PER ENERGY (02798) announced that, to facilitate the proposed consolidation, on January 20, 2026 (after trading hours), its indirect wholly-owned subsidiary, PER ENERGY, the original shareholders, and the target company, Guizhou Huaneng Jiayuan Coal Industry Co., Ltd., entered into a capital increase agreement. Under this agreement, PER ENERGY conditionally agreed to acquire a 51.00% equity interest in the target company by injecting registered capital of RMB 114,489,795.92, with payment to be settled by transferring the mining rights of the Xiejiahegou Coal Mine, the Xiejiahegou property, and the Xiejiahegou assets to the target company. The target company currently holds the mining rights for the Youyi Coal Mine and the Jieji Coal Mine as of the date of this announcement. Upon completion of the registration, Panzhou Hengding, Guizhou Tianjian, Guizhou Zhonghang, and PER ENERGY will hold approximately 20.63%, 14.65%, 13.72%, and 51.00% equity interests in the target company, respectively. Consequently, the target company will become a subsidiary of PER ENERGY, and its financial results will be consolidated into the Group's financial statements. The coal resources of the Xiejiahegou Coal Mine (indirectly wholly-owned by the Company) and the Youyi Coal Mine (wholly-owned by the target company) will be integrated. The consolidated coal mine will continue to operate under the existing approved production scale of the Xiejiahegou Coal Mine, utilizing its current facilities and equipment. The target company is primarily engaged in the exploration, development, and mining of coking coal through its two coking coal projects located in Panzhou City, Guizhou Province, China, namely the Youyi Coal Mine and the Jieji Coal Mine. Both are underground coal mines with approved annual production capacities of 450,000 tons and 300,000 tons, respectively. As of November 30, 2025, the Youyi Coal Mine had measured resources of 7.68 million tons, controlled resources of 50.49 million tons, inferred resources of 50.59 million tons, and proven plus probable coal reserves of 43.69 million tons. The Jieji Coal Mine had controlled resources of 22.64 million tons, inferred resources of 23.37 million tons, and probable coal reserves of 18.52 million tons. The Board of Directors believes the proposed capital increase is a strategic move aimed at revitalizing idle coal resources. The target company currently holds and wholly owns two suspended coal mines—the Youyi Coal Mine and the Jieji Coal Mine—neither of which is in ongoing operation. Injecting resources and assets from the Xiejiahegou Coal Mine is intended to activate and consolidate the related assets through a unified operational platform. The proposed consolidation is expected to concentrate resources and generate operational synergies. The Xiejiahegou Coal Mine is adjacent to the Youyi Coal Mine, presenting potential for integration into a single operational unit. This would allow for shared infrastructure, streamlined logistics, and coordinated development planning. Furthermore, revitalizing the Youyi and Jieji Coal Mines through the proposed consolidation is expected to boost local employment and stimulate economic activity in the surrounding areas. By creating job opportunities and promoting local development, the proposed consolidation is anticipated to contribute to industrial revitalization and social stability. Upon completion of the registration, the Company will gain control of three coal mines, thereby strengthening its strategic positioning. This move will enhance the Company's resource portfolio and long-term production capacity, aligning with its overall strategy of consolidating high-potential coal resources and improving operational efficiency through targeted investments and restructuring.