrical Upgrade**: - Replacement of 10kV incoming cables in MCP, chemical defluorination, fluoride salt, and calcium ore distribution rooms. - Transformer replacements in MCP and chemical defluorination distribution rooms. - Upgrades to low-voltage switchgear and grounding systems in MCP, chemical defluorination, dearsenication, and fluoride salt distribution rooms. - Renewal of field operation boxes, maintenance power boxes, cable trays, and cables in MCP, chemical defluorination, dearsenication, and fluoride salt sections. - Removal of existing transformers, low-voltage switchgear, field operation boxes, maintenance power boxes, cable trays, and cables.

2. **Instrumentation Upgrade**: - Replacement of field instrument cables, cable trays, and protective conduits in MCP, chemical defluorination, dearsenication, and fluoride salt sections. - Replacement of flash evaporation local control cabinets in MCP and control cabinets in the fluoride salt section. - Relocation of distributed control system (DCS) cabinets and consoles from the original MCP control room to a new MCP control room, and DCS cabinets from the dearsenication section to the chemical defluorination control room. - Removal of outdated instrument cables, trays, and conduits in the aforementioned sections.

The board of directors, including independent non-executive directors, considers the transactions under the EPC contract to be conducted on normal commercial terms within the group’s ordinary business operations. They deem the agreement fair, reasonable, and in the interests of the company and shareholders. No director has a material interest in the contract or related transactions, and thus none abstained from voting on the board resolution approving the agreement.